Marvell shares surge 29% as Nvidia CEO praises optical components

Jensen Huang called Marvell the 'next trillion-dollar company' at Computex, sending the stock to record highs and lifting the entire optical networking sector.

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Add us on Google by Editorial Team Jun. 2, 2026

Jensen Huang has a knack for moving markets with a single sentence. At Computex Week in Taipei on June 2, the Nvidia CEO pointed at Marvell Technology and essentially said: that’s the next trillion-dollar company.

Marvell’s stock responded the way you’d expect when the most influential person in AI hardware gives you a public coronation. Shares surged as much as 29%, hitting a record high near $273-$274 and adding over $47 billion to the company’s market capitalization at peak gains.

The Nvidia halo effect spreads to optical stocks

Huang’s endorsement wasn’t just about Marvell. It was a thesis statement on the future of AI infrastructure, and specifically, the optical components that make it work. The market heard the message loud and clear. Lumentum shares climbed 13.3%, while Coherent jumped 17.3%. Both companies make optical networking components that feed into the same ecosystem Huang was championing.

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Nvidia put $2 billion into Marvell back on March 31 as part of a strategic partnership focused on NVLink Fusion and advanced optical interconnects. When someone writes a check that size and then publicly calls you the next trillion-dollar company, that’s not a casual observation. That’s a roadmap.

Marvell’s optical chips are designed to handle the high-speed data sharing that AI infrastructure requires as it scales. Bandwidth and power efficiency are the two currencies that matter most in modern data centers, and optical solutions deliver on both fronts more effectively than traditional alternatives.

A stock that was already on a tear

The June 2 surge didn’t come out of nowhere. Marvell’s stock had already appreciated between 158% and 185% year-to-date before Huang took the stage. A stock that’s already nearly tripled in value getting another 29% boost in a single session tells you something about how dramatically market sentiment can shift when the right person says the right thing at the right time.

What this means for investors

The bull case is straightforward. AI infrastructure spending is accelerating, optical interconnects are becoming essential at scale, and Marvell has locked in a strategic partnership with the dominant player in the space. Nvidia’s $2 billion investment isn’t philanthropy. It’s a signal that Marvell’s technology is deeply integrated into Nvidia’s future product roadmap.

The bear case is equally straightforward. A stock that’s up roughly 200% or more in a year is pricing in a lot of future growth. The $47 billion in market cap added in a single day represents expectations, not revenue.

There’s also the concentration risk to consider. Marvell’s growth story is now tightly coupled to Nvidia’s trajectory. That’s great when Nvidia is the most important company in tech. It’s less great if Nvidia stumbles or if the partnership dynamics shift.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.