03:02 PM EST, 11/26/2024 (MT Newswires) -- Marvell Technology ( MRVL ) is due to report fiscal Q3 results on Dec. 3 and Oppenheimer analysts said Tuesday they see upside potential on the Q3 print and Q4 outlook driven by custom computing and networking segments.

The investment firm said in an earnings preview it expects AI projects like Trainium, Inferentia, Axion, and Maia to drive revenue beyond the $1.5 billion and $2.5 billion targets for 2024 and 2025, respectively.

The data center segment, which represents 69% of revenue, is expected to grow 93% year-over-year in fiscal Q3, fueled by AI custom computing and optical networking demand, according to the preview.

"Marvell ( MRVL ) brings a platform approach to core markets with electro-optics, switching, storage, and custom AI compute," the firm added.

Oppenheimer raised its price target on the company's stock to $110 from $90 and reiterated an outperform rating.

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