Monolithic Power Systems (NASDAQ:MPWR) Sets New 1-Year High – Here’s Why

Shares of Monolithic Power Systems, Inc. (NASDAQ:MPWR) reached a new 52-week high on Wednesday . The company traded as high as $1,256.22 and last traded at $1,236.6890, with a volume of 59988 shares. The stock had previously closed at $1,213.67.

Wall Street Analysts Forecast Growth

MPWR has been the subject of several research reports. Citigroup raised their price target on Monolithic Power Systems from $1,250.00 to $1,350.00 and gave the company a “buy” rating in a report on Monday, February 9th. Truist Financial increased their price objective on shares of Monolithic Power Systems from $1,375.00 to $1,396.00 and gave the company a “buy” rating in a research report on Friday, February 6th. TD Cowen restated a “buy” rating on shares of Monolithic Power Systems in a research note on Friday, October 31st. Wells Fargo & Company upped their price target on shares of Monolithic Power Systems from $1,200.00 to $1,350.00 and gave the company an “overweight” rating in a research note on Friday, February 6th. Finally, Zacks Research raised shares of Monolithic Power Systems from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 10th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, Monolithic Power Systems presently has an average rating of “Buy” and a consensus target price of $1,218.42.

Monolithic Power Systems Price Performance

The stock’s 50-day moving average price is $1,058.04 and its 200-day moving average price is $971.13. The company has a market cap of $58.95 billion, a P/E ratio of 96.82, a PEG ratio of 3.01 and a beta of 1.45.

Monolithic Power Systems (NASDAQ:MPWR) last announced its earnings results on Thursday, February 5th. The semiconductor company reported $4.79 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.74 by $0.05. Monolithic Power Systems had a net margin of 22.07% and a return on equity of 18.09%. The firm had revenue of $751.16 million for the quarter, compared to analyst estimates of $741.69 million. During the same quarter in the prior year, the business posted $4.09 EPS. The business’s revenue was up 20.8% compared to the same quarter last year. As a group, analysts expect that Monolithic Power Systems, Inc. will post 13.2 EPS for the current fiscal year.

Monolithic Power Systems Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st will be issued a $2.00 dividend. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $8.00 annualized dividend and a yield of 0.7%. This is a boost from Monolithic Power Systems’s previous quarterly dividend of $1.56. Monolithic Power Systems’s payout ratio is presently 48.98%.

Insider Activity

In related news, EVP Deming Xiao sold 22,875 shares of the company’s stock in a transaction dated Friday, February 6th. The shares were sold at an average price of $1,171.16, for a total transaction of $26,790,285.00. Following the completion of the sale, the executive vice president owned 235,932 shares of the company’s stock, valued at $276,314,121.12. This represents a 8.84% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Saria Tseng sold 22,875 shares of the stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $1,171.16, for a total transaction of $26,790,285.00. Following the sale, the executive vice president owned 200,626 shares in the company, valued at $234,965,146.16. The trade was a 10.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 101,550 shares of company stock worth $116,980,720. 3.40% of the stock is owned by insiders.

Institutional Trading of Monolithic Power Systems

Institutional investors and hedge funds have recently made changes to their positions in the company. True Wealth Design LLC increased its stake in Monolithic Power Systems by 61.1% in the third quarter. True Wealth Design LLC now owns 29 shares of the semiconductor company’s stock valued at $26,000 after acquiring an additional 11 shares during the last quarter. SJS Investment Consulting Inc. boosted its holdings in shares of Monolithic Power Systems by 2,700.0% in the 3rd quarter. SJS Investment Consulting Inc. now owns 28 shares of the semiconductor company’s stock valued at $26,000 after purchasing an additional 27 shares in the last quarter. NewSquare Capital LLC increased its stake in shares of Monolithic Power Systems by 76.0% in the 2nd quarter. NewSquare Capital LLC now owns 44 shares of the semiconductor company’s stock valued at $32,000 after purchasing an additional 19 shares during the last quarter. Salomon & Ludwin LLC bought a new position in shares of Monolithic Power Systems in the 3rd quarter valued at $33,000. Finally, Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of Monolithic Power Systems during the 4th quarter worth $34,000. Institutional investors own 93.46% of the company’s stock.

About Monolithic Power Systems

Monolithic Power Systems (NASDAQ: MPWR) is a fabless semiconductor company that designs and supplies high-performance power management solutions for a broad range of electronic systems. Founded in 1997 and headquartered in Kirkland, Washington, the company focuses on analog and mixed-signal integrated circuits that convert, regulate and monitor electrical power with an emphasis on efficiency, integration and power density.

MPS’s product portfolio includes DC‑DC switching regulators, power modules, power management ICs (PMICs), LED drivers, battery-management ICs, motor drivers, and AC‑DC power solutions.