How to Approach ‘Next Trillion-Dollar Co.’ Marvell Late in Game
We missed making some money in Marvell over 2026, so here’s how I’d handle the name now, and in the longer term.
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At the advent of AI-capable chip design, we had long invested in both Nvidia (NVDA) as the obvious industry leader, and Advanced Micro Devices (AMD), without fail. AMD, we had correctly felt at the time, was the one designer that might be best able to compete against Nvidia, though nobody was really that close. Some readers may remember that we had said way back when that if a third player were to arise, it would be Marvell Technology (MRVL).
We had dabbled in the name, but hadn’t stayed invested like we had in both NVDA and AMD. Hence, the Sarge-folio, though it had made some dough in MRVL over time, has missed the surge in the share price of 2026.
But you know who did see this? Chris Versace. We gave to give credit where credit is due. Versace has had his portfolio at TheStreet Pro invested in MRVL for over a year.
Jensen Huang’s Take
Speaking alongside Marvell Technology CEO Matt Murphy from Taipei, Nvidia CEO Jensen Huang said that Marvell is set to be the “next trillion-dollar company.” Huang added that Marvell’s networking and connectivity chips are essential to the modern data center where complex tasks are spread across thousands of connected chips.
Huang wasn’t done: “When you take a computing problem, and you disaggregate it into a lot of parts, and you distribute it across the entire data center, what’s necessary is connectivity. That’s the reason why Matt’s doing so well. That’s the reason why Marvel is so essential. We’ve distributed and disaggregated computing so that it runs across these enormous clusters, so that we could get aggregating the total compute, the total memory, the total bandwidth that we have, and what makes it possible is connectivity.”
By the way, Huang is not just flapping his gums. In late March, Nvidia announced a planned $2 billion investment in Marvell. That deal tied Marvell to Nvidia’s AI ecosystem, making it easier for customers to build upon the infrastructure. Both companies will also work together to develop silicon photonics technology and AI-focused telecommunications infrastructure. For those wondering, Marvell Technology’s market cap, on Monday closed south of $200 billion.
Marvell posted fiscal first-quarter financial results last week. The company beat expectations for both adjusted earnings per share and revenue, while those sales grew 28% year over year.
The Chart
Readers will see that MRVL broke out of the recent uptrend in mid-May and will now experience a gap-up opening as algorithmic traders react to Jensen Huang’s words. Relative Strength and the daily moving average convergence divergence both reflect technically overbought conditions that will only worsen once the bell rings.
While I do think that MRVL is a longer-term “buy,” my feeling is that this name is a short for today if one can get some shares off close to the $260 level. If a short is implemented, I would not try to take home more than a 10% profit. This is a trade. We’re not planting a flag. I also would not allow for a loss of more than 8%. That’s the panic point.
At the time of publication, Guilfoyle was long NVDA, AMD equity.
