Marvell Technology(US:MRVL) 智通财经网·2025-06-23 07:17Core Insights - Marvell Technology (MRVL.US) showcased its advancements in custom AI chips during its "Custom AI Investor Day," highlighting significant partnerships with Amazon and Microsoft, which are expected to drive a multi-billion dollar custom chip business [1][2][5] Custom AI Chip Business - The custom ASIC business is rapidly growing, with projected sales of $650 million in FY2025, accounting for 11% of total sales and over 25% of data center chip sales, expected to rise to over 50% [2] - Marvell introduced the industry's first 2nm custom SRAM, featuring 6 GB of ultra-fast on-chip memory, reducing standby power consumption by two-thirds and chip area by 15% [2] Power and Efficiency Enhancements - The company demonstrated optimized integrated power solutions that allow AI clusters to perform more computations without increasing energy costs [3] - A new multi-chip packaging platform was introduced, offering better performance at a lower cost compared to single-chip packaging [3] Market Position and Strategy - Marvell is positioned as a key player in AI chip projects for major cloud providers, having co-developed the Trainium chip with Amazon AWS and secured design orders for Microsoft's Maia 100 AI accelerator [5][7] - The company is establishing itself as a "chip shepherd" for cloud service providers, offering a comprehensive IP product portfolio and expertise in custom AI chip development [7] Market Growth Projections - The total addressable market (TAM) for data centers is expected to grow from $21 billion last year to $75 billion by 2028, with a compound annual growth rate (CAGR) of 29% [8] - Marvell aims to capture 20% of the cloud/data center semiconductor market, focusing on custom silicon business models [8] Financial Performance - The latest quarterly report showed a 76% year-over-year increase in data center sales, reaching $1.44 billion, which constitutes nearly 80% of total sales [8] - AI chip sales are projected to exceed $2.5 billion this fiscal year, a significant increase from $200 million just a couple of years ago [8] Valuation and Analyst Ratings - Marvell's non-GAAP forward P/E ratio is 26.3, down 33% from its five-year average, indicating an attractive valuation for investors [10] - Analysts expect steady growth in earnings per share, projecting an increase from approximately $2.80 in January 2026 to $4.35 in 2028, with a growth rate exceeding 20% [11] - The average price target for Marvell is $92.23, representing a 25% upside from the current price of $73.51, with a strong buy rating from Wall Street analysts [13][16]