MRVL Stock Dumps After Q3 Guidance Misses

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Key Drivers of the MRVL Stock Move

Marvell (MRVL) plummeted 18.9% to $62.66 on massive 81.6M volume (vs 10-15M average)
Q2 EPS beat expectations at $0.67 vs $0.66 estimate, but Q3 revenue guidance midpoint missed at $2.06B vs $2.105B
Strategic pivot: selling automotive unit for $2.5B to focus entirely on AI and data center business

Despite beating Q2 earnings expectations with $0.67 EPS versus $0.66 consensus, MRVL crashed after issuing disappointing Q3 guidance. The company’s revenue forecast of $1.957B-$2.163B fell short of the $2.105B analyst estimate, triggering widespread price target cuts across Wall Street.

MRVL Unusual Options

Heavy options activity dominated trading with over $2M in premium across puts and calls. Notable activity included large put purchases in the $60-70 strike range and significant call buying in longer-dated contracts, suggesting mixed sentiment on recovery timing. The $70 PUT contracts expiring Friday saw massive volume as the stock broke below key support levels.

MRVL Seasonality

Historical data shows August has been challenging for MRVL, with only 40% positive periods and an average decline of 6.7% based on five years of data since August 2020. However, September historically shows improvement with November typically delivering strong 15.7% average gains (100% positive rate).

MRVL Relative Performance

MRVL’s relative performance versus the S&P 500 has deteriorated significantly, falling from the 75th percentile in late July to the 44th percentile by late August, indicating underperformance against broader market strength.