Zheng Quan Shi Bao·2025-08-30 09:35Core Viewpoint - The AI chip sector is facing significant challenges, highlighted by the sharp decline in Marvell Technology's stock price due to disappointing earnings guidance and performance [2][4]. Financial Performance - Marvell Technology expects third-quarter revenue of $2.06 billion, below analyst expectations of $2.1 billion [4]. - The company's second-quarter revenue was $2.01 billion, a 58% year-over-year increase, meeting analyst expectations [5]. - Data center revenue contributed $1.49 billion, a 69% year-over-year increase, but fell short of the average analyst estimate of $1.51 billion [5]. Analyst Sentiment - Analyst Vivek Arya from Bank of America downgraded Marvell's rating from "Buy" to "Neutral," citing rising uncertainties regarding the company's growth trajectory and project timelines [5]. - Arya adjusted the 2026 data center business growth forecast from 23%-25% to mid-double-digit levels due to concerns over project delays and market competition [5]. Market Reaction - On August 29, Marvell's stock fell nearly 19%, contributing to a year-to-date decline of over 40% [2][5]. - The Philadelphia Semiconductor Index dropped over 3%, with major chip stocks like Broadcom, AMD, and NVIDIA also experiencing declines [6]. Industry Context - The overall semiconductor market is facing volatility, with high expectations previously built around AI chip stocks leading to limited room for error in earnings reports [8]. - NVIDIA reported second-quarter revenue of $46.7 billion, exceeding expectations, but the market reacted negatively due to concerns over slowing growth rates in AI spending [8][9]. - NVIDIA's CEO emphasized the ongoing demand for AI computing power and projected significant market expansion in the coming years, despite short-term growth concerns [9].