Marvell Technology announced a deal to acquire Lumentum Holdings in an all-stock transaction. Based on stock prices prior to the deal leaking a week earlier, the deal values Lumentum at roughly $115 billion, or about a 24% premium to market price. Management expects to close the deal in early 2028.
Marvell’s strong position in optical chips and its burgeoning custom chip business offer a strong foothold into generative AI infrastructure, which should fuel high growth.
Marvell is significantly smaller than competitors like Broadcom and Nvidia, which risks the firm being unable to invest adequately to keep up with these massive peers.
Metric | MRVL | INTC | AVGO |
|---|---|---|---|
Price/Earnings (Normalized) | 42.80 | 103.58 | 30.09 |
Price/Book Value | 6.84 | 2.60 | 14.02 |
Price/Sales | 13.25 | 4.76 | 16.10 |
Price/Cash Flow | 37.05 | 14.07 | 27.61 |
Metric | MRVL | INTC | AVGO |
|---|---|---|---|
Quick Ratio | 2.46 | 1.55 | 2.15 |
Current Ratio | 3.17 | 2.21 | 2.50 |
Interest Coverage | 3.55 | −8.99 | 13.88 |
Metric | MRVL | INTC | AVGO |
|---|---|---|---|
Return on Assets (Normalized) | 12.29% | 5.80% | 27.66% |
Return on Equity (Normalized) | 18.62% | 11.41% | 57.31% |
Return on Invested Capital (Normalized) | 7.89% | 7.13% | 34.36% |
1-Day Chart | Name | Price | Morningstar Rating for Stocks | Capital Allocation | Economic Moat | Market Cap |
|---|---|---|---|---|---|---|
| NVIDIA Corp NVDA | LOCK|Nm?@n$j | LOCK|?%C | $5T | |||
| Taiwan Semiconductor Manufacturing Co Ltd ADR TSM | LOCK|&K@%jrQ | LOCK|y! | $2T | |||
| Broadcom Inc AVGO | LOCK|c#$>&%W | LOCK|@S | $1T | |||
| Micron Technology Inc MU | LOCK|m?$@b$ | LOCK|lSw | $781B | |||
| Advanced Micro Devices Inc AMD | LOCK|?ggK%z$K | LOCK|wqj<F | $736B | |||
| SK hynix Inc ADR SKHY | LOCK|zbND#%y | LOCK|?Q | $588B | |||
| Intel Corp INTC | LOCK|?^?@WD | LOCK|jTT | $299B | |||
| Texas Instruments Inc TXN | LOCK|TJDXRDh | LOCK|BCz | $254B | |||
| ARM Holdings PLC ADR ARM | LOCK|KGltk% | LOCK|s@S | $187B | |||
| Qualcomm Inc QCOM | LOCK|Ch@BXVf | LOCK|v<$?D | $177B |
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