September looms as a risk month for stocks, Yardeni says
Investing.com -- Marvell Technology has emerged as “the best new short idea for everyone needing a semi hedge against AI long basket,” according to Mizuho analysts, who argue that the stock is increasingly vulnerable compared with peers.
Mizuho said that while semiconductor names tied to Nvidia’s Blackwell platform have seen strong momentum, parts of the sector now look “pretty stretched.”
The analysts noted that “MRVL is already hated and having some real company-specific issues. It becomes the best new short idea,” adding that the stock is “starting to look and feel like INTC did at the lows.”
The note highlighted risks to Marvell’s positioning in AI custom silicon, pointing out that it is “losing momentum quickly in AI custom silicon vs AVGO, Mediatek, and Alchip with ARM coming quickly.”
Mizuho added that the company is “not cheap enough on just core optical business” and has become “a total show-me story set-up now.”
The analysts also observed that traders who had gone long Marvell in hopes of near-term strength are now exiting. “All that money quickly rushes out, and many will rush to press it down to $60 level on the view that the CEO is gonna jump ship,” Mizuho wrote.
In contrast, the firm said Dell’s recent sell-off was tied to margin pressures rather than demand concerns in the competitive AI server market. Other chip names such as Credo and Broadcom are expected to deliver stronger updates in the near term.
Overall, Mizuho concluded that while AI leaders like Nvidia, TSMC and Broadcom remain structurally strong, Marvell is “the new best short idea” in the semiconductor sector.