One of the biggest semiconductor sector winners last year was Marvell Technology (NASDAQ: MRVL), up 83%. Unsurprisingly, this was due to its burgeoning artificial intelligence chip business.

Marvell has a smaller but similar portfolio to 's (NASDAQ: AVGO) semiconductor business, which is a collection of ASICs (application specific integrated chips) that cloud giants use to create their own custom AI accelerators, networking chips and digital signal processors for AI data centers, and other less-attractive non-AI chip segments in broadband and telecom equipment, consumer electronics, and a small automotive chip business.

While the non-AI parts of Marvell's business have been in a down-cycle, its AI chip portfolio is booming, causing enthusiastic investors to bid Marvell up to a very high valuation. But does that make shares a buy, sell, or hold to start 2025?

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Source Fool.com