Last week, disappointing quarterly earnings reports sent shares of Marvell Technology (MRVL) lower. MRVL stock dropped by 18.6% on August 29.
Investor sentiment unexpectedly reversed after Marvell management did not convey confidence in artificial intelligence growth prospects. Bank of America analysts reacted by cutting the target price for MRVL stock down to $78, from $90.
Marvell is progressing in the development of next-generation XPU and XPU-attached products. Growth will play out over several years.
Dell (DELL) lost around 7% in the last week, creating an even more attractive entry zone for value investors. In the first half of the year, it sold $17.7 billion worth of AI-related infrastructure hardware. Dell has a strong pipeline ahead. However, these are large-scale deployments that are complex. It will result in lumpy, less predictable revenue in future quarters.
Blackwell Ultra is a growth opportunity for Dell.
Ulta Beauty (ULTA) lost 7% last Friday. It posted GAAP EPS of $5.78. Revenue rose by 7.7% Y/Y to $2.8 billion. Unfortunately, ULTA stock needed to pull back after rising by nearly 33% in the last year.
In FY 2025, the “Ulta Unleashed” strategy should boost profits. The firm raised its revenue guidance to $12 billion - $12.1 billion. This outlook includes economic uncertainties in the near term.
