AMD Buys $11.6 Million of Marvell Shares as MRVL Jumps 9% to Record Territory

6 articles · Updated · The Motley Fool · May 13

AMD disclosed a 65,516-share stake in Marvell worth about $11.6 million, an unusual move given the companies are both chipmakers.
Marvell shares rose about 9% on the news and returned to record-high territory, adding to a rally tied to its growing role in AI infrastructure.
That AI push already includes an NVLink Fusion partnership with Nvidia backed by a $2 billion investment, talks with Alphabet on custom inference chips, and Marvell's Polariton acquisition for faster optical interconnects.
Bank of America also lifted its Marvell price target to $200 from $125, citing strong demand for the company's AI networking gear.
Marvell stock has surged 126% from its March lows, leaving valuation concerns even as AMD's purchase fuels speculation about a deeper partnership.

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