Marvell's stock is popping after the company not only delivered with its financial forecasts but also demonstrated its diversified mix of customers and products

Shares of Marvell were up 6% after the company announced upbeat long-term revenue targets.

Marvell Technology's stock has been one of the S&P 500's top performers in 2026, and the company just hinted that its good times could last for years.

Shares of Marvell (MRVL) were up 6% on Tuesday after the company impressed investors by posting new long-term revenue targets. For instance, the company is targeting about $80 billion in revenue by fiscal 2031, which ends in January of that year.

Morningstar analyst William Kerwin told MarketWatch that this forecast marks a "strong endorsement that huge AI spending is going to continue over the next five years."

For fiscal 2029, Marvell expects $12 billion in revenue from custom AI accelerators and related products, whereas it had forecast $10 billion as recently as late August.

Kerwin said management has "proven itself credible" on long-term targets. He added that he appreciates Marvell's push into connectivity products and the diversity of its customer base.

The company indicated that the $80 billion figure is based on Marvell's analysis of "design wins already won," Stifel analyst Tore Svanberg told MarketWatch. In that sense, not only are the company's long-term targets above what investors had expected, but also Marvell is making the estimates with a clearer sense of its demand.

Simply put, Marvell revealed "good numbers plus a better story," Seaport analyst Jay Goldberg told MarketWatch.

"A few years ago we were all worried that Marvell was dependent on a single product with a single customer," he said, referring to Amazon.com. He said the company has broadened its customer base to include multiple hyperscalers - or large cloud companies that provide computing power.

The company has also made progress in broadening its business, including through networking products.

See also: The murky AI milestone that has some of the industry's leading voices increasingly on edge

Marvell's stock is up 226% so far this year, a gain that ranks sixth among S&P 500 SPX components.

-Hannah Pedone