While the elite “Magnificent Seven” group has long held the spotlight, all thanks to the artificial intelligence (AI) boom, Robinhood (HOOD) has recently dropped a surprising update that suggests a shift is underway. According to the popular trading platform, retail investors are starting to move away from the usual tech heavyweights and toward companies that have posted strong earnings, even if their stock prices have taken a hit.

Chip giant Nvidia (NVDA), once a retail favorite, is now among the most sold stocks on Robinhood, signaling a strategic change in investment approach, said Steve Quirk, the firm’s chief brokerage officer, in a CNBC interview. In fact, one unexpected name gaining traction in this rotation trend is Marvell Technology (MRVL). The chipmaker’s stock has tumbled nearly 38% in 2025, but that hasn’t stopped retail investors from giving it a second look. So, with this interesting insight from Robinhood in mind, it might be an opportune time to take a closer look at MRVL stock.

About Marvell Stock

For more than 25 years, Delaware-based Marvell Technology (MRVL) has partnered with major tech firms to create semiconductor solutions that power data movement, storage, processing, and security. With a focus on collaboration and industry needs, Marvell plays a role in advancing enterprise, cloud, automotive, and carrier infrastructure, keeping pace with today’s demands.

Once riding high, Marvell has taken a sharp turn this year. With a market cap around $59 billion, the chipmaker’s stock has plummeted more than 46% from its January peak of $127.48. While the broader S&P 500 Index ($SPX) has managed a modest 2.6% gain so far this year, MRVL remains deep in the red, underscoring just how steep the company’s slide has been. But the recent momentum tells a different story. Over the past month, the stock has jumped nearly 16%, catching investors’ attention and signaling a possible turnaround.

After a rough start to the year, Marvell is now trading at 32.1 times forward earnings and 10.24 times sales, below its own five-year averages of 39.2x and 10.44x, respectively. The slide in valuation marks a shift in market expectations, but it also puts the stock in a more compelling range for those watching for a potential comeback.

Marvell Delivers Strong Q1 Earnings Results

Marvell opened its fiscal 2026 on a high note, with first-quarter earnings reported on May 29 beating Wall Street’s expectations across the board. Revenue hit a record $1.9 billion, up an impressive 63% year over year and slightly ahead of estimates. Leading the charge was the Data Center segment, which generated $1.4 billion, 76% of total revenue, and also posted a 76% year-over-year surge. 

Marvell credited this sharp growth to soaring production of its custom AI chips, along with robust demand for electro-optics products built to support AI and cloud infrastructure. While Marvell’s Data Center segment stole the spotlight, other parts of the business also delivered solid gains. For instance, Enterprise Networking pulled in $178 million, marking a healthy 16% year-over-year increase, while Carrier Infrastructure saw a breakout moment with revenue surging 93% to $138 million. 

On the bottom line, adjusted earnings per share came in at $0.62, an eye-catching 158.3% annual jump from the year prior and a notch above Wall Street’s $0.61 estimate. Looking forward to the second quarter, the company expects revenue to come in around $2 billion, give or take 5%. GAAP gross margin is projected between 50% and 51%, while non-GAAP gross margin is expected to be higher at 59% to 60%. Plus, non-GAAP EPS is forecast at $0.67, plus or minus $0.05 per share. 

What Do Analysts Expect for Marvell Stock? 

Overall, Wall Street is waving the green flag for MRVL, with a “Strong Buy” consensus reflecting widespread optimism about the stock’s growth prospects. Of the 32 analysts offering recommendations, 24 are giving it a solid “Strong Buy,” three suggest a “Moderate Buy,” and the remaining five give a “Hold.”

MRVL’s average analyst price target of $91.03 indicates 34% potential upside from the current price levels. The Street-high price target of $149 suggests an even greater leap of 118% from here. 

Marvell’s strong earnings and rising investor interest signal it’s stepping out of the shadow of tech giants and into the spotlight. Plus, keeping in mind Wall Street’s bullish backing and compelling valuation levels, for anyone eyeing the semiconductor space, Marvell is definitely worth a second look.