MARVELL TECHNOLOGY INC (MRVL) Stock Fundamental Analysis
USA - NASDAQ:MRVL - US5738741041 - Common Stock
93.74 USD
+5.17 (+5.84%)
93.66 USD
-0.08 (-0.09%)
We assign a fundamental rating of 5 out of 10 to MRVL. MRVL was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. The financial health of MRVL is average, but there are quite some concerns on its profitability. MRVL is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
MRVL had positive earnings in the past year.
In the past year MRVL had a positive cash flow from operations.
MRVL had negative earnings in each of the past 5 years.
MRVL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.50%, MRVL perfoms like the industry average, outperforming 47.32% of the companies in the same industry.
MRVL's Return On Equity of -0.77% is in line compared to the rest of the industry. MRVL outperforms 47.32% of its industry peers.
MRVL's Return On Invested Capital of 1.89% is in line compared to the rest of the industry. MRVL outperforms 53.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.5% | ||
| ROE | -0.77% | ||
| ROIC | 1.89% |
ROA(3y)-3.17%
ROA(5y)-2.8%
ROE(3y)-4.64%
ROE(5y)-3.98%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Operating Margin value of 6.02%, MRVL perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
MRVL has a Gross Margin (44.64%) which is in line with its industry peers.
MRVL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.02% | ||
| PM (TTM) | N/A | ||
| GM | 44.64% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.69%
GM growth 5Y-3.85%
2. Health
2.1 Basic Checks
MRVL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, MRVL has about the same amount of shares outstanding.
Compared to 5 years ago, MRVL has more shares outstanding
Compared to 1 year ago, MRVL has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 7.26 indicates that MRVL is not in any danger for bankruptcy at the moment.
MRVL has a better Altman-Z score (7.26) than 66.07% of its industry peers.
MRVL has a debt to FCF ratio of 2.92. This is a good value and a sign of high solvency as MRVL would need 2.92 years to pay back of all of its debts.
MRVL has a Debt to FCF ratio of 2.92. This is in the better half of the industry: MRVL outperforms 63.39% of its industry peers.
A Debt/Equity ratio of 0.30 indicates that MRVL is not too dependend on debt financing.
MRVL has a Debt to Equity ratio of 0.30. This is comparable to the rest of the industry: MRVL outperforms 40.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.92 | ||
| Altman-Z | 7.26 |
ROIC/WACC0.16
WACC11.68%
2.3 Liquidity
A Current Ratio of 1.88 indicates that MRVL should not have too much problems paying its short term obligations.
MRVL has a Current ratio of 1.88. This is in the lower half of the industry: MRVL underperforms 75.00% of its industry peers.
MRVL has a Quick Ratio of 1.44. This is a normal value and indicates that MRVL is financially healthy and should not expect problems in meeting its short term obligations.
MRVL's Quick ratio of 1.44 is on the low side compared to the rest of the industry. MRVL is outperformed by 72.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 64.54% over the past year.
Measured over the past years, MRVL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.92% on average per year.
Looking at the last year, MRVL shows a very strong growth in Revenue. The Revenue has grown by 37.05%.
Measured over the past years, MRVL shows a quite strong growth in Revenue. The Revenue has been growing by 16.40% on average per year.
EPS 1Y (TTM)64.54%
EPS 3Y0.21%
EPS 5Y18.92%
EPS Q2Q%123.33%
Revenue 1Y (TTM)37.05%
Revenue growth 3Y8.93%
Revenue growth 5Y16.4%
Sales Q2Q%57.6%
3.2 Future
MRVL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 35.15% yearly.
Based on estimates for the next years, MRVL will show a very strong growth in Revenue. The Revenue will grow by 22.76% on average per year.
EPS Next Y82.15%
EPS Next 2Y47.51%
EPS Next 3Y38.51%
EPS Next 5Y35.15%
Revenue Next Year41.63%
Revenue Next 2Y28.19%
Revenue Next 3Y24.67%
Revenue Next 5Y22.76%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 40.41, which means the current valuation is very expensive for MRVL.
Based on the Price/Earnings ratio, MRVL is valued a bit cheaper than 65.18% of the companies in the same industry.
When comparing the Price/Earnings ratio of MRVL to the average of the S&P500 Index (26.11), we can say MRVL is valued expensively.
A Price/Forward Earnings ratio of 27.44 indicates a quite expensive valuation of MRVL.
Based on the Price/Forward Earnings ratio, MRVL is valued a bit cheaper than 66.96% of the companies in the same industry.
MRVL is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.55, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.41 | ||
| Fwd PE | 27.44 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as MRVL.
65.18% of the companies in the same industry are more expensive than MRVL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.82 | ||
| EV/EBITDA | 47.75 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MRVL's earnings are expected to grow with 38.51% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.49
PEG (5Y)2.14
EPS Next 2Y47.51%
EPS Next 3Y38.51%
5. Dividend
5.1 Amount
With a yearly dividend of 0.27%, MRVL is not a good candidate for dividend investing.
MRVL's Dividend Yield is a higher than the industry average which is at 2.14.
Compared to an average S&P500 Dividend Yield of 2.37, MRVL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
5.2 History
The dividend of MRVL decreases each year by -0.14%.
MRVL has paid a dividend for at least 10 years, which is a reliable track record.
MRVL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.14%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
MRVL has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-200.48%
EPS Next 2Y47.51%
EPS Next 3Y38.51%
93.74
+5.17 (+5.84%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners85.57%
Inst Owner Change-1.38%
Ins Owners0.18%
Ins Owner Change0.52%
Market Cap80.81B
Revenue(TTM)7.23B
Net Income(TTM)-103400000
Analysts79.17
Price Target91.51 (-2.38%)
Short Float %4.23%
Short Ratio1.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
Yearly Dividend0.24
Dividend Growth(5Y)-0.14%
DP-200.48%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.3%
Min EPS beat(2)-0.87%
Max EPS beat(2)0.27%
EPS beat(4)2
Avg EPS beat(4)0.68%
Min EPS beat(4)-0.87%
Max EPS beat(4)3.57%
EPS beat(8)3
Avg EPS beat(8)-0.71%
EPS beat(12)5
Avg EPS beat(12)-0.84%
EPS beat(16)7
Avg EPS beat(16)-0.04%
Revenue beat(2)0
Avg Revenue beat(2)-1.59%
Min Revenue beat(2)-2.09%
Max Revenue beat(2)-1.08%
Revenue beat(4)1
Avg Revenue beat(4)-0.46%
Min Revenue beat(4)-2.09%
Max Revenue beat(4)2.09%
Revenue beat(8)1
Avg Revenue beat(8)-0.9%
Revenue beat(12)1
Avg Revenue beat(12)-1.03%
Revenue beat(16)2
Avg Revenue beat(16)-0.76%
PT rev (1m)4.27%
PT rev (3m)-1%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)1.68%
EPS NY rev (1m)0.13%
EPS NY rev (3m)0.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.5%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-1.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.41 | ||
| Fwd PE | 27.44 | ||
| P/S | 11.17 | ||
| P/FCF | 52.82 | ||
| P/OCF | 43.81 | ||
| P/B | 6.02 | ||
| P/tB | 530.62 | ||
| EV/EBITDA | 47.75 |
EPS(TTM)2.32
EY2.47%
EPS(NY)3.42
Fwd EY3.64%
FCF(TTM)1.77
FCFY1.89%
OCF(TTM)2.14
OCFY2.28%
SpS8.39
BVpS15.57
TBVpS0.18
PEG (NY)0.49
PEG (5Y)2.14
Graham Number28.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.5% | ||
| ROE | -0.77% | ||
| ROCE | 2.39% | ||
| ROIC | 1.89% | ||
| ROICexc | 2.03% | ||
| ROICexgc | 9.31% | ||
| OM | 6.02% | ||
| PM (TTM) | N/A | ||
| GM | 44.64% | ||
| FCFM | 21.15% |
ROA(3y)-3.17%
ROA(5y)-2.8%
ROE(3y)-4.64%
ROE(5y)-3.98%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.69%
GM growth 5Y-3.85%
F-Score8
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.92 | ||
| Debt/EBITDA | 2.25 | ||
| Cap/Depr | 23.75% | ||
| Cap/Sales | 4.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.79% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 7.26 |
F-Score8
WACC11.68%
ROIC/WACC0.16
Cap/Depr(3y)20.72%
Cap/Depr(5y)19.16%
Cap/Sales(3y)5.03%
Cap/Sales(5y)4.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)64.54%
EPS 3Y0.21%
EPS 5Y18.92%
EPS Q2Q%123.33%
EPS Next Y82.15%
EPS Next 2Y47.51%
EPS Next 3Y38.51%
EPS Next 5Y35.15%
Revenue 1Y (TTM)37.05%
Revenue growth 3Y8.93%
Revenue growth 5Y16.4%
Sales Q2Q%57.6%
Revenue Next Year41.63%
Revenue Next 2Y28.19%
Revenue Next 3Y24.67%
Revenue Next 5Y22.76%
EBIT growth 1Y210.2%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year90.07%
EBIT Next 3Y36.52%
EBIT Next 5Y34.57%
FCF growth 1Y99.78%
FCF growth 3Y30.02%
FCF growth 5Y38.4%
OCF growth 1Y70.28%
OCF growth 3Y27.07%
OCF growth 5Y36.08%
MARVELL TECHNOLOGY INC / MRVL FAQ
What is the fundamental rating for MRVL stock?
ChartMill assigns a fundamental rating of 5 / 10 to MRVL.
What is the valuation status of MARVELL TECHNOLOGY INC (MRVL) stock?
ChartMill assigns a valuation rating of 4 / 10 to MARVELL TECHNOLOGY INC (MRVL). This can be considered as Fairly Valued.
What is the profitability of MRVL stock?
MARVELL TECHNOLOGY INC (MRVL) has a profitability rating of 3 / 10.
How financially healthy is MARVELL TECHNOLOGY INC?
The financial health rating of MARVELL TECHNOLOGY INC (MRVL) is 5 / 10.
Is the dividend of MARVELL TECHNOLOGY INC sustainable?
The dividend rating of MARVELL TECHNOLOGY INC (MRVL) is 3 / 10 and the dividend payout ratio is -200.48%.