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Fly News Breaks for September 11, 2015
MRVL
Sep 11, 2015 | 13:37 EDT
Oppenheimer analyst Rick Schafer lowered his Street-low estimates for Marvell Technology after the company announced weaker than expected preliminary Q2 results and an internal investigation into its revenue recognition policies. Any potential asset sale is unlikely at least through the conclusion of the investigation, Schafer tells investors in a research note titled "Digging a Deeper Hole." On the positive side, he sees support for the stock in the $7-$8 range given the company's $5 per share of net cash and other balance sheet assets. The chipmaker is down $1.70 to $8.85 in afternoon trading. Analysts at FBR Capital, Brean Capital, Needham and Susuehanna downgraded Marvell today to neutral-equivalent ratings.