Marvell Technology, Inc. and SkyWater Technology, Inc. are two notable players in the semiconductor industry, each with distinct approaches to innovation and market reach. Marvell focuses on integrated circuits and Ethernet solutions, while SkyWater emphasizes semiconductor development and manufacturing services. Both companies operate in overlapping sectors but differ in scale and specialization. In this analysis, I will help you identify which company presents the most compelling investment opportunity in 2026.
Table of contents
Companies Overview
I will begin the comparison between Marvell Technology, Inc. and SkyWater Technology, Inc. by providing an overview of these two companies and their main differences.
Marvell Technology, Inc. Overview
Marvell Technology, Inc. designs, develops, and sells analog, mixed-signal, digital signal processing, and embedded integrated circuits. Its product portfolio includes Ethernet solutions, processors, ASICs, and storage controllers supporting multiple host interfaces. The company operates globally with a workforce of 7,042 employees and is headquartered in Wilmington, Delaware. Marvell is a well-established player in the semiconductor industry with a market cap of 69.3B USD.
SkyWater Technology, Inc. Overview
SkyWater Technology, Inc. provides semiconductor development and manufacturing services, focusing on engineering support and process development. It serves diverse sectors such as aerospace, automotive, bio-health, and industrial IoT. Founded in 2017, SkyWater employs 702 staff and is based in Bloomington, Minnesota. The company has a market capitalization of approximately 1.5B USD and operates on the NASDAQ Capital Market.
Key similarities and differences
Both companies operate within the semiconductor industry and are listed on NASDAQ, but Marvell focuses on product design and sales, while SkyWater specializes in manufacturing and development services. Marvell’s market cap and employee base are significantly larger, reflecting its broader product portfolio and global presence. SkyWater, by contrast, serves niche markets with specialized manufacturing capabilities, highlighting a divergence in business models and scale.
Income Statement Comparison
This table presents a side-by-side comparison of key income statement metrics for Marvell Technology, Inc. and SkyWater Technology, Inc. for their most recent fiscal years.
| Metric | Marvell Technology, Inc. | SkyWater Technology, Inc. |
|---|---|---|
| Market Cap | 69.3B | 1.54B |
| Revenue | 5.77B | 342M |
| EBITDA | 652M | 25.3M |
| EBIT | -705M | 6.56M |
| Net Income | -885M | -6.79M |
| EPS | -1.02 | -0.14 |
| Fiscal Year | 2025 | 2024 |
Income Statement Interpretations
Marvell Technology, Inc.
Marvell Technology’s revenue nearly doubled from 2021 to 2025, reaching $5.77B in 2025. Despite this growth, net income remained negative, with a loss of $885M in 2025. Gross margins stayed favorable at 41.3%, but EBIT and net margins were negative, reflecting operational challenges. The most recent year showed slower revenue growth and a decline in EBIT, though net margin and EPS improved slightly.
SkyWater Technology, Inc.
SkyWater’s revenue increased steadily by 144% from 2020 to 2024, reaching $342M in 2024. Net income losses shrank significantly, down to $6.8M in 2024, with net margin improving but still negative at -2%. Gross margin was stable and favorable at 20.3%, while EBIT margin turned positive in 2024. The latest year demonstrated strong growth in revenue, EBIT, net margin, and EPS, signaling operational progress.
Which one has the stronger fundamentals?
SkyWater Technology presents stronger fundamentals with consistent revenue growth, improving profitability margins, and a positive EBIT margin in 2024. Marvell Technology, despite higher revenue scale and gross margin, struggles with sustained net losses and negative EBIT margins. SkyWater’s overall income statement evaluation is favorable, contrasting with Marvell’s unfavorable rating, indicating better recent operational stability.
Financial Ratios Comparison
The table below presents a side-by-side comparison of key financial ratios for Marvell Technology, Inc. (MRVL) and SkyWater Technology, Inc. (SKYT) based on their most recent fiscal year data.
| Ratios | Marvell Technology, Inc. (2025) | SkyWater Technology, Inc. (2024) |
|---|---|---|
| ROE | -6.59% | -11.79% |
| ROIC | -3.88% | 3.40% |
| P/E | -110.37 | -100.26 |
| P/B | 7.27 | 11.82 |
| Current Ratio | 1.54 | 0.86 |
| Quick Ratio | 1.03 | 0.76 |
| D/E | 0.32 | 1.33 |
| Debt-to-Assets | 21.50% | 24.46% |
| Interest Coverage | -3.80 | 0.74 |
| Asset Turnover | 0.29 | 1.09 |
| Fixed Asset Turnover | 5.56 | 2.07 |
| Payout ratio | -23.45% | 0% |
| Dividend yield | 0.21% | 0% |
Interpretation of the Ratios
Marvell Technology, Inc.
Marvell Technology presents a mixed ratio profile with 42.86% favorable and 57.14% unfavorable metrics, resulting in an overall unfavorable stance. Key concerns include negative net margin (-15.35%), negative returns on equity (-6.59%), and low asset turnover (0.29). The company pays dividends, but with a low yield of 0.21% and payout risks amid weak earnings performance.
SkyWater Technology, Inc.
SkyWater’s financial ratios are less favorable, with 21.43% favorable and 71.43% unfavorable ratios, indicating higher risk. It shows negative net margin (-1.98%), negative return on equity (-11.79%), and weak liquidity ratios below 1. The company does not pay dividends, likely due to a reinvestment strategy and ongoing growth phase reflected in its negative earnings and free cash flow.
Which one has the best ratios?
Between the two, Marvell Technology has a relatively stronger ratio set, with better liquidity and some favorable turnover metrics, despite profitability challenges. SkyWater’s higher leverage, weaker liquidity, and absence of dividends reflect greater vulnerability. Both companies face significant profitability and coverage concerns, but Marvell’s ratio profile is somewhat less unfavorable overall.
Strategic Positioning
This section compares the strategic positioning of Marvell Technology, Inc. and SkyWater Technology, Inc., including Market position, Key segments, and disruption:
Marvell Technology, Inc.
- Large-cap semiconductor firm facing moderate competitive pressure in diverse markets.
- Key segments include data center, enterprise networking, automotive, and consumer electronics.
- Exposure to disruption via analog, mixed-signal, and digital integration across multiple semiconductor areas.
SkyWater Technology, Inc.
- Smaller-cap semiconductor manufacturer with higher volatility and niche focus.
- Focuses on semiconductor development and manufacturing services across aerospace, automotive, and industrial sectors.
- Exposure through co-creation technologies and manufacturing services in silicon-based analog and mixed-signal circuits.
Marvell Technology, Inc. vs SkyWater Technology, Inc. Positioning
Marvell has a diversified product portfolio spanning several semiconductor markets, while SkyWater concentrates on specialized manufacturing and engineering services. Marvell benefits from scale, whereas SkyWater targets niche industries with tailored offerings.
Which has the best competitive advantage?
Both companies are currently shedding value relative to their cost of capital. Marvell shows a declining ROIC trend, while SkyWater’s ROIC is improving, resulting in Marvell having a very unfavorable moat and SkyWater a slightly unfavorable moat.
Stock Comparison
The stock price performance of Marvell Technology, Inc. and SkyWater Technology, Inc. over the past year reveals distinct bullish trends with contrasting recent momentum and volume dynamics.
Trend Analysis
Marvell Technology, Inc. showed a bullish trend with an 18.94% price increase over the past 12 months, marked by deceleration and a high volatility level (std deviation 16.46). Recent months saw a -14.25% decline with seller dominance.
SkyWater Technology, Inc. delivered a strong bullish trend with a 236.8% gain over the past year, accelerating price growth and moderate volatility (std deviation 4.41). The recent period continued this momentum with an 83.13% increase and buyer dominance.
Comparing the two, SkyWater Technology, Inc. outperformed Marvell Technology, Inc. significantly in market performance over the last 12 months, driven by stronger price acceleration and consistent buyer control.
Target Prices
Analysts provide a clear consensus on target prices for Marvell Technology, Inc. and SkyWater Technology, Inc.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Marvell Technology, Inc. | 156 | 80 | 117 |
| SkyWater Technology, Inc. | 25 | 25 | 25 |
Marvell’s target consensus at 117 suggests upside potential from the current price of 80.38, while SkyWater’s consensus target of 25 is below its current price of 32.03, indicating potential downside or overvaluation risk.
Analyst Opinions Comparison
This section compares analysts’ ratings and grades for Marvell Technology, Inc. and SkyWater Technology, Inc.:
Rating Comparison
MRVL Rating
- Rating: B+ indicating a very favorable overall evaluation.
- Discounted Cash Flow Score: Moderate at 3, suggesting balanced valuation.
- ROE Score: Favorable at 4, showing efficient profit generation from equity.
- ROA Score: Very favorable at 5, indicating strong asset utilization.
- Debt To Equity Score: Moderate at 2, implying manageable financial risk.
- Overall Score: Moderate at 3, reflecting a balanced overall financial standing.
SKYT Rating
- Rating: B+ indicating a very favorable overall evaluation.
- Discounted Cash Flow Score: Very unfavorable at 1, indicating possible overvaluation concerns.
- ROE Score: Very favorable at 5, reflecting excellent profit efficiency.
- ROA Score: Very favorable at 5, indicating strong asset utilization.
- Debt To Equity Score: Very unfavorable at 1, suggesting higher financial risk.
- Overall Score: Moderate at 3, reflecting a balanced overall financial standing.
Which one is the best rated?
Both companies share an identical overall rating of B+ and an overall score of 3. SkyWater excels in ROE but has weaker discounted cash flow and debt-to-equity scores compared to Marvell, which presents a more balanced profile.
Scores Comparison
Here is a comparison of the Altman Z-Score and Piotroski Score for Marvell Technology and SkyWater Technology:
Marvell Technology Scores
- Altman Z-Score: 6.76, indicating a safe zone with low bankruptcy risk.
- Piotroski Score: 7, classified as strong financial health.
SkyWater Technology Scores
- Altman Z-Score: 2.20, placing it in the grey zone with moderate risk.
- Piotroski Score: 5, reflecting average financial strength.
Which company has the best scores?
Marvell Technology scores better on both Altman Z-Score and Piotroski Score, showing stronger financial stability and health compared to SkyWater Technology based on the provided data.
Grades Comparison
The following summarizes the latest reliable grades and ratings for Marvell Technology, Inc. and SkyWater Technology, Inc.:
Marvell Technology, Inc. Grades
This table presents recent grades assigned by reputable grading companies to Marvell Technology, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Rosenblatt | maintain | Buy | 2026-01-07 |
| Melius Research | upgrade | Buy | 2026-01-05 |
| Benchmark | downgrade | Hold | 2025-12-08 |
| B. Riley Securities | maintain | Buy | 2025-12-03 |
| JP Morgan | maintain | Overweight | 2025-12-03 |
| Susquehanna | maintain | Positive | 2025-12-03 |
| Benchmark | maintain | Buy | 2025-12-03 |
| Oppenheimer | maintain | Outperform | 2025-12-03 |
| Stifel | maintain | Buy | 2025-12-03 |
| Rosenblatt | maintain | Buy | 2025-12-03 |
Marvell shows a strong majority of Buy or equivalent positive ratings, with a single Hold downgrade, indicating predominantly favorable analyst sentiment.
SkyWater Technology, Inc. Grades
This table presents recent grades assigned by reputable grading companies to SkyWater Technology, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Needham | maintain | Buy | 2025-11-06 |
| Piper Sandler | maintain | Overweight | 2025-11-06 |
| TD Cowen | maintain | Buy | 2025-11-06 |
| Needham | maintain | Buy | 2025-08-07 |
| Needham | maintain | Buy | 2025-05-08 |
| Needham | maintain | Buy | 2025-02-27 |
| Needham | maintain | Buy | 2024-11-11 |
| Piper Sandler | maintain | Overweight | 2024-10-25 |
| Piper Sandler | maintain | Overweight | 2024-08-08 |
| Needham | maintain | Buy | 2024-05-09 |
SkyWater’s grades consistently show Buy and Overweight ratings, reflecting stable analyst confidence over multiple reports.
Which company has the best grades?
Both Marvell Technology and SkyWater Technology carry predominantly positive grades with Buy consensus ratings. Marvell has a larger number of analyst evaluations and a wider range of grading firms, including some Outperform and Positive ratings, suggesting stronger overall analyst support. Investors might interpret Marvell’s broader positive consensus as an indicator of higher confidence from market professionals.
Strengths and Weaknesses
Below is a comparison of key strengths and weaknesses for Marvell Technology, Inc. (MRVL) and SkyWater Technology, Inc. (SKYT) based on their recent financial performance and market positioning.
| Criterion | Marvell Technology, Inc. (MRVL) | SkyWater Technology, Inc. (SKYT) |
|---|---|---|
| Diversification | Highly diversified with strong Data Center segment ($4.16B in 2025) and presence in Automotive, Carrier Infrastructure, Consumer, and Enterprise Networking | Less diversified; revenue mainly from Advanced Technology Services and Wafer Services with total ~$170M in 2024 |
| Profitability | Negative net margin (-15.35%), negative ROIC (-3.88%), and declining profitability; value destroying | Negative net margin (-1.98%), slight positive ROIC (3.4%) but below WACC; improving profitability trend but still value destroying |
| Innovation | Strong emphasis on high-growth tech sectors like Data Center and Networking, but financials show challenges in execution | Focus on specialized wafer and advanced tech services; innovation visible in niche manufacturing but limited scale |
| Global presence | Significant global footprint, especially in data infrastructure markets | Smaller scale with limited global reach, focused on specialized tech segments |
| Market Share | Large share in Data Center and networking markets, with revenues in billions | Small market share with revenues under $200M, niche player in semiconductor manufacturing services |
Key takeaways: Marvell Technology benefits from robust diversification and market presence but struggles with profitability and value creation. SkyWater Technology shows improving profitability trends in a niche market but remains a smaller, less diversified company with ongoing financial challenges. Both require cautious evaluation regarding risk and growth potential.
Risk Analysis
Below is a summary table highlighting key risks for Marvell Technology, Inc. (MRVL) and SkyWater Technology, Inc. (SKYT) based on the most recent financial and operational data:
| Metric | Marvell Technology, Inc. (MRVL) | SkyWater Technology, Inc. (SKYT) |
|---|---|---|
| Market Risk | High beta (1.945) indicates significant sensitivity to market fluctuations | Very high beta (3.487), implying extreme volatility and market sensitivity |
| Debt Level | Moderate debt-to-equity ratio (0.32), manageable leverage | High debt-to-equity ratio (1.33), indicating heavy reliance on debt financing |
| Regulatory Risk | Exposure to global semiconductor trade regulations, especially US-China tensions | Similar regulatory exposure with added dependence on US aerospace and defense contracts |
| Operational Risk | Large global operations; supply chain disruptions possible | Smaller scale but with concentrated manufacturing risks |
| Environmental Risk | Industry pressure for sustainable semiconductor manufacturing | Emerging pressures, with growing focus on environmental compliance |
| Geopolitical Risk | Operations in multiple Asian countries, subject to geopolitical tensions | Primarily US-based but exposed to defense sector geopolitical shifts |
Overall, Marvell faces considerable market volatility and geopolitical risks due to its global footprint but maintains healthier debt levels and stronger liquidity. SkyWater’s biggest risks lie in its high leverage and operational concentration, alongside significant market volatility. Investors should closely monitor debt management and geopolitical developments, as these pose the most impactful threats to financial stability and growth prospects.
Which Stock to Choose?
Marvell Technology, Inc. (MRVL) shows a mixed financial picture with income growth at 4.7% over one year but unfavorable net margin (-15.35%) and declining profitability metrics. The company maintains moderate debt with a current ratio of 1.54 and holds a very favorable B+ rating despite unfavorable overall financial ratios.
SkyWater Technology, Inc. (SKYT) demonstrates strong revenue growth at 19.4% and mostly favorable income statement trends, including improving net margin albeit still negative (-1.98%). The company carries higher leverage with a current ratio below 1 and a B+ rating, but its global financial ratios remain mostly unfavorable.
Investors seeking growth might find SKYT’s accelerating revenue and improving profitability appealing, while those prioritizing financial stability and stronger rating components could see MRVL’s moderate leverage and higher current ratios as more favorable. Both companies exhibit value destruction in MOAT analysis, but SKYT shows a trend of increasing ROIC, suggesting improving capital efficiency.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Marvell Technology, Inc. and SkyWater Technology, Inc. to enhance your investment decisions:
