Marvell Technology (MRVL) is expected to benefit from scaling data center builds, with AI networking and custom ASIC demand supporting upside to its fiscal Q2 results, Oppenheimer said in a Thursday note.
The firm models 2026 and 2027 EPS of $4.19 and $6.24 and introduced a 2028 sales estimate of $24 billion and EPS estimate of $9.71.
Oppenheimer expects data center revenue to increase 44% year over year in fiscal Q2.
Networking accounts for about half of data center revenue and is being led by PAM4 electro-optics, with interconnect revenue tracking above 70% growth, the report said.
Oppenheimer also expects Microsoft's Maia program to begin shipping late this year and contribute $700 million to 2027 revenue.
Marvell Technology will report fiscal Q2 results on Aug. 27.
The firm maintained its outperform rating on Marvell Technology and raised its price target to $300 from $250.
Price: $236.05, Change: $-14.96, Percent Change: -5.96%