Marvell stock rises after Benchmark says government's ZTE deal could have a $28 million yearly impact

Shares of semiconductor manufacturing company Marvell Technology Group Ltd. MRVL, +0.41%are up 2.2% in Thursday morning trading after Benchmark Research analyst Gary Mobley said that the U.S. deal with ZTE Corp. is a "positive" for the stock. "Within our coverage universe, the ZTE resolution should have the most favorable impact on Marvell ($28 million annual impact; est.

for 3Q19 and 4Q19 may go up by $7 million for each quarter)," wrote Mobley, who covers a variety of semiconductor names. He sees likely benefits for MaxLinear Inc. MXL, +2.19%and Ceva Inc. CEVA, +0.73%as well. Marvell shares are up 28% over the past 12 months, while the S&P 500 SPX, -0.07%has gained 14% and the PHLX Semiconductor Index SOX, -0.95%has risen 28%.