Marvell’s Two-Stage Rocket: Record Results and a Nvidia CEO Nod Send Shares to New Highs

The AI infrastructure trade has found a new poster child. Marvell Technology, once a diversified chipmaker, has transformed into a pure-play beneficiary of the data center buildout — and the market is pricing in that shift at breakneck speed. Over the past twelve months, the stock has surged more than 400%, and the latest leg came from an unlikely source: a single sentence from Nvidia’s CEO.

At the Computex 2026 conference in Taipei, Jensen Huang predicted that Marvell could become the next company to reach a trillion-dollar market capitalization. The remark sent shares soaring more than 32% in a single session — one of the largest single-day gains in recent NASDAQ-100 history. The move lifted Marvell’s stock to €249.65 at the close, though it has since edged higher to €279.20, just shy of the all-time high of €290.35 set in early June.

But Huang’s compliment was not just hot air. Marvell had just reported a record first fiscal quarter for 2027, with revenue of $2.418 billion — up 28% year-over-year. Non-GAAP earnings per share came in at $0.80, beating analyst estimates. Operating cash flow hit a record $639 million. The data center segment now contributes roughly 76% of total revenue, a stunning rise from under 10% just a few years ago.

Should investors sell immediately? Or is it worth buying Marvell Technology?

The company also unveiled a new product: the Teralynx T100, a 102.4-terabit-per-second switch designed specifically for hyperscale AI clusters with lower power consumption. The switch addresses a critical bottleneck in modern AI infrastructure — the high-speed interconnect between thousands of processors. Management noted that bookings for AI components have risen sharply and raised the long-term outlook. For the second quarter, Marvell expects revenue of around $2.7 billion, implying 35% annual growth. The next earnings report is due in August 2026.

The stock’s recent acceleration has also been amplified by options market mechanics. On June 3, roughly 102 million Marvell shares changed hands — about 257% above the three-month average. Aggressive call buying triggered a gamma squeeze, forcing dealers to hedge and pushing the stock higher. The trailing price-to-earnings ratio has climbed to around 94, a valuation that bakes in extraordinary future earnings growth.

Not everyone is holding on. Natixis Advisors trimmed its position by 7.8% but still owns over 730,000 shares. Company insiders have sold approximately $32 million worth of stock over the past three months. Profit-taking after a triple-digit rally is hardly unusual, and it does not alter the substance of the operational story. The underlying question is whether the momentum can justify a multiple that implies near-perfect execution for years to come. With annualized volatility above 107%, the ride is unlikely to smooth out anytime soon.