The actions of the Marvel chip manufacturer decrease after a quarterly forecast of quarterly revenues

The actions of the Marvel chip manufacturer decrease after a quarterly forecast of quarterly revenues

Chips Marvell Technology manufacturer provided for a turnover below the Wall Street estimates for the third quarter, with economic uncertainty and fears of rates that weigh on customers’ expenditure and on demand in general.




The shares of the company, which produces custom chips to feed the workloads of the AI, have retired more than 8% in post-market negotiations.

Chip producers are subjected to intense control by investors, since the high expectations of Wall Street around artificial intelligence leave little room for disappointment.

Marvell’s forecast was considered disappointing, especially after strong results from other artificial intelligence hardware companies, Svanberg, Stifel analyst said.

“Our personalized activity is behaving well and is still on the way to grow in the second half of the fiscal year compared to the first. However, we plan that the growth will not be linear, with the fourth quarter substantially stronger than the third,” said the company manager, Matt Murphy, in a conference after the result.

Persistent economic uncertainty and economic uncertainty led customers to postpone purchases, with consequent weak demand in the final car, industrial and infrastructure markets of Marvell.

Marvell provides a quarterly turnover of 2.06 billion dollars, with a margin of 5% more or less, against an average estimate of $ 2.11 billion in analysts, according to the data compiled by LSEG.

For the second quarter, closed on August 2, Marvell found income of 2.01 billion dollars, in line with analysts’ estimates.

The revenues of the Data Center segment, the largest in Marvell, increased by 3%to $ 1.49 billion in the quarter, but were below the estimates of $ 1.51 billion.

Source: Terra

You may also like