UPDATE: Stifel Reiterates On Marvell Technology On Weakness During Transition

In a report published Friday, Stifel analyst Kevin Cassidy reiterated a Buy rating on Marvell Technology Group Ltd. (NASDAQ: MRVL), but lowered the price target from $18.00 to $16.00.

In the report, Stifel noted, “Similar to other companies with exposure to the handset market, particularly Samsung handsets, Marvell's October quarter revenues missed our and Street estimates. Outlook for the January quarter is for further handset declines. Management expects their mobile business to turn around starting in the April quarter, and for mobile unit shipments to double y/y in FY16. While this is a positive outlook, we have some concerns over erosion of average selling prices and gross margin.”

Marvell Technology closed on Thursday at $13.30.