The Smartest Technology Stock to Buy With $200 Right Now
Key Points
Marvell is well-positioned to capture a significant share of global data center spending.
It has 18 active design projects and a robust pipeline of 50 new design opportunities.
The company is profitable and is committed to returning capital to shareholders.
- 10 stocks we like better than Marvell Technology ›
Technology companies have become key enablers of the global artificial intelligence (AI) revolution and are playing a crucial role in its buildout. A prominent yet less flashy name in this list is Marvell Technology (NASDAQ: MRVL). With its share price at around $88 today, even a modest $200 investment can secure a small stake in this powerful AI infrastructure player.
Image source: Getty Images.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
The company designs custom silicon chips (XPUs) such as optimized CPUs and AI accelerators, as well as XPU-attached chips, such as memory controllers and high-speed networking interconnects, to help data move fast and with low latency within hyperscaler clusters.
With the global spending on data centers expected to surpass $1 trillion by 2028, Marvell expects its total addressable market (TAM) to be around $94 billion by 2028, up 26% from its prior estimate. Of this, TAM for accelerated custom compute is expected to be $55.4 billion, while that for interconnects is estimated at $19 billion by 2028.
Why is Marvell the smartest pick?
Marvell is actively engaged in 18 custom projects to design multiple generations of XPU and XPU-attached chips. Of these, three custom XPUs and nine custom XPU-attached chips are being designed for four major hyperscalers, while two custom XPUs and four custom XPU-attached chips are being designed for two new hyperscalers.
The company also has 50 new design wins in the pipeline, which together can generate $75 billion in lifetime revenue. With a diversified portfolio spanning networking, memory, and compute, and a deep pipeline, the company is relatively resilient to macroeconomic uncertainties.
Marvell's revenue surged 58% year over year to $2.01 billion, while adjusted earnings per share soared 123% to $0.67 in the second quarter of fiscal 2026. The company is also committed to returning capital to shareholders, as evidenced by the new $5 billion share repurchase program announced in September. The company returned $52 million in dividends and $200 million through share repurchases in the second quarter.
Considering all of these aspects, Marvell is one of the smartest technology picks now.
Should you invest $1,000 in Marvell Technology right now?
Before you buy stock in Marvell Technology, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Marvell Technology wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $587,288!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,243,688!*
Now, it’s worth noting Stock Advisor’s total average return is 1,055% — a market-crushing outperformance compared to 194% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of October 27, 2025
Manali Pradhan has no position in any of the stocks mentioned. The Motley Fool recommends Marvell Technology. The Motley Fool has a disclosure policy.
Recommended Articles
