(Bloomberg) -- Marvell Technology Inc. shares jumped to a record high after the chipmaker delivered better-than-expected results and an upbeat earnings forecast, citing demand for artificial intelligence computing.

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Third-quarter profit was 43 cents a share, excluding some items, the company said in a statement Tuesday. That beat the 41-cent average estimate of analysts. Marvell expects earnings on that basis of as much as 64 cents in the current period, well ahead of the 52-cent projection.

Chief Executive Officer Matt Murphy has positioned the chipmaker to benefit from an industrywide boom in AI spending. Though it hasn’t seen the kind of sales surge that turned Nvidia Corp. into the world’s most valuable company, Marvell offers AI accelerators and other components used by cloud-computing providers to develop advanced services.

“The exceptional performance in the third quarter, and our strong forecast for the fourth quarter, are primarily driven by our custom AI silicon programs, which are now in volume production,” Murphy said in the statement.

The shares rose as much as 23% to $117.74 in New York trading on Wednesday, marking the biggest intraday gain since May 2023. They had been up 59% this year through Tuesday’s close.

Marvell expects sales of roughly $1.8 billion in the fourth quarter, which runs through January. That compares with an average estimate of $1.64 billion, according to data compiled by Bloomberg. Sales gained 7% to $1.52 billion in the third quarter, topping the $1.45 billion prediction.

Murphy, who became CEO in 2016, is now a potential contender to lead Intel Corp. That company has approached the executive as part of its search for a new leader, following the ouster this week of Intel CEO Pat Gelsinger, Bloomberg News reported Tuesday.

Murphy said during a conference call that he was committed to his current company, saying he couldn’t think of a better place to work. “I’m 100% focused on Marvell,” he said.

(A previous version of the story was corrected to clarify Marvell’s product offerings.)

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