UBS Raises Marvell (MRVL) Price Target to $110, Citing Strong Optics and Microsoft ASIC Wins

Core Viewpoint - Marvell Technology, Inc. is gaining attention as an AI stock, with UBS raising its price target to $110 from $105 while maintaining a "Buy" rating, driven by optimism in its optics business and Microsoft-related ASIC wins [1][2]. Financial Estimates - UBS is adjusting its estimates upward due to a positive outlook for Marvell's optics segment and anticipates additional revenue from Microsoft-related ASICs starting in late 2026 and into 2027 [2]. - The firm projects a potential increase in FQ4 (January) guidance to as high as $2.2 billion, compared to the street estimate of $2.175 billion, reflecting a slight upward bias [3]. - Earnings per share (EPS) estimates have been revised from an average of $3.51 for CY26/27 to $4.43 for CY27, up from a prior estimate of $3.85, applying a 25x next twelve months price-to-earnings (NTM PE) ratio [3]. Business Focus - Marvell Technology specializes in the development and production of semiconductors, with a strong emphasis on data centers [3].