Marvell stock declines after inventory corrections weigh on earnings forecast

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Shares of Marvell were falling in after-hours trading Thursday after the company blamed inventory corrections for an outlook that lagged the consensus view.

Shares of Marvell Technology Inc. fell more than 5% in after-hours trading Thursday after the chip company met expectations with results for its latest quarter but blamed inventory corrections for an outlook that came in below the consensus view.

The company generated a fiscal fourth-quarter net loss of $15.4 million, or 2 cents a share, versus net income of $6.2 million, or 1 cent a share, in the year-earlier period. On an adjusted basis, Marvell MRVL earned 46 cents a share, down from 50 cents a share a year before, while analysts tracked by FactSet were expecting 46 cents.

For the fiscal first quarter, Marvell executives expect $1.30 billion in revenue at the midpoint, whereas analysts were expecting $1.38 billion. Management also models 29 cents in adjusted earnings per share at the midpoint, while the FactSet consensus was for 42 cents.

 

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That's weird, AMCTheatres didn't have any cooked books, created new revenue with a Walmart deal, reduced debt and reduced cash burn while having a CEO that listens to investors, and it went down too, weird I tell ya.

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