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Marvell Technology falls after posting small beat in Q3, in-line guidance for Q4

Marvell Technology is falling in after-hours trading after the chip company posted Q3 results modestly ahead of estimates with a Q4 outlook in line with analysts’ expectations.

Net revenue: $2.075 billion (compared to estimates for $2.06 billion)
Adjusted earnings per share: $0.76 (estimate: $0.74)

For Q4, management offered guidance for net revenues to come in at $2.2 billion (plus or minus 5%) with adjusted EPS of $0.79 (plus or minus $0.05). That’s virtually bang in line with Wall Street’s call for $2.19 billion and $0.79, respectively.

Along with these results, Marvell announced plans to buy Celestial AI, a company that uses light to move data between chips, for at least $3.25 billion in cash and stock. The purchase price could go up by as much as $2.25 billion if Celestial’s cumulative revenues reach at least $2 billion by the end of Marvell’s fiscal 2029 (roughly speaking, calendar year 2028).

The chip stock has been on a solid run recently, thanks in large part to a wave of investor enthusiasm over custom chips spurred by the launch of Google’s Gemini 3. Marvell works with Amazon as a codesigning partner for its custom chips, including providing connectivity infrastructure for the Trainium3 model, which was publicly launched on Tuesday.

That being said, Marvell has been one of the worst chip stocks this year, down about 15% year to date ahead of these results.

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CrowdStrike beats on Q3 revenue and earnings

CrowdStrike eked out beats on both earnings and revenue for the third quarter, while also raising its full-year guidance.

The cybersecurity company reported earnings of $0.96 per share, beating analysts’ consensus estimate of $0.94 per share.

The company saw $1.23 billion in sales for the quarter, up 22% year on year, beating analysts’ expectation of $1.21 billion in sales. The company reported a net loss of about $34 million.

Subscription revenue was $1.17 billion, up 21% year on year.

Shares were little changed in after-hours trading. The stock is up nearly 50% since the start of the year.

The company’s annual recurring revenue reached $4.92 billion as of October 31, up 23% year on year. The analyst consensus was $4.895 billion.

The company raised its fiscal year 2026 guidance for revenue to between $4.8 billion to $4.81 billion (previously $4.75 billion to $4.81 billion), and upped its outlook for adjusted earnings per share to a range of $3.70 to $3.72 (previously $3.60 to $3.72).

Burt Podbere, CrowdStrike’s CFO, wrote in the press release:

“We delivered outstanding third quarter results, exceeding expectations across all guided metrics. Total revenue growth accelerated to 22% year-over-year, and we delivered record cash flow from operations of $398 million and record Q3 free cash flow of $296 million. We are capitalizing on the AI-driven demand environment as customers consolidate on the Falcon platform, driving our pipeline to an all-time high.”

Tasha Matsumoto

Megacap tech drives stocks higher; bitcoin rebounds

Speculative stocks and bitcoin rebounded as traders’ risk appetite resumed.

Dennis Rodman (R) of the Chicago Bulls grabs a rebound from Karl Malone (L) of the Utah Jazz 01 June during the second half of game one of the NBA Finals at the United Center in Chicago, Illinois.

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Matt Phillips4h

Morgan Stanley upgrades Tempus AI to “overweight”

Morgan Stanley analysts gave Tempus AI an “overweight” rating — essentially a “buy” — and a raised their price target to $85 from $80, writing in a note published late Monday that despite being “a relatively new player, the company has already established itself as one of the top providers of precision oncology testing.”

As part of their reasoning, analysts spotlighted faster-than-expected growth in Tempus’ hereditary cancer risk-testing business, which it acquired through the purchase of Ambry Genetics in a deal that closed earlier this year.

Morgan Stanley also suggested there could be upside in Tempus’ relatively small data and services unit, which sells de-identified patient data pulled from its testing archive for use in pharmaceutical drug trials and other applications.

Despite being consistently unprofitable since its IPO last year, Tempus has been winning over Wall Street analysts.

Of the 17 covering the stock, 10 have “buy” ratings — or their equivalent — on Tempus, up from six in June.

Tempus has seen its share price more than double this year.

Wall Street 2026 outlook and S&P 500 forecasts (binoculars)

Wall Street has great expectations for the next year in the stock market

Stock watchers are pretty bullish about the coming year — as they typically are — with eyes on the Fed and whether the AI boom will still have legs. BofA is a little skeptical.

Matt Phillips7h

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Nvidia pares gains after Amazon launches newest AI chip

The problem with being the king is that everyone’s trying to get their hands on your shiny crown.

Shares of Nvidia pared gains after Amazon publicly launched its custom chip, called the Trainium3, as part of its AWS re:Invent 2025 event in Las Vegas.

The company said these chips can cut costs associated with training and using AI models by up to 50% compared to GPU-based systems offered by the likes of Nvidia and Advanced Micro Devices.

The potential for increased competition, particularly from Google, which is reportedly in talks to sell its custom TPUs codesigned with Broadcom to Meta, has been a drag on Nvidia shares as of late, as this has the potential to weigh on its market share and profitability.

Nvidia came into the week trading at a record discount to Broadcom, the custom chip specialist, based on 12-month price-to-earnings ratios.

Even as traders fret over competition, however, it’s clear that leading tech companies are building for a future in which Nvidia is still the dominant player. For instance, Amazon said that the next edition of this custom chip (Trainium4) “will support Nvidia NVLink Fusion high-speed chip interconnect technology.”

In other words, Amazon is preparing for a world in which its upcoming chips will be used in tandem with Nvidia’s offerings.

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