Broadcom (AVGO) is up 524% since January 2023 with $8.4B quarterly AI revenue. Marvell (MRVL) is up 152%, fell 50% after March, posted $2.07B Q3 revenue with data center up 38% to $1.52B.
Broadcom’s AI revenue alone is four times Marvell’s total revenue, but Marvell’s data center growth is accelerating despite earlier concerns about losing Amazon.
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Jim Cramer made a pointed observation recently, and it’s worth unpacking for anyone watching the AI chip space. “While Broadcom has been a huge winner in the AI era, up nearly 500% since the beginning of 2023, Marvell has only rallied about 140% over the same period.” The data backs him up almost exactly: Broadcom is up 524% since January 2023, while Marvell has gained 152% over the same stretch. Same AI tailwind, dramatically different outcomes. So what happened, and is the gap finally closing?
Both Broadcom (NASDAQ:AVGO) and Marvell Technology (NASDAQ:MRVL) sit at the center of the custom silicon boom. Hyperscalers don’t want to be entirely dependent on NVIDIA. They want chips designed specifically for their workloads, and these two companies are the architects helping them build it. Broadcom does it for Google. Marvell does it for Amazon Web Services.
The business models rhyme, but the scale doesn’t. Broadcom’s AI revenue alone hit $8.4 billion in a single quarter, while Marvell’s total Q3 FY2026 revenue came in at $2.07 billion. Broadcom’s AI segment is four times the size of everything Marvell sells combined.
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Cramer laid out the story plainly. Marvell fell more than 50% in less than three months, largely thanks to a softer than expected quarter last March. That’s a gut-punch for any shareholder. But the company spent the rest of the year rebuilding, posting a series of strong quarters and peaking at $102 in early December before reports emerged that it might lose some Amazon business.
The recent numbers suggest the Amazon fears were overblown. Data center revenue grew 38% year-over-year to $1.52 billion in Q3, representing 73% of total revenue. CEO Matt Murphy didn’t hedge his language either:
“Our data center revenue growth forecast for next year is now higher than prior expectations.”
That’s not a company losing its anchor customer.
Here’s where it gets interesting for investors weighing the two. Broadcom trades at roughly 69x trailing earnings with a forward PE around 32x, with analysts targeting $467. Marvell looks cheaper at roughly 27x trailing earnings and 23x forward, with a consensus target of $118 against a current price of $89.57. Marvell also carries a beta of nearly 2.0, meaning it swings harder in both directions.
