Nvidia CEO Jensen Huang predicted Marvell Technology would be the next chip company to reach a trillion-dollar valuation, but that milestone actually went to Advanced Micro Devices this week.
Still, Seaport says Marvell shares could be a good way to benefit from the ongoing AI data-center expansion. The firm started coverage of the stock this week with a bullish rating.
Seaport’s price target suggests only a small increase for Marvell in the near term, even though the stock has already jumped in 2026. The firm expects bigger gains for two other chip companies it rated bullish this week: On Semiconductor and Semtech.
Seaport believes Marvell has strong growth ahead as its interconnect and custom silicon businesses keep benefiting from high AI demand. Marvell is now a key supplier of optical networking products that connect servers in data centers, and it also designs custom chips. The company recently landed a major partnership with Google. According to Seaport, data centers now make up about three-quarters of Marvell’s total revenue, up from around 40% in fiscal 2024.
On Semiconductor is also set to benefit from the data-center expansion. Seaport says the company is seeing stronger demand for analog semiconductors in industrial and automotive markets, along with better gross margins. On Semiconductor is well placed to take advantage of the move to 800-volt data-center power systems expected in 2027 and 2028. The company is expected to play a key role in this transition, working with Nvidia on next-generation AI data-center infrastructure.
Seaport says Semtech has reinvented itself by moving away from traditional connectivity products and focusing on data-center optical technology.
