Investors Buy Large Volume of Call Options on Marvell Technology (NASDAQ:MRVL)

Marvell Technology, Inc. (NASDAQ:MRVL) was the target of some unusual options trading activity on Thursday. Traders purchased 146,383 call options on the stock. This is an increase of approximately 74% compared to the typical volume of 84,084 call options.

Marvell Technology Stock Performance

Shares of MRVL stock opened at $59.28 on Friday. The stock has a market capitalization of $51.21 billion, a P/E ratio of -34.87, a PEG ratio of 1.61 and a beta of 1.83. The company has a current ratio of 1.60, a quick ratio of 1.11 and a debt-to-equity ratio of 0.30. The firm’s 50 day moving average is $58.72 and its 200 day moving average is $86.86. Marvell Technology has a 12 month low of $47.09 and a 12 month high of $127.48.

Marvell Technology (NASDAQ:MRVL) last posted its earnings results on Thursday, May 29th. The semiconductor company reported $0.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.61 by $0.01. The firm had revenue of $1.90 billion for the quarter, compared to the consensus estimate of $1.88 billion. Marvell Technology had a positive return on equity of 4.59% and a negative net margin of 27.49%. The business’s quarterly revenue was up 63.3% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.24 earnings per share. On average, sell-side analysts anticipate that Marvell Technology will post 0.91 earnings per share for the current year.

Marvell Technology Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, May 1st. Investors of record on Friday, April 11th were issued a dividend of $0.06 per share. The ex-dividend date of this dividend was Friday, April 11th. This represents a $0.24 dividend on an annualized basis and a yield of 0.40%. Marvell Technology’s dividend payout ratio (DPR) is -23.53%.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the company. Evercore ISI cut their target price on Marvell Technology from $135.00 to $133.00 and set an “outperform” rating on the stock in a research report on Friday. Loop Capital cut their price objective on shares of Marvell Technology from $110.00 to $90.00 and set a “buy” rating on the stock in a report on Friday. Summit Insights cut shares of Marvell Technology from a “buy” rating to a “hold” rating in a report on Thursday, March 6th. Raymond James restated an “outperform” rating and set a $90.00 price target (down from $110.00) on shares of Marvell Technology in a report on Friday. Finally, KeyCorp cut their price target on shares of Marvell Technology from $115.00 to $90.00 and set an “overweight” rating on the stock in a report on Friday. Seven equities research analysts have rated the stock with a hold rating, twenty-three have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $94.21.

Insider Activity at Marvell Technology

In related news, Director Brad W. Buss purchased 3,000 shares of the business’s stock in a transaction on Friday, March 7th. The stock was acquired at an average price of $69.00 per share, for a total transaction of $207,000.00. Following the purchase, the director now owns 87,113 shares of the company’s stock, valued at approximately $6,010,797. This trade represents a 3.57% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO Willem A. Meintjes sold 1,500 shares of Marvell Technology stock in a transaction dated Monday, March 17th. The shares were sold at an average price of $68.83, for a total value of $103,245.00. Following the transaction, the chief financial officer now owns 113,592 shares of the company’s stock, valued at $7,818,537.36. This trade represents a 1.30% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 33,541 shares of company stock valued at $2,079,948. 0.33% of the stock is owned by company insiders.

Institutional Trading of Marvell Technology

A number of institutional investors have recently added to or reduced their stakes in MRVL. Vanguard Group Inc. lifted its stake in Marvell Technology by 1.9% in the 1st quarter. Vanguard Group Inc. now owns 63,770,122 shares of the semiconductor company’s stock worth $3,926,326,000 after purchasing an additional 1,212,338 shares in the last quarter. Goldman Sachs Group Inc. lifted its stake in Marvell Technology by 32.3% in the 1st quarter. Goldman Sachs Group Inc. now owns 20,661,308 shares of the semiconductor company’s stock worth $1,272,117,000 after purchasing an additional 5,050,159 shares in the last quarter. Brown Advisory Inc. raised its position in shares of Marvell Technology by 2.2% in the first quarter. Brown Advisory Inc. now owns 19,300,527 shares of the semiconductor company’s stock worth $1,188,333,000 after buying an additional 423,892 shares in the last quarter. Invesco Ltd. raised its position in shares of Marvell Technology by 30.1% in the fourth quarter. Invesco Ltd. now owns 16,157,979 shares of the semiconductor company’s stock worth $1,784,649,000 after buying an additional 3,737,705 shares in the last quarter. Finally, Janus Henderson Group PLC raised its position in shares of Marvell Technology by 6.9% in the fourth quarter. Janus Henderson Group PLC now owns 13,239,154 shares of the semiconductor company’s stock worth $1,462,274,000 after buying an additional 857,087 shares in the last quarter. Hedge funds and other institutional investors own 83.51% of the company’s stock.

Marvell Technology Company Profile

Marvell Technology, Inc, together with its subsidiaries, provides data infrastructure semiconductor solutions, spanning the data center core to network edge. The company develops and scales complex System-on-a-Chip architectures, integrating analog, mixed-signal, and digital signal processing functionality.