Vanguard Total Stock Market ETF (ARCA: VTI)

最新ニュース Vanguard Total Stock Market ETF (ARCA:VTI)

Vanguard Total Stock Market ETF

Technology

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Financial Services

Consumer Cyclical

Industrials

Consumer Defensive

Energy

Communication Services

Real Estate

Utilities

Basic Materials

Other

The Fund employs an indexing investment approach designed to track the performance of the CRSP US Total Market Index (the Index), which represents approximately 100 percent of the investable U.S. stock market and includes large-, mid-, small-, and micro-cap stocks. The Fund invests by sampling the Index, meaning that it holds a broadly diversified collection of securities that, in the aggregate, approximates the full Index in terms of key characteristics. These key characteristics include industry weightings and market capitalization, as well as certain financial measures, such as price/earnings ratio and dividend yield.

Microsoft Corp

Apple Inc

Nvidia Corp

Amazon.Com Inc

Meta Platforms Inc

Alphabet Inc., Class A

Alphabet, Inc., Class C

Eli Lilly & Co.

Broadcom, Inc., 8.00%

Berkshire Hathaway Inc

VITA 34 AG NAMEN-AKT by Vita 34 International AG

FamiCord AG

Vanguard Short-Term Inflation-Protected Securities Index Fund ETF Shares

Macro Economic Events

Market Summary

Economics

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NVDA

Benzinga Market Summary; S&P Falls Slightly After NVIDIA Reverses Following Earnings, Trump Says Mexico And Canada Tariffs Will Begin Mar. 4 And GDP Growth Meets Estimates

SCCO

Benzinga Market Summary: S&P Rises As NVIDIA Gains Ahead Of Q4 Report, Trump Orders Probe Of Copper Imports

$BTC

Benzinga Market Summary: S&P Falls On Continued Economic Concerns, Feb. Consumer Confidence Comes In Below Estimates, Oil And Bitcoin Move Lower

Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) is one stock that has skyrocketed from its beginning stages, leaving many wishing they got in on it from the start. One woman recently called "The Ramsey Show" for financial advice regarding her Tesla stock, which grew to an astonishing amount from her initial investment.&nbsp;
Her dilemma? Whether to cash out and pay off her mortgage or hold onto the stock because, in her words, "Nobody knows what Tesla&#8217;s capable of."
<h2 class="wp-block-heading">From $1,000 to $380,000 in Tesla Stock</h2>
The caller explained that she invested $1,000 in <a href="https://www.benzinga.com/25/02/43686887/teslas-stock-climbs-nearly-3-in-thursday-pre-market-as-analyst-predicts-growth-in-ev-ai-and-robotics">Tesla stock</a> in 2011, in the company's early stages. Over the years, without adding any additional money to her investment, the stock surged, reaching upwards of $380,000. She and her family now owe $288,000 on their home and are weighing the benefits of selling the stock to become mortgage-free.&nbsp;&nbsp;
Don't Miss:
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<li>Can you guess how many retire with a $5,000,000 nest egg? <a href="https://www.benzinga.com/money/5mil-nest-egg-adv">The percentage may shock you</a>.</li>
<li>‘Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. <a href="https://www.benzinga.com/money/mode-mobile-2">You can invest today for just $0.26/share with a $1000 minimum.</a></li>
</ul>
Financial expert <a href="https://www.benzinga.com/personal-finance/25/01/43276105/trumps-tax-plan-could-slash-social-security-benefits-33-by-2035-ramsey-show-host-george-kamel-weighs-in">George Kamel</a>, a host on "The Ramsey Show," was impressed by the caller's success. "What?" he reacted in shock, before confirming that she had truly turned just $1,000 into hundreds of thousands of dollars without adding more funds to the investment.
<h2 class="wp-block-heading">The Risks of Holding a Single Stock</h2>
While acknowledging the incredible return, Kamel advised the caller to be cautious. He emphasized the risks associated with keeping such a large portion of wealth in a single stock, even one as well-known as Tesla. "As soon as you can get that house paid off and get out of a single stock, the better," he said.
His advice aligns with common financial principles: diversifying investments can help protect against market downturns. Tesla's stock, like any other, is subject to volatility. Holding onto the stock means exposure to potential price swings that could reduce the value of her gains.
Trending: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing —<a href="https://www.benzinga.com/money/boxabl"> you can become an investor for $0.80 per share today.</a>
<h2 class="wp-block-heading">The Role of Taxes in the Decision</h2>
One of the biggest factors to consider in selling such a large stock position is the tax implication. Kamel advised the caller to consult a tax professional before making any moves. Since the stock's value has increased significantly since she bought it, selling would trigger <a href="https://www.benzinga.com/news/25/02/43669470/im-so-sorry-dave-ramsey-left-speechless-after-hearing-the-capital-gains-tax-a-canadian-restaurant-owner-would-owe-if-he-sold-his-business">capital gains taxes</a>. Depending on her income and how long she has held the stock, the tax bill could be substantial.
Instead of selling all at once, Kamel suggested an alternative approach: selling off portions of the stock gradually over a few years. This strategy could help reduce the overall tax burden by spreading the gains across multiple tax years, potentially keeping her in a lower tax bracket.
<h2 class="wp-block-heading">Can Her Income Cover the Mortgage Instead?</h2>
Another consideration is the caller's household income. She shared that her family is earning $275,000 annually, which is a strong financial position. Kamel's advice implies that, with such a high income, they may be able to aggressively pay down the mortgage without relying entirely on the Tesla stock sale.
See Also: If there was a new fund backed by Jeff Bezos offering a <a href="https://www.benzinga.com/money/arrived-private-credit-fund">7-9% target yield with monthly dividends would you invest in it</a>?
<h2 class="wp-block-heading">What Should She Do?</h2>
Ultimately, the decision rests on her financial goals and risk tolerance. Paying off the mortgage would provide security and eliminate monthly payments, but holding onto the stock could yield further gains—though with added risk. Consulting a financial and tax professional could help her determine the best course of action based on her specific situation.
For investors who find themselves in a similar position, the key takeaway is clear: while big gains in the stock market can be life-changing, careful planning is essential to ensure those gains translate into lasting <a href="https://www.benzinga.com/personal-finance/24/02/36957443/the-majority-of-americans-dont-feel-financially-secure-and-believe-they-need-to-earn-233-000-a-y">financial stability</a>.
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<li>Deloitte's fastest-growing software company partners with Amazon, Walmart &amp; Target – <a href="https://www.benzinga.com/money/mode-mobile-2">Many are rushing to grab 4,000 of its pre-IPO shares for just $0.26/share!</a></li>
</ul>

Personal Finance

AAPL

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MSTY

NVDY

PLTR

QQQM

SCHD

SMCI

TSLA

Should She Cash Out? Woman Who Turned $1,000 Into $380,000 In Tesla Stock Asks The Ramsey Show For Guidance

Benzinga Market Summary: UnitedHealth Falls On Report Of DOJ Investigation, Feb. Consumer Sentiment Falls, S&P Moves Lower

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A historic shift has taken place in the $11 trillion <a href="https://www.benzinga.com/etfs">ETF industry</a>, as Vanguard has overtaken State Street to claim the title of the world's largest exchange-traded fund provider. 
The Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>) has emerged as the largest ETF by assets under management (AUM), surpassing the long-dominant SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>). This highlights the increasing shift towards cost-efficient, passive investing as more investors flock to these strategies.
According to Bloomberg, VOO now holds nearly $632 billion in AUM, having attracted an impressive $23 billion in inflows so far in 2025. In contrast, <a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/01/43354861/vanguards-voo-set-to-overtake-spy-as-worlds-largest-etf-after-record-january-inflows">SPY has experienced significant outflows</a>, losing $10.68 billion in January alone, per data from ETFdb.com. 
Vanguard's appeal lies in its cost-efficient structure—VOO charges an annual expense ratio of just 0.03%, significantly lower than SPY's 0.095%.
Also Read: <a href="https://www.benzinga.com/etfs/new-etfs/25/02/43663523/new-treasury-etfs-target-liquidity-as-vanguard-expands-fixed-income-lineup">New Treasury ETFs Target Liquidity As Vanguard Expands Fixed-Income Lineup</a>
As Vanguard cements its authority in the ETF space, here are three of its top-performing funds that investors should keep on their radar:
Vanguard S&amp;P 500 ETF
<ul>
<li>AUM: $632 billion </li>
<li>Expense Ratio: 0.03% </li>
<li>Benchmark: S&amp;P 500 Index</li>
<li>Why It Stands Out: This fund provides broad exposure to the largest U.S. companies and remains a top choice for cost-conscious investors. </li>
<li>Price Performance: The price of the ETF has risen 22.9% in the past year.</li>
</ul>
Vanguard Total Stock Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>)
<ul>
<li>AUM: Over $400 billion </li>
<li>Expense Ratio: 0.03%</li>
<li>Benchmark: CRSP U.S. Total Market Index</li>
<li>Why It Stands Out: VTI offers investors exposure to more than 3,600 stocks across small-, mid-, and large-cap companies, reflecting the entire U.S. stock market. It embodies Vanguard founder John Bogle's philosophy of "buying the haystack" rather than picking individual stocks.</li>
<li>Price Performance: The ETF price has returned 22.3% in the past year.</li>
</ul>
Vanguard Total International Stock ETF (VXUS)
<ul>
<li>AUM: Around $77 billion</li>
<li>Expense Ratio: 0.08% </li>
<li>Benchmark: FTSE Global All Cap ex U.S. Index</li>
<li>Why It Stands Out: VXUS provides exposure to over 8,500 international stocks across developed and emerging markets. </li>
<li>Price Performance: The price has gained 8.6% in the past year.</li>
</ul>
What Future Holds
Vanguard's rise to the top demonstrates how even a percent point difference in costs and slightly wider diversification in stock picking strategy matter significantly. Currently, the firm manages 88 ETFs, with 78 of them following index-based strategies. In recent years, Vanguard has also expanded its actively managed ETF lineup, particularly in the bond sector, while maintaining its reputation for offering some of the lowest fees in the industry.
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Broad U.S. Equity ETFs

ETFs

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AVGO

INTC

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COIN

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<a target="_blank" href="https://www.benzinga.com/topic/artificial-intelligence" rel="noreferrer noopener">Artificial intelligence server</a> company Super Micro Computer, Inc.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SMCI#NASDAQ">SMCI</a>) stock has risen over 1,336% in the last five years, backed by demand for AI hardware and infrastructure in line with the AI boom.
Aswath Damodaran, a Professor of Finance at the Stern School of Business at New York University, proclaimed the need for investments in infrastructure to accomplish <a target="_blank" href="https://aswathdamodaran.substack.com/p/ais-winners-losers-and-wannabes-valuing" rel="noreferrer noopener">AI ambitions</a>.
The launch of ChatGPT in 2022 posed a positive catalyst for the server market, as demand for AI servers increased with the generative AI boom.
Also Read: <a target="_blank" href="https://www.benzinga.com/25/02/43442520/strong-iphone-upgrades-ai-features-and-services-growth-fuel-apples-momentum-bofa-analyst-says" rel="noreferrer noopener">Apple May Face Limited Tariff Impact, Trump Administration Could Ease DOJ Pressure: BofA</a>
Dell, Super Micro, and Hewlett Packard are the Big 3 Original Equipment Manufacturers of the AI server market. However, &#8220;Original Design Manufacturer direct&#8221; sales dominate as Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) and its Big Tech peers continue to have their servers custom-made, as per <a target="_blank" href="https://www.counterpointresearch.com/insight/post-insight-research-notes-blogs-ai-servers-are-now-one-third-of-the-global-server-market" rel="noreferrer noopener">Counterpoint</a>.
Super Micro&#8217;s <a target="_blank" href="https://ir.supermicro.com/financials/sec-filings/default.aspx" rel="noreferrer noopener">gross margin</a> ranged between 15%-18% in the last three fiscals <a target="_blank" href="https://investors.hpe.com/financial/annual-reports" rel="noreferrer noopener">compared to</a> Hewlett Packard&#8217;s 33.4%-35% and <a target="_blank" href="https://investors.delltechnologies.com/financial-information/sec-filings?field_nir_sec_form_group_target_id=471&amp;field_nir_sec_date_filed_value=&amp;filter_type=&amp;relative_date_range_after=&amp;relative_date_range_before=&amp;exact_date_range_after=&amp;exact_date_range_before=&amp;items_per_page=10" rel="noreferrer noopener">Dell&#8217;s 22%-24%</a> due to the companies&#8217; diversified product portfolio with potentially higher margin segments.
Also, Super Micro priced its AI servers at a discount versus rivals to win market share, Reuters cited CFO David Weigand during a quarterly earnings call.
Super Micro&#8217;s stock value lost 25% in the <a target="_blank" href="https://www.benzinga.com/24/12/42520765/super-micro-drops-below-50-day-average-faces-nasdaq-100-removal-just-months-after-entry" rel="noreferrer noopener">last six months</a> as auditor Ernst &amp; Young quit in October over governance concerns. The company tapped BDO USA as its new auditor.
Super Micro, scrutinized by a Hindenburg Research report and a U.S. Department of Justice probe for alleged accounting fraud, has until February 25 to file its delayed financial reports. The stock lost its position in the Nasdaq 100 index in December 2024, months after joining it in July 2024.
According to the AI server company&#8217;s latest <a target="_blank" href="https://d18rn0p25nwr6d.cloudfront.net/CIK-0001375365/b47ec77a-b669-438b-82d3-553ab0d77e45.html" rel="noreferrer noopener">quarterly report</a>, Super Micro&#8217;s <a target="_blank" href="https://www.benzinga.com/news/24/10/41355570/super-micro-expands-liquid-cooled-ai-servers-with-nvidia-power" rel="noreferrer noopener">customers include</a> Intel Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>), Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Advanced Micro Devices, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>), Samsung Electronics (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SSNLF#OTC">SSNLF</a>), and Micron Technology, Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>).
Super Micro remains <a target="_blank" href="https://www.benzinga.com/24/12/42709635/super-micro-and-nvidia-expand-in-taiwan-with-green-energy-and-ai-projects" rel="noreferrer noopener">engaged in constructive endeavors</a>, including collaborating with Taiwan&#8217;s Guo Rui to form a renewable-energy-powered computation center in Taiwan. Reportedly, Nvidia plans to build a secondary headquarters in Taiwan.
Super Micro launched new <a target="_blank" href="https://www.benzinga.com/trading-ideas/movers/25/02/43500503/whats-going-on-with-ai-infrastructure-provider-supermicros-stock-today" rel="noreferrer noopener">AI data center solutions</a> with Nvidia Blackwell, and it has production plants in San Jose, Europe, and Asia.
In January, Super Micro began shipping <a target="_blank" href="https://www.benzinga.com/markets/equities/25/01/42900090/super-micro-begins-shipping-max-performance-servers-with-intel-xeon-6900-series-processors" rel="noreferrer noopener">max-performance servers</a> with Intel Xeon 6900 processors optimized for AI, HPC, and GPU-intensive tasks.
On January 30, Super Micro CEO Charles Liang <a target="_blank" href="https://x.com/charlesliang/status/1885087135922847978" rel="noreferrer noopener">tweeted</a> about expanding its partnership with Elon Musk&#8217;s AI startup,&nbsp;xAI.
On Tuesday, Super Micro reported <a target="_blank" href="https://www.benzinga.com/25/02/43646949/supermicro-sees-conservative-40-billion-revenue-target-despite-auditor-exit-stocks-50-slide" rel="noreferrer noopener">preliminary second-quarter</a> revenue of $5.6 billion—$5.7 billion (below the $5.89 billion consensus), up 54%.&nbsp;
The company cut its fiscal year 2025 guidance to $23.5 billion—$25 billion from its previous forecast of $26 billion—$30 billion (versus the $24.92 billion consensus). It projected fiscal year 2026 revenue of $40 billion versus the $29.92 billion consensus.
The company expects to file&nbsp;its delayed annual and quarterly reports to the U.S. SEC <a target="_blank" href="https://www.benzinga.com/25/02/43651025/smci-climbs-66-in-wednesday-pre-market-whats-going-on" rel="noreferrer noopener">by the deadline</a>.
Analysts rerated the stock upon the results.
<ul>
<li>Wedbush analyst Matt Bryson maintained Super Micro with a Neutral and raised the price target from $24 to $40.</li>
<li>JP Morgan analyst Samik Chatterjee maintained Super Micro with an Underweight and raised the price target from $23 to $35.</li>
<li>Needham analyst Quinn Bolton suspended the rating on Super Micro.</li>
</ul>
Wedbush: Super Micro&#8217;s softer, uninspiring results, the vision of a significantly more robust future, and plans to file its financials before the deadline should reduce uncertainty.
Bryson expects the business to expand considerably in the first half of 2026. However, he is also hesitant to model as aggressively as management forecasts.
JP Morgan: Despite the near-term softness, Super Micro surprised with an updated full-year guide, which implied a strong revenue inflection that the company expects will start a robust AI server revenue cycle.
The price target boost reflects increased conviction from the management team to meet regulatory deadlines.
Needham: Super Micro&#8217;s preliminary revenue and gross margin results fell slightly short of expectations as customers waited to order new Blackwell systems and aggressive pricing on Hopper products.
Bolton maintained his suspended rating as he awaited the filing of the annual and quarterly reports.
Investors can gain exposure to Super Micro through Vanguard Total Stock Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>) and Vanguard S&amp;P 500 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VOO#NYSE">VOO</a>).
Price Action:&nbsp;SMCI stock closed at $39.68 on Wednesday.
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<li><a href="https://www.benzinga.com/25/02/43442424/meta-outspends-apple-and-amazon-on-arvr-betting-big-on-future-of-smart-glasses-and-ai" target="_blank" rel="noreferrer noopener">Meta Bets Big on Future of Smart Glasses and AI, Outspends Apple and Amazon on AR/VR</a></li>
</ul>
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Super Micro Rides AI Server Boom, Analysts See Big 2026 Growth Despite Near-Term Challenges

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Major indexes are lower following worse-than-expected January CPI figures.

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Marvell Technology, Inc.&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MRVL#NASDAQ">MRVL</a>) stock has surged about 350% in the last five years as the <a target="_blank" href="https://www.benzinga.com/topic/artificial-intelligence" rel="noreferrer noopener">artificial intelligence frenzy</a> has triggered demand for hardware and infrastructure.
The company supplies data infrastructure semiconductor solutions, spanning the data center core to the network edge. It is a fabless semiconductor supplier of high-performance standard and semi-custom products with core strengths in developing and scaling complex System-on-a-Chip architectures, integrating analog, mixed-signal, and digital signal processing functionality.
Also Read: <a target="_blank" href="https://www.benzinga.com/25/02/43570917/cloudflares-ai-expansion-and-enterprise-growth-set-the-stage-for-big-gains-analysts" rel="noreferrer noopener">Buy Cloudflare Or Sell? Analysts Vary Over Sales Acceleration And Business Momentum</a>
Its solutions empower the data economy and enable the data center, enterprise networking, carrier infrastructure, consumer, and automotive/industrial end markets.
Aswath Damodaran of the Stern School of Business at New York University flagged how computer chips have become part of every consumer good in the last four decades, from <a target="_blank" href="https://aswathdamodaran.substack.com/p/ais-winners-losers-and-wannabes-valuing" rel="noreferrer noopener">appliances to automobiles</a>.
He noted that semiconductor chip customers have also shifted from personal computers to smartphones, with demand emerging from automobile, crypto, and gaming companies in the last decade.
Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) became the first <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/19/10/14589580/apple-microsoft-battle-for-position-as-worlds-most-valuable-company-by-market-cap" rel="noreferrer noopener">trillion-dollar company</a> in 2018 as its iPhones gained traction. It is currently worth over $3.4 trillion. Nvidia Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) hit the trillion-dollar market cap in 2024 and is currently worth ~ $ $3.2 trillion, backed by its AI processors.
Damodaran also said that data processing has emerged as a demand driver. He highlighted the potential upside of the automobile business, backed by automated driving and other enhancements.
Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) also reached a trillion-dollar valuation, supported by Elon Musk&#8217;s EVs and autonomous driving technology.
Reportedly, a third of the ten global companies worth <a target="_blank" href="https://www.benzinga.com/media/25/01/42762874/broadcom-thrives-with-114-stock-surge-in-ai-boom-while-intel-faces-steep-decline" rel="noreferrer noopener">over $1 trillion</a> came from the chip industry, as 2024 proved immensely beneficial for the U.S. semiconductor sector.
For Marvell, China accounted for 42%- 44% of its revenue between fiscal <a target="_blank" href="https://app.quotemedia.com/data/downloadFiling?webmasterId=101533&amp;ref=318157157&amp;type=HTML&amp;symbol=MRVL&amp;cdn=36dc57774e0f888a3d7612adedcf3e12&amp;companyName=Marvell+Technology+Inc.&amp;formType=10-K&amp;dateFiled=2024-03-13" rel="noreferrer noopener">2022 and 2024</a>, while the U.S. generated 11%- 14%.
The company reported a 7% decline in fiscal 2024 revenue after a 33% growth in fiscal 2023 due to a decrease in sales in the majority of its end markets, including data center, enterprise networking, consumer, and carrier infrastructure, partially offset by growth in the automotive/industrial end market.
The decline coincides with the slowdown in Chinese demand, which impacted the company&#8217;s gross margin, which remained at 42% in fiscal 2024 versus 50% in 2023.
Semiconductor companies have adopted organic growth strategies (e.g., investing in research and development, product innovation, and operational efficiency improvements) or inorganic growth strategies (via acquisitions, mergers, or strategic partnerships) to expand their market share.
R&amp;D consumed 32%- 34% of Marvell&#8217;s revenue between fiscal 2022 and 2024, compared to bigger rival Broadcom Inc&#8217;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>) 15%- 18%. In absolute terms, Broadcom&#8217;s <a target="_blank" href="https://investors.broadcom.com/financial-information/annual-reports" rel="noreferrer noopener">R&amp;D stood at</a> $9.3 billion in fiscal 2024 on revenue of $51.6 billion versus Marvell&#8217;s R&amp;D at $1.9 billion on revenue of $5.5 billion.
In relative terms, Marvell&#8217;s R&amp;D margin is comparable to that of British chip designer Arm Holdings (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARM#NASDAQ">ARM</a>). Arm&#8217;s fiscal 2024 <a target="_blank" href="https://investors.arm.com/financials/sec-filings" rel="noreferrer noopener">R&amp;D margin stood</a> at 61% on revenue of $3.23 billion. Still, Marvell posted a gross margin of above 40%, which is testimony to its pricing power or moat.
Marvell stock surged over 57% in the last 12 months, <a target="_blank" href="https://www.spglobal.com/spdji/en/indices/equity/sp-global-semiconductor-index/#overview" rel="noreferrer noopener">topping</a> S&amp;P Global Semiconductor Index&#8217;s 11%. Marvell commands an EV/EBITDA multiple of 262.5x versus Arm&#8217;s 283.1x and Broadcom&#8217;s 47.9x.
Marvell&#8217;s dividend yield is 0.20%, compared to 1.00% for Broadcom or 0.5% for Micron Technology, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MU#NASDAQ">MU</a>).
Marvell&#8217;s inorganic growth strategies include mergers and acquisitions. On October 5, 2021, Marvell completed the acquisition of Innovium, Inc., a provider of networking solutions for cloud and edge data centers, for $1.0 billion. On April 20, 2021, Marvell completed the acquisition of Inphi, a provider of <a target="_blank" href="https://www.benzinga.com/m-a/20/10/18135863/marvell-confirms-merger-with-chipmaker-inphi-to-create-40b-entity" rel="noreferrer noopener">high-speed data movement</a> enabled by optical interconnects, for $9.9 billion.&nbsp;
Marvell&#8217;s operating cash flow, net of capital expenditures, helped it generate $1.02 billion in free cash flow as of February 3, 2024, compared to $1.07 billion in 2023 and $632 million in 2022.
Excess cash flows above capex help a company pay dividends and/or buyback shares, thereby adding to shareholder value. A company may also use the surplus funds for acquisitions and debt repayment to fuel growth.
Marvell&#8217;s positive AI catalysts for 2025: OpenAI,&nbsp;SoftBank Corp (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBF#OTC">SFTBF</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/SFTBY#OTC">SFTBY</a>), and&nbsp;Oracle Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ORCL#NYSE">ORCL</a>) launched a&nbsp;<a target="_blank" href="https://www.benzinga.com/25/01/43127416/anthropic-gains-big-with-google-backing-aiming-for-60-billion-valuation-and-surging-ai-revenue" rel="noreferrer noopener">$500 billion joint venture</a>, Stargate, to build AI infrastructure in the U.S.
Microsoft Corp (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) committed $80 billion for AI-driven data centers. Alphabet Inc&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOG#NASDAQ">GOOG</a>) (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) Google&nbsp;earmarked over $1 billion for its OpenAI rival Anthropic.
BofA Securities Vivek Arya <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/25/02/43570410/broadcoms-trillion-dollar-run-analyst-expects-asic-to-take-10-15-market-share-backed-by-ai-compute-demand" rel="noreferrer noopener">expressed optimism over</a> AI infrastructure providers like Marvell, which are backed by AI compute/networking demand. He expects Application-Specific Integrated Circuit (ASIC) vendors like Marvell and Broadcom (which hit the trillion dollars market cap in 2024) to bag over a 10%-15% share of the overall accelerator market as Nvidia GPUs dominate with their 80%+ share.
JPMorgan&#8217;s&nbsp;Harlan Sur noted that Marvell is <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/25/01/42859614/jpmorgan-sees-marvells-ai-revenue-surge-with-2-billion-run-rate-in-networking-by-2025" rel="noreferrer noopener">well-positioned to</a> significantly exceed its previous AI target of $2.5 billion in calendar 2025. This is backed by AI optical/copper networking products and two AI ASIC programs for&nbsp;Amazon.Com Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>), Amazon Web Services, and&nbsp;Google.
Marvell is a holding in 200 US-traded&nbsp;ETFs. Investors can gain exposure to the stock through Vanguard Total Stock Market ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VTI#NYSE">VTI</a>)
and Invesco QQQ Trust, Series 1 (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>).
MRVL&nbsp;Price Action: Marvell Technology stock closed up by 1.97% to $112.50 on Monday.
Also Read:
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