Marvell's custom AI silicon business is scaling very fast after Google struck a deal with it for custom chips covering AI, networking and memory, including an equity stake in Marvell. Stifel says the deal could generate up to $120B of revenue over about seven years, far above Marvell's current annual run rate. x.com  x.com 

Marvell's neutrality lets it win custom silicon across all major US hyperscalers, but those wins should be sized net of the equity they hand back. Its Google deal on TPU-ecosystem chips took share from Broadcom, while Amazon's new custom silicon pact with Qualcomm shows neutrality cuts both ways. Google's warrant over 58.97M shares vests per $500M of purchases, so each $9.9 Google spends earns $1 of Marvell equity. Vesting starting in fiscal Q3 2027 would show the structure works. x.com 

Marvell risks paying a peak-scarcity price for Lumentum if optical supply catches up by 2028-30. The proposed ~$99B deal values Lumentum at roughly 20x guided annualized revenue and 58x estimated after-tax operating income, while Lumentum, Coherent and Chinese suppliers are adding laser capacity. The DSP-and-laser combination has strategic logic, but durable scarcity economics and Nvidia's response remain uncertain. x.com 

Marvell is a 2030 stock: the market sold it 32% off its high because the payoff starts in 2029. Data center is 79% of revenue and growing 46%. Management raised its fiscal 2028 target to $18B, said custom silicon more than doubles next year, and in August signed a Google TPU agreement with up to $120B of revenue potential over six years. x.com 

Marvell's connectivity and custom AI silicon support raised revenue targets of about $12bn for FY27 and $18bn for FY28, even as shares fell 7.8% after hours on high expectations. F2Q revenue of $2.74bn rose 37% year over year and F3Q guidance of $3.15bn implies 50% growth. Management guides custom ASIC growth above 100% in FY28, with a path to $16bn+ by FY29 versus its ~$10bn, helped by a multi-year Google deal. AI clusters needing ~10x more bandwidth favor 1.6T optics. Buy, $290 target. x.com  … Show more

Marvell's strong quarter was already priced in, so a sell-the-news decline is likelier. Q2 revenue rose 37% to $2.739B, data center revenue 46%, and Q3 guidance of $3.15B beat estimates; management sees custom silicon revenue more than doubling in FY28 and a path to about $18B of FY28 revenue. But the Google partnership and AI growth were largely traded ahead, and the stock never broke its rising channel's top. Long term, it is still a good company to add to at better prices before the midterms. … Show more

Marvell's custom-silicon deal with Google locks in a major customer and could be worth up to $120 billion of revenue. Signed July 29, it covers AI inference accelerators, storage, network and memory interface controllers and near-memory compute tied to Google's TPU ecosystem. Google gets warrants for up to 58.97 million shares at $206.58, most vesting one tranche per $500 million of discretionary purchases, so the full amount is a very high milestone, not guaranteed revenue. x.com 

Marvell looks interesting at less than 30x calendar-2027 EPS against expected 60-70% annual EPS growth, but overpaying for Lumentum could drive its shares lower. Marvell could pay up to $110B, roughly a 30% premium; the stock-versus-debt mix is unclear, and Lumentum holders might own a third of the combined company. If the deal falls apart, Marvell could rise 10-12%. x.com 

Marvell's ambitious long-range outlook is encouraging about hyperscaler and AI-lab spending plans, but hitting it depends on AI revenue and token consumption soaring through decade's end. Even if its FY28 estimates rise again, Marvell trades at a healthy premium to Nvidia and Broadcom, especially on a GAAP basis, and those two are growing fast too. x.com 

Marvell expects its revenue to grow tenfold in five years to $80B, driven by custom chips it builds for hyperscalers. Those companies design their own chips to reduce reliance on Nvidia and cut the long-term cost of off-the-shelf parts. The custom segment had no revenue two years ago and is expected to bring in $30B by 2031. x.com