Monolithic Power Systems, Inc. (NASDAQ:MPWR) Given Average Recommendation of “Moderate Buy” by Analysts

Shares of Monolithic Power Systems, Inc. (NASDAQ:MPWR) have earned an average rating of “Moderate Buy” from the fifteen brokerages that are currently covering the firm, Marketbeat reports. Three research analysts have rated the stock with a hold recommendation and twelve have assigned a buy recommendation to the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $1,599.1667.

Several brokerages have weighed in on MPWR. Raymond James Financial reaffirmed an “outperform” rating and set a $1,800.00 target price on shares of Monolithic Power Systems in a research note on Friday, May 1st. Citigroup reissued a “buy” rating on shares of Monolithic Power Systems in a report on Friday, May 1st. Rosenblatt Securities lifted their price objective on shares of Monolithic Power Systems from $1,000.00 to $1,575.00 and gave the company a “neutral” rating in a research note on Friday, May 1st. KeyCorp upped their price objective on shares of Monolithic Power Systems from $1,500.00 to $2,000.00 and gave the stock an “overweight” rating in a report on Friday, May 1st. Finally, Truist Financial set a $1,805.00 target price on shares of Monolithic Power Systems in a research note on Friday, May 1st.

Monolithic Power Systems Stock Performance

Monolithic Power Systems stock opened at $1,566.21 on Friday. Monolithic Power Systems has a one year low of $643.36 and a one year high of $1,714.09. The company has a 50-day simple moving average of $1,411.52 and a 200-day simple moving average of $1,161.77. The firm has a market capitalization of $76.95 billion, a P/E ratio of 112.92, a P/E/G ratio of 2.92 and a beta of 1.74.

Monolithic Power Systems (NASDAQ:MPWR) last announced its quarterly earnings results on Thursday, April 30th. The semiconductor company reported $5.10 EPS for the quarter, beating the consensus estimate of $4.90 by $0.20. Monolithic Power Systems had a net margin of 22.84% and a return on equity of 19.58%. The company had revenue of $804.19 million for the quarter, compared to analyst estimates of $781.93 million. During the same quarter last year, the business earned $4.04 earnings per share. Monolithic Power Systems’s revenue was up 26.1% compared to the same quarter last year. As a group, sell-side analysts forecast that Monolithic Power Systems will post 20.13 earnings per share for the current year.

Key Stories Impacting Monolithic Power Systems

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

• Negative Sentiment: EVP Saria Tseng disclosed a sale of 7,565 shares at an average price of $1,700, trimming her position by about 5%. Insiders at Monolithic Power have been actively selling lately, which can signal that management sees less near-term upside. Article Title
• Negative Sentiment: Director Jeff Zhou also sold 486 shares at $1,680, continuing a recent pattern of insider selling at MPWR. Multiple insider sales in a short period often pressure sentiment, even if the amounts are small relative to total holdings. Article Title
• Negative Sentiment: Separate coverage noted that insiders have sold roughly $515 million of Monolithic Power stock, reinforcing concerns that the shares may be getting expensive after a strong run. Article Title
• Negative Sentiment: GuruFocus said MPWR still looks overvalued despite the recent rally, adding to valuation anxiety as the stock trades near its highs. Article Title

Insiders Place Their Bets

In related news, Director Eugen J. Elmiger sold 12,000 shares of the firm’s stock in a transaction dated Wednesday, May 6th. The stock was sold at an average price of $1,584.96, for a total transaction of $19,019,520.00. Following the completion of the transaction, the director owned 5,402 shares of the company’s stock, valued at $8,561,953.92. This trade represents a 68.96% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Jeff Zhou sold 1,014 shares of the business’s stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $1,587.06, for a total transaction of $1,609,278.84. Following the completion of the sale, the director owned 4,786 shares in the company, valued at approximately $7,595,669.16. This trade represents a 17.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 113,043 shares of company stock valued at $160,829,940. 3.40% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Monolithic Power Systems

Several hedge funds have recently made changes to their positions in MPWR. Thurston Springer Miller Herd & Titak Inc. bought a new stake in Monolithic Power Systems during the fourth quarter worth approximately $34,000. IFP Advisors Inc increased its holdings in shares of Monolithic Power Systems by 171.4% in the third quarter. IFP Advisors Inc now owns 38 shares of the semiconductor company’s stock valued at $35,000 after buying an additional 24 shares in the last quarter. Covestor Ltd lifted its position in shares of Monolithic Power Systems by 29.0% during the 4th quarter. Covestor Ltd now owns 40 shares of the semiconductor company’s stock valued at $36,000 after acquiring an additional 9 shares during the last quarter. Sunbelt Securities Inc. boosted its stake in shares of Monolithic Power Systems by 233.3% during the 1st quarter. Sunbelt Securities Inc. now owns 40 shares of the semiconductor company’s stock worth $44,000 after acquiring an additional 28 shares in the last quarter. Finally, Greenline Wealth Management LLC bought a new stake in shares of Monolithic Power Systems during the 4th quarter worth $38,000. Institutional investors and hedge funds 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.