Maxlinear’s Strong Performance and Growth Potential: A Buy Rating Amidst Diversified Product Success and Supply Chain Resilience

In a report released today, David Williams from Benchmark Co. reiterated a Buy rating on Maxlinear (MXL – Research Report), with a price target of $20.00.

David Williams has given his Buy rating due to a combination of factors that highlight Maxlinear’s strong performance and growth potential. The company reported solid first-quarter results, with revenue slightly surpassing expectations and earnings aligning with consensus forecasts. Despite ongoing tariff uncertainties, management does not foresee a significant direct impact, and customer demand continues to strengthen. The company’s diversified product portfolio is well-positioned to capitalize on the growing demand for high-performance connectivity solutions, particularly as AI workloads shift closer to the end user.
Furthermore, Maxlinear’s end markets are recovering, with strengthening order activity and new product momentum driving a multi-year growth cycle. The company has successfully relocated much of its supply chain outside of China, mitigating potential tariff impacts. Orders have been robust, with a backlog in place for upcoming quarters, and cash flow and earnings are expected to turn positive in the second quarter. Additionally, the company’s Keystone DSP momentum and broadband connectivity improvements further support the optimistic outlook for sustained growth.

In another report released on April 22, Stifel Nicolaus also maintained a Buy rating on the stock with a $16.00 price target.