Marvell Technology shares surge on strong Q3 earnings and positive Q4 outlook

Shares of chipmaker Marvell Technology (NASDAQ:MRVL) soared 13.5% in premarket trading, reaching $108.85, after the company reported better-than-expected Q3 results and issued a robust forecast for Q4.

For the third quarter, Marvell posted revenue of $1.52 billion, surpassing analysts' estimates of $1.46 billion.

The company's performance was driven by strong demand for its custom AI chips, with data center revenue doubling to $1.10 billion.

Marvell's adjusted earnings per share (EPS) came in at 43 cents, topping Wall Street's forecast of 41 cents.

Looking ahead, Marvell projected Q4 revenue of $1.8 billion, plus or minus 5%, well above analysts' expectations of $1.65 billion, according to LSEG data.

As of the last close, Marvell's stock had risen 59.1% year-to-date, underscoring investor optimism surrounding the company's growth prospects in the AI and data center sectors.