Marvell Sinks 13%, Lumentum Jumps 6% on Reported Acquisition Talks; Coherent Holds Flat, Applied Optoelectronics Drops 3%

Quick Read

  • Marvell fell 13% on dilution fears while Lumentum surged 6% after Bloomberg reported advanced talks to acquire the optical maker sold out through 2029.

  • Coherent held flat and Applied Optoelectronics dropped 3%, as rivals don’t share Lumentum’s premium, though a disclosed deal price could reset optical sector valuations.

  • Just released. Our analysts combed the entire stock market and named the ten best stocks to buy right now, and Marvell Technology didn’t make the cut. Enter your email to see the names that beat MRVL. The report is free. Enter your email and see if any of your stocks made the cut.

Traders are rewarding the target and punishing the buyer as Marvell Technology (NASDAQ:MRVL) reportedly closes in on a deal to lock up scarce optical components for AI data centers, while rival optics names aren’t getting a sympathy bid. Marvell stock is at $220, down 13% in morning trading.

A close-up shot of a bundle of glowing optical fibers, fanning out from left to right against a dark blue to black background. The fibers on the left are a vibrant magenta and purple, gradually transitioning to bright pink and red specks on the right, culminating in an intensely glowing orange-yellow core at the far right, suggesting light emanating from the end of the bundle.
asharkyu / Shutterstock.com

Lumentum (NASDAQ:LITE) stock is at $965, up 6%, as the reported target. Looking further at the peer group, Coherent (NYSE:COHR) stock is at $240, up 0.2%.

MRVL price target
MRVL Price Target — 24/7 Wall St.

Inside the Reported Marvell Bid for Lumentum

Bloomberg reported late on October 28, citing people familiar with the matter, that Marvell is in advanced talks to buy Lumentum and that a deal could be announced as soon as next week. No final agreement has been reached, and the terms could still change. The talks were reported after the close of regular trading, setting up the sharp moves in both names.

Lumentum makes lasers, optical components and networking systems for cloud and AI data centers, and demand for its indium-phosphide technology is running well ahead of supply. Michael Hurlston, the company’s CEO, has previously said Lumentum is essentially sold out of certain products into 2029 and is shipping well short of demand. That scarcity is what makes the company so attractive to a chip designer chasing AI connectivity.

——

Free Report, Just Released

Why Didn’t MRVL Make The Top 10 List?

24/7 Wall St has helped investors make money for over two decades, and our top analysts just finished ranking the definitive Top 10 Stocks To Buy Now. Not the ten biggest companies. Not the ten everyone is arguing about. The ten best stocks to buy right now.

And MRVL didn’t make the cut!

The report is free, and you can see why we think each stock is a top investment today.

Enter Your Email and See the Ten →

——

Marvell, a fabless chip designer focused on data infrastructure, recently expanded its custom silicon partnership with Alphabet (NASDAQ:GOOGL) unit Google, including a warrant for Google to acquire up to 7% of Marvell shares tied to revenue milestones. Earlier this year, the company completed its acquisition of Celestial AI, which works on photonic interconnects. On its August 27 earnings call, Marvell’s management noted customers are actively planning scale-up optics deployments starting as early as next year. A combination with Lumentum could give Marvell access to optical components that can replace copper interconnects and ease constraints in AI clusters.

Source link

Visited 1 times, 1 visit(s) today

Related Article

Alphabet heads for a $500 billion drop in market value, the biggest in its history

Alphabet (GOOGL) is on track for its worst day ever. The stock fell about 13% Thursday after its third quarter results, steeper than any session since it went public in 2004. That puts nearly $500 billion of stock market value on the line, the second-biggest one-day loss ever for a US-listed company. Only Nvidia (NVDA)

Prediction: Marvell Stock Will Be Worth This Much by 2030

Marvell Technology (MRVL -12.65%) is becoming one of the biggest beneficiaries of the AI infrastructure boom, thanks to growing demand for its data center products. If the company delivers on its ambitious growth targets, the stock has plenty of room to run higher through 2030. Image source: Getty Images. But before you consider adding it

1 stock under $50 worth investigating and 2 we ignore

1 stock under $50 worth investigating and 2 we ignore The $10-50 price range often includes mid-sized businesses with proven track records and plenty of growth runway ahead. They also usually carry less risk than penny stocks, though they’re not immune to volatility as many lack the scale advantages of their larger peers. Luckily for

4 Dividend-Paying Dow Jones Industrial Stocks That Beat Q3 Estimates

Quick Read Coca-Cola (KO) and Johnson & Johnson (JNJ) both beat Q3 estimates and carry 60+ year dividend increase streaks, earning A grades on the dividend scorecard. Travelers crushed its Q3 consensus by 25%, then raised its quarterly dividend 14% to $1.25, the fastest payout growth among the four Dow stocks. Honeywell’s dividend dropped to

Is PayPal Stock a Value or a Value Trap?

PayPal (NASDAQ: PYPL) is one of the most divisive stocks in the market. The stock of the payments processor trades at a dirt cheap valuation, with a forward price-to-earnings (P/E) ratio of just over 9.5 times 2027 analyst estimates and a free cash flow yield approaching 13%. Meanwhile, the company has rebuffed recent acquisition bids,

Fed Rate Decision: What Markets and Bitcoin Traders Can Expect

In brief The Fed announces its decision at 2 p.m. ET with Chair Kevin Warsh’s press conference to follow, and futures and prediction markets put the odds of a hold above 90%. The target range sits at 3.75%-4.00% after September’s 12-0 hike, with September inflation at 3.7% and oil near $100 a barrel. Markets give

2 Warren Buffett Artificial Intelligence (AI) Stocks That Could Soar Even if the Stock Market Crashes in 2027

Companies developing advanced semiconductors, building data centers, and creating artificial intelligence (AI) applications are attracting historic levels of investment capital. However, some valuation indicators suggest that investors might be getting carried away. The Shiller cyclically adjusted price-to-earnings (CAPE) ratio, which compares stock prices to average inflation-adjusted earnings over the previous 10 years, currently stands around

Stock Market: Will S&P 500 Open Up or Down Today?

Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. View more earnings on SPY U.S. stock futures are mixed early Thursday as Wall Street navigates a tech-led pullback, critical PCE inflation data, and retreating oil prices amid renewed diplomatic hopes in the Middle East. Thursday follows the

What Robinhood’s CFO found interesting about Anthropic’s IPO prospectus

Seemingly, everyone is digging into Anthropic’s (ANTH.PVT) IPO prospectus this week, even other C-suite execs like Robinhood (HOOD) CFO Shiv Verma. “I have gone through it. The growth rates are pretty incredible, … up 1,300% year over year, I can’t recall seeing another company doing that well,” Verma said on Yahoo Finance about what caught

Daily Market Price Updates and Commentary 28th October 2026

  ICE Futures U.S. Sugar No.11 Contract Settlement (cUS$/lb) Open High Low Last Volume O/I Life High Life Low Mar27 19.34 0.14 ▲ 19.31 19.51 19.20 19.36 76,698 631,635 21.29 14.42 May27 18.81 0.17 ▲ 18.78 18.96 18.65 18.83 44,924 195,442 20.40 14.29 Jul27 18.42 0.17 ▲ 18.38 18.54 18.26 18.43 21,622 156,280 19.81 14.27

Anthropic IPO: What investors should know

Artificial intelligence company Anthropic filed an S-1 prospectus with the Securities and Exchange Commission on Monday, indicating it will go public in the near future. The five-year-old company behind AI assistant Claude is expected to be one of the biggest initial public offerings in history. It could take the top spot if it exceeds SpaceX’s

Oracle stock soars as it promises the AI spending will start paying for itself

For months, investors have asked how Oracle (ORCL) would pay for its AI build-out. On Wednesday the company put numbers on it, and the stock had its best day since May. Shares closed up about 11% at about $144 Wednesday, adding more than $40 billion in market value, as the company laid out new financial

Google stock plunges as Q3 sales fall short of expectations

Google (GOOG, GOOGL) reported its third quarter earnings after the bell on Wednesday, missing revenue projections on lower-than-anticipated advertising sales, despite Google Cloud growth of 103%. Google saw earnings per share (EPS) of $2.12 on revenue of 127.58 billion. Analysts were looking for EPS of $3.01 on revenue of $127.93 billion. Revenue excluding traffic acquisition

Microsoft Stocks Edge Higher Ahead of First Results Under New AI Reporting

This article first appeared on GuruFocus. Microsoft (NASDAQ:MSFT) faces a familiar earnings test tonight: can its AI push deliver enough growth to justify the spending? Shares traded at $530.37, down 0.18%, at 9:55 a.m. ET on October 28. The company’s earnings preview puts Azure and investment costs in focus, but investors also have new reporting

Applied Digital Insiders Just Bought More Shares. Should You Join Them?

Applied Digital (NASDAQ: APLD) insiders have been buying the dip as the artificial intelligence (AI) stock continues to slide. The company’s CEO and president bought a combined $6.7 million worth of shares on Oct. 16. Despite the insider buying, Applied Digital is down by more than 30% over the past month. No doubt, sentiment around

0
Would love your thoughts, please comment.x
()
x