Morgan Stanley analyst Joseph Moore reiterated an Equalweight rating and $20.00 price target on Marvell (NASDAQ: MRVL) after the company guided below consensus around macroeconomic weakness. The business appears to be stabilizing but growing less than prior expectations. However, 5G will start to ramp this quarter, earlier than expectations which should lead to above consensus revenue growth around 5G; but is it priced in?

The analyst stated "We admire what Marvell has accomplished in a tough environment, and we like the 5g opportunity, but the enthusiasm for the stock has surprised us. Notably, 5g is hardly undiscovered, given that it has defined the story for the last year, and while certainly the growth will persist into 2021 given that the Nokia ramp starts late 2020, without that ramp the multiple would
clearly be quite a bit lower".

For an analyst ratings summary and ratings history on Marvell click here. For more ratings news on Marvell click here.

Shares of Marvell closed at $24.20 yesterday.