Monolithic Power Systems (NASDAQ:MPWR) Trading 7.4% Higher – Should You Buy?

Shares of Monolithic Power Systems, Inc. (NASDAQ:MPWR) shot up 7.4% during trading on Tuesday . The stock traded as high as $1,382.00 and last traded at $1,386.3070. 152,701 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 714,279 shares. The stock had previously closed at $1,291.38.

Analyst Upgrades and Downgrades

MPWR has been the subject of several analyst reports. Rosenblatt Securities raised their price target on shares of Monolithic Power Systems from $1,000.00 to $1,575.00 and gave the stock a “neutral” rating in a report on Friday, May 1st. Raymond James Financial reissued 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. Zacks Research raised shares of Monolithic Power Systems from a “hold” rating to a “strong-buy” rating in a research report on Thursday, June 18th. Oppenheimer set a $1,700.00 price objective on Monolithic Power Systems in a research report on Friday, May 1st. Finally, Truist Financial set a $1,805.00 target price on Monolithic Power Systems in a research report on Friday, May 1st. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $1,599.17.

Monolithic Power Systems Stock Up 7.5%

The stock has a market cap of $68.22 billion, a price-to-earnings ratio of 99.89, a PEG ratio of 2.42 and a beta of 1.71. The stock has a 50 day simple moving average of $1,507.56 and a 200 day simple moving average of $1,277.68.

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

Monolithic Power Systems Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th will be given a dividend of $2.00 per share. The ex-dividend date of this dividend is Tuesday, June 30th. This represents a $8.00 annualized dividend and a dividend yield of 0.6%. Monolithic Power Systems’s payout ratio is presently 57.68%.

Insider Buying and Selling

In other news, EVP Maurice Sciammas sold 30 shares of the firm’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $1,351.61, for a total value of $40,548.30. Following the transaction, the executive vice president owned 1,149 shares in the company, valued at $1,552,999.89. This trade represents a 2.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Saria Tseng sold 7,565 shares of the company’s stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $1,700.00, for a total value of $12,860,500.00. Following the sale, the executive vice president owned 144,218 shares of the company’s stock, valued at $245,170,600. This trade represents a 4.98% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 69,370 shares of company stock worth $112,702,503 over the last ninety days. Insiders own 3.60% of the company’s stock.

Institutional Trading of Monolithic Power Systems

Several institutional investors and hedge funds have recently made changes to their positions in MPWR. Thurston Springer Miller Herd & Titak Inc. purchased a new position in Monolithic Power Systems during the fourth quarter worth about $34,000. IFP Advisors Inc boosted its stake in shares of Monolithic Power Systems by 171.4% in the 3rd quarter. IFP Advisors Inc now owns 38 shares of the semiconductor company’s stock worth $35,000 after buying an additional 24 shares during the last quarter. Covestor Ltd boosted its stake in shares of Monolithic Power Systems by 29.0% in the 4th quarter. Covestor Ltd now owns 40 shares of the semiconductor company’s stock worth $36,000 after buying an additional 9 shares during the last quarter. Sunbelt Securities Inc. grew its holdings in shares of Monolithic Power Systems by 233.3% in the first quarter. Sunbelt Securities Inc. now owns 40 shares of the semiconductor company’s stock valued at $44,000 after acquiring an additional 28 shares in the last quarter. Finally, Greenline Wealth Management LLC purchased a new stake in shares of Monolithic Power Systems during the fourth quarter valued at approximately $38,000. Hedge funds and other institutional investors own 93.46% of the company’s stock.

Monolithic Power Systems Company Profile

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.