Monolithic Power Systems (NASDAQ:MPWR) Upgraded to “Strong-Buy” at Zacks Research

Zacks Research upgraded shares of Monolithic Power Systems (NASDAQ:MPWR) from a hold rating to a strong-buy rating in a report released on Monday morning,Zacks reports.

MPWR has been the subject of a number of other research reports. KeyCorp increased their price target on Monolithic Power Systems from $2,000.00 to $2,100.00 and gave the company an “overweight” rating in a report on Friday, July 31st. Needham & Company LLC reissued a “buy” rating on shares of Monolithic Power Systems in a research note on Friday. Rosenblatt Securities upgraded shares of Monolithic Power Systems from a “neutral” rating to a “buy” rating and increased their price objective for the company from $1,575.00 to $1,700.00 in a report on Friday, October 30th. Wall Street Zen raised shares of Monolithic Power Systems from a “hold” rating to a “buy” rating in a research report on Sunday, October 25th. Finally, Truist Financial lifted their target price on Monolithic Power Systems from $1,889.00 to $1,906.00 and gave the company a “buy” rating in a research note on Friday, October 30th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Buy” and an average target price of $1,783.77.

Monolithic Power Systems Price Performance

Shares of NASDAQ:MPWR opened at $1,328.30 on Monday. Monolithic Power Systems has a 12 month low of $833.18 and a 12 month high of $1,714.09. The business has a 50-day moving average of $1,274.12 and a two-hundred day moving average of $1,313.34. The firm has a market capitalization of $65.27 billion, a PE ratio of 73.35 and a beta of 1.71.

Monolithic Power Systems (NASDAQ:MPWR) last announced its quarterly earnings results on Thursday, October 29th. The semiconductor company reported $8.19 earnings per share for the quarter, beating analysts’ consensus estimates of $7.79 by $0.40. Monolithic Power Systems had a net margin of 23.85% and a return on equity of 25.23%. The firm had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.16 billion. During the same period in the previous year, the company posted $4.73 earnings per share. Monolithic Power Systems’s revenue was up 63.1% compared to the same quarter last year. As a group, research analysts anticipate that Monolithic Power Systems will post 24.23 earnings per share for the current year.

Monolithic Power Systems Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 15th. Stockholders of record on Wednesday, September 30th were issued a dividend of $2.00 per share. This represents a $8.00 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Wednesday, September 30th. Monolithic Power Systems’s dividend payout ratio (DPR) is presently 44.17%.

Insider Activity

In related news, Director Kuo Wei Chang sold 50 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $1,281.57, for a total transaction of $64,078.50. Following the completion of the transaction, the director owned 515 shares in the company, valued at $660,008.55. This trade represents a 8.85% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 3.60% of the company’s stock.

Institutional Trading of Monolithic Power Systems

Large investors have recently added to or reduced their stakes in the company. Baird Financial Group Inc. raised its holdings in Monolithic Power Systems by 10.3% during the second quarter. Baird Financial Group Inc. now owns 81,895 shares of the semiconductor company’s stock worth $113,210,000 after buying an additional 7,624 shares during the last quarter. Generate Investment Management Ltd lifted its holdings in shares of Monolithic Power Systems by 45.8% in the third quarter. Generate Investment Management Ltd now owns 5,719 shares of the semiconductor company’s stock valued at $7,705,000 after purchasing an additional 1,797 shares in the last quarter. Westwind Capital bought a new position in shares of Monolithic Power Systems in the third quarter valued at approximately $1,784,000. Ameritas Advisory Services LLC grew its holdings in Monolithic Power Systems by 773.4% during the second quarter. Ameritas Advisory Services LLC now owns 1,677 shares of the semiconductor company’s stock worth $2,318,000 after buying an additional 1,485 shares in the last quarter. Finally, Wedmont Private Capital grew its holdings in Monolithic Power Systems by 68.0% during the third quarter. Wedmont Private Capital now owns 2,006 shares of the semiconductor company’s stock worth $2,748,000 after buying an additional 812 shares in the last quarter. 93.46% of the stock is owned by institutional investors.

Trending Headlines about Monolithic Power Systems

Here are the key news stories impacting Monolithic Power Systems this week:

• Positive Sentiment: Zacks Research upgraded MPWR from “hold” to “strong-buy,” adding a favorable analyst signal. Zacks Research ratings
• Positive Sentiment: Recent Q3 coverage points to an earnings beat, supported by AI-infrastructure and communications demand. The company is also expanding capacity as demand grows. MPWR Q3 earnings coverage
• Positive Sentiment: Zacks highlighted 164.6% growth in enterprise-data sales and rising demand for power modules, reinforcing the potential AI-related growth story. MPWR AI and enterprise-data growth
• Neutral Sentiment: MPWR was ranked seventh on a list of large-cap technology stocks backed by billionaire investors, although the article also notes broader concerns about technology valuations and the cost of AI investment. Billionaire investors and MPWR
• Negative Sentiment: Despite growth and rising earnings estimates, Zacks noted that the stock had fallen 15.9% over the prior month and cautioned that its premium valuation and operating risks could limit gains. Zacks analysis of MPWR valuation and risks
• Negative Sentiment: Rosen Law Firm announced an investigation into potential fiduciary-duty breaches by company directors and officers. The announcement may create investor uncertainty; it does not establish wrongdoing. Rosen Law Firm investigation announcement

About Monolithic Power Systems

Monolithic Power Systems, Inc (NASDAQ: MPWR) is a semiconductor company that designs, develops and markets high-performance power-management solutions. Its products help regulate, convert, distribute and control electrical power in electronic systems, supporting applications that require efficient and reliable power delivery.

The company’s portfolio includes integrated circuits, power modules, battery-management products, motor drivers, LED drivers and related analog and mixed-signal semiconductor solutions.