Marvell Technology Rebounds 2.5% as CEO Denies Loss of Amazon and Microsoft Orders

Shares of Marvell rebounded 2.5% on Wednesday. In a Tuesday interview with CNBC’s Jim Cramer, Marvell Technology CEO Matt Murphy dismissed reports suggesting his company lost business from high-profile customers.

“I can tell you this, from Tuesday to Friday, nothing changed,” Murphy said, referring to two reports that cropped up days after its earnings report. “We didn’t lose any business.”

The semiconductor company beat the estimates last Tuesday and indicated demand for data center products will be strong over the next year. Marvell also announced plans to buy Celestial AI. The deal is worth at least $3.35 billion, and it could help Marvell scale its chip business. The quarter largely impressed Wall Street, and shares climbed over the next few days.

But the stock gave back its gains this week after reports that Marvell had lost business from two hyperscalers engaged in massive data center buildout: Amazon and Microsoft. Marvel stock finished Tuesday down 3.37%.

Marvell has “deep, key relationships with all the major U.S. hyperscalers,” according to Murphy. He stressed that the company’s business in the data center is “rock solid,” reiterating the positive outlook shared in the quarter.

“The silver lining is there’s a massive opportunity right now to buy Marvell,” Murphy told Cramer. “If you just look at where we trade today relative just to the semiconductor index, we’re trading below the average multiple. We are not an average company.”