Marvell Stock Surges 32% After Nvidia CEO Huang’s Trillion-Dollar Call, June 03

Marvell Technology stock surged 32% to $290.79 on June 2 after Nvidia CEO Jensen Huang called the chipmaker the “next trillion-dollar company” at Computex in Taipei. The endorsement comes as AI data center connectivity becomes a critical bottleneck for the industry. Marvell’s market cap reached $254 billion, up from $191.96 billion on June 1, reflecting investor confidence in its role supplying networking chips to the AI infrastructure boom.

Huang’s Endorsement Ignites AI Chip Rally

Nvidia CEO Jensen Huang interrupted Marvell CEO Matt Murphy on stage at Computex to declare Marvell the next trillion-dollar company. Huang emphasized that data center connectivity is the next major bottleneck for AI growth, positioning Marvell as essential to solving this problem. The two companies announced a strategic partnership in March, and Nvidia has already invested $2 billion in Marvell, demonstrating the depth of their collaboration in AI networking.

Stock Performance and Year-to-Date Gains

Marvell shares gained 7% on June 1, then surged 32% on June 2 to $290.79, marking the stock’s best single-day performance since 2000. Year-to-date, the stock has climbed 242%, far outpacing the broader market. Premarket trading on June 3 showed an additional 19% jump, pushing the stock near $300. The company’s market cap now stands at $254 billion, though still far from the $1 trillion level Huang predicted.

Teralynx T100 and Strong Earnings Drive Momentum

Beyond Huang’s endorsement, Marvell reported strong first-quarter fiscal 2027 results with record revenue and raised guidance for both fiscal 2027 and 2028. The company unveiled the Teralynx T100, the industry’s first 102.4 terabits per second switch silicon designed for AI and cloud data centers. Customer sampling begins this quarter. Meyka rates MRVL a B+ with a 12-month price target of $121.99, though the stock’s RSI at 85.93 signals overbought conditions.

Broader AI Sector Momentum Continues

Huang’s Computex appearances moved markets beyond Marvell. Arm Holdings rose 15.73% after he joined ARM’s CEO on stage. The S&P 500 hit a record close on June 2, while Asia-Pacific markets opened higher on June 3. Analysts at major firms flagged the AI infrastructure build-out as a sustained driver of semiconductor demand. Goldman Sachs CEO David Solomon told CNBC that investors have shifted decisively into “greed” mode, with markets poised to test an unprecedented fundraising wave for AI firms.

Final Thoughts

Marvell’s 32% surge reflects investor confidence in AI networking chips and Nvidia’s seal of approval. With Meyka rating the stock B+ and analyst consensus at Buy, the data points to continued strength, though the overbought RSI suggests caution near current levels.

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