Marvell Stock Surges 32% After Nvidia CEO Huang’s Trillion-Dollar Endorsement

Marvell Technology stock jumped 32% to $290.79 on June 2, 2026, after Nvidia CEO Jensen Huang predicted the chipmaker could become the next trillion-dollar company. Huang highlighted Marvell’s role in connecting AI data centers, calling the company “essential” to the infrastructure boom. The stock has now gained 158% since the start of 2026, with a market cap of $254 billion.

The Huang Effect on Marvell’s Stock

Marvell surged 25% in premarket trading to $272.66 on June 2, before climbing further to $290.79 by market close. The stock reached $291.30 intraday, near its 52-week high of $291.27. Analysts at GuruFocus noted the endorsement signals strong momentum for the chipmaker. Volume surged to 101.9 million shares, far above the 27.6 million average.

Why Marvell Matters to Nvidia’s AI Strategy

Marvell makes custom chips and optical interconnects that route data within AI clusters. Huang explained that when computing tasks split across data centers, connectivity becomes the bottleneck. Nvidia invested $2 billion in Marvell in March 2026 to tighten integration between the two companies’ systems. This stake gives Huang direct financial interest in Marvell’s success, though his comments still carry weight with investors betting on AI infrastructure.

Meyka’s Rating and Technical Warning Signs

Meyka rates MRVL a B+ with a 12-month target of $121.99, implying 58% downside from current levels. The stock’s RSI stands at 85.93, signaling overbought conditions. The PE ratio sits at 99.93, well above historical norms. With Meyka’s forecast and analyst consensus showing limited upside, the data points to elevated risk after the recent rally.

Broader Chip Sector Gains on AI Demand

The semiconductor rally extended beyond Marvell on June 2. SK Hynix announced plans to double wafer production capacity. STMicroelectronics raised its 2026 data-center revenue forecast to $1 billion. Arm Holdings rose 15.73% to $408.85 after Nvidia’s RTX Spark announcement. The Philadelphia Semiconductor Index jumped nearly 6%, reflecting broad enthusiasm for AI infrastructure spending.

Final Thoughts

Marvell’s 32% rally reflects real demand for AI infrastructure, but valuations have stretched far ahead of fundamentals. With Meyka rating the stock B+ and targeting $121.99, investors should weigh the long-term opportunity against near-term overbought technicals and a 99.93 PE ratio.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.