Marvell Technology shares rallied on Tuesday after the chipmaker unveiled ambitious long-term revenue targets during its investor day.
Marvell Technology (NASDAQ: MRVL) initially fell about 3% at the start of the presentation. However, the stock quickly reversed course and climbed as much as 10% after management revealed its growth outlook.
Shares were last trading around 7.5% higher.
Marvell Targets a $400 Billion Market by 2030
CEO Matt Murphy told investors that Marvell expects its total addressable market to reach approximately $400 billion by 2030.
The company believes rapid growth in artificial intelligence infrastructure, custom computing and advanced networking will significantly expand its long-term opportunity.
Management also introduced revenue targets that exceeded current Wall Street expectations.
Marvell Projects $20 Billion in Fiscal 2028 Revenue
Marvell expects total revenue to reach approximately $20 billion in fiscal year 2028.
The company then sees revenue accelerating sharply to between $70 billion and $90 billion by fiscal year 2031.
Those targets imply substantial growth from Marvell’s fiscal 2026 revenue base of roughly $8.2 billion.
They also suggest that management expects the company’s AI and data center businesses to become significantly larger over the next several years.
Revenue Target Tops Wall Street Estimates
Marvell’s fiscal 2028 target is above current analyst expectations.
Before the investor day presentation, Wall Street forecasts called for approximately $12.05 billion in revenue for fiscal 2027 and $18.2 billion for fiscal 2028.
Reaching Marvell’s $20 billion fiscal 2028 target would therefore require the company to grow faster than analysts currently expect.
The ambitious outlook helped fuel the rally in Marvell Technology stock following the presentation.
AI Data Centers Drive Marvell’s Growth Outlook
Artificial intelligence infrastructure is expected to be one of the company’s most important growth drivers.
Chief Financial Officer Dan Durn highlighted the rapid expansion of global AI data centers and the growing investment required to support them.
The AI infrastructure boom is creating strong demand for custom computing chips, networking technology and other specialized semiconductor products.
Marvell expects these trends to support demand for its custom compute and networking silicon over the long term.
Marvell Positions for the AI Infrastructure Boom
The company’s latest targets highlight how aggressively Marvell expects to benefit from rising investment in artificial intelligence.
Major technology companies continue to spend heavily on data centers and computing infrastructure as demand for AI services grows.
If Marvell can capture a meaningful share of this expanding market, its revenue could increase significantly over the remainder of the decade.
For investors, the company’s ambitious revenue targets and exposure to the AI data center boom have strengthened expectations for long-term growth and helped push Marvell Technology shares sharply higher.
