Marvell Technology Shares Drop After Disappointing Q1 Guidance

Despite strong AI product demand, Marvell Technology's overall business faced declines, leading to a significant share price fall.

Marvell Technology's Q4 results showed strong AI product demand but disappointing guidance for Q1, causing shares to drop by over 9%.
Analysts remain optimistic, highlighting AI revenue potential and expecting recovery in the second half of the fiscal year.
The company's data center division, including AI products, saw a 54% increase in sales, contrasting with declines in other divisions.
Marvell anticipates soft demand in consumer, carrier infrastructure, and enterprise networking divisions to continue in the near term.
Despite the setbacks, the company projects a recovery and continued sequential growth in data center revenue, driven by AI.