MXL

MaxLinear (MXL) reported Q3 2026 earnings of 62 cents per share, beating estimates by 10.71%, with revenues surging 72% year-over-year to $218.1 million. Infrastructure revenues jumped 210% year-over-year to $125 million, driven by strong demand for AI optical interconnects. The company raised its 2026 optical data center revenue outlook to $250-$270 million and expects Q4 revenues between $240-$260 million.

MaxLinear (MXL) raised its 2026 optical data center revenue outlook to $250-$270M, driven by accelerating AI demand and 210% year-over-year infrastructure revenue growth. The company projects Q4 revenues of $240-$260M and expects initial 1.6T shipments in early 2027, with bookings extending into 2028. However, foundry capacity constraints remain a limiting factor for future growth.

MaxLinear reported Q3 2026 earnings of $0.62 per share, beating consensus estimates of $0.56, with revenues of $218.06 million exceeding expectations by 1.42%. The stock has surged 334.8% year-to-date, significantly outperforming the S&P 500's 13.3% gain.

However, the company received a Zacks Rank #3 (Hold) rating, suggesting near-term performance in line with the market. The semiconductor-analog industry ranks in the top 7% of Zacks industries.

The article recommends Sandisk and MaxLinear as top semiconductor stocks to hold through 2032. Sandisk, a NAND flash memory chipmaker, has shown exceptional growth with 372% year-over-year revenue increase and is predicted to potentially reach a $1 trillion valuation. MaxLinear, which develops microchips for optical fiber infrastructure in data centers, has grown 500% this year and shows accelerating sequential growth rates similar to other top performers.

The article argues that SpaceX's $2 trillion valuation is too high relative to its revenue, even accounting for projected $100 billion annual recurring revenue by 2026, resulting in a price-to-sales ratio above 20. Instead, the author recommends three better-valued growth stocks: SanDisk (strong NAND memory demand from AI), MaxLinear (optical data center products), and nVent (liquid cooling solutions for data centers).

MaxLinear stock surged 50.7% in September 2026, driven by accelerating demand for optical networking chips used in AI data centers, positive analyst reports, and a rebound from summer lows. The company raised its optical data center revenue outlook to $220 million and holds only 7% market share with plans to triple it. However, the stock trades at a lofty 39x forward earnings with high volatility, presenting both opportunity and risk.