Broadcom vs Marvell: Which AI Infrastructure Stock Is the Better Long-Term Buy?

TLDR

• Broadcom posted $63.9B in revenue for fiscal 2025, with AI semiconductor revenue up 74% year over year
• Marvell reported record revenue of $2.006B in fiscal Q2 2026, up 58% year over year
• Broadcom is valued at ~$1.36 trillion; Marvell sits at ~$80.8 billion
• Broadcom offers diversification through both semiconductors and software; Marvell is more focused on AI data-center infrastructure
• Analyst price targets suggest modest upside for Broadcom at $435.30 and caution on Marvell at $122.73

Two of the biggest names in AI infrastructure are Broadcom and Marvell. Both companies are growing fast, but they are doing it in different ways.

Broadcom is the larger of the two. It runs a split business — semiconductors on one side and infrastructure software on the other. In fiscal 2025, it brought in $63.9 billion in total revenue. That included $36.9 billion from semiconductor solutions and $27 billion from software.

Broadcom Inc., AVGO

The AI part of Broadcom’s business is growing quickly. In the fourth quarter of fiscal 2025, AI semiconductor revenue rose 74% compared to the same period a year earlier.

Management said it expected first-quarter fiscal 2026 AI semiconductor revenue to hit $8.2 billion. That revenue comes from custom AI chips and Ethernet switches used in AI data centers.

Broadcom’s software business also adds stability. It gives the company recurring revenue that helps balance out the ups and downs common in the chip industry.

Marvell is a smaller, more focused company. Its business is built around AI data-center hardware, including custom silicon, optical interconnects, and advanced networking.

Marvell Technology, Inc., MRVL

In fiscal Q1 2026, Marvell posted record revenue of $1.895 billion, up 63% year over year. The company said that growth came from scaling custom silicon programs and strong shipments of electro-optics products.

Marvell’s Growth Streak

The next quarter kept the streak going. Fiscal Q2 2026 revenue came in at a record $2.006 billion, up 58% year over year. Gross margin came in at 50.4% on a GAAP basis and 59.4% on a non-GAAP basis.

Marvell’s full fiscal 2026 annual report showed net revenue increased by $2.4 billion from the prior year. That jump was driven mainly by a 46% rise in data-center sales.

The company has become one of the more direct ways to invest in AI infrastructure outside of the major chip designers like Nvidia.

Valuation and Analyst Targets

The two stocks are priced very differently. Broadcom trades at roughly 71.7 times trailing earnings. Marvell trades at around 32.7 times.

Broadcom’s market cap is about $1.36 trillion. Marvell’s is around $80.8 billion.

Analyst price targets reflect mixed sentiment. MarketBeat’s average target for Broadcom is $435.30, which implies limited upside from current levels.

For Marvell, the average analyst target is $122.73. That figure is below recent trading prices, which points to some caution after the stock’s strong run.

Final Thoughts

Broadcom’s scale and diversified model make it a steadier option. Marvell’s focused position in AI infrastructure gives it more room to grow — but also more exposure to any slowdown in AI spending.

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