Monolithic Power Systems (NASDAQ:MPWR) Reaches New 12-Month High – Still a Buy?

Monolithic Power Systems, Inc. (NASDAQ:MPWR)’s share price hit a new 52-week high on Wednesday . The company traded as high as $1,161.44 and last traded at $1,159.4420, with a volume of 197724 shares traded. The stock had previously closed at $1,095.49.

Analysts Set New Price Targets

MPWR has been the subject of several recent analyst reports. Stifel Nicolaus lifted their price target on Monolithic Power Systems from $930.00 to $1,100.00 and gave the company a “buy” rating in a research note on Friday, October 17th. Citigroup lifted their price target on shares of Monolithic Power Systems from $1,100.00 to $1,250.00 and gave the company a “buy” rating in a research note on Monday, November 3rd. TD Cowen reiterated a “buy” rating on shares of Monolithic Power Systems in a research report on Friday, October 31st. Truist Financial lifted their price objective on Monolithic Power Systems from $1,163.00 to $1,375.00 and gave the stock a “buy” rating in a report on Friday, December 19th. Finally, Rosenblatt Securities increased their target price on Monolithic Power Systems from $800.00 to $950.00 and gave the company a “neutral” rating in a report on Friday, October 31st. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, Monolithic Power Systems has an average rating of “Buy” and a consensus target price of $1,093.75.

Monolithic Power Systems Price Performance

The company has a market cap of $55.78 billion, a price-to-earnings ratio of 29.75, a PEG ratio of 3.00 and a beta of 1.45. The firm has a 50 day simple moving average of $961.70 and a 200-day simple moving average of $910.55.

Monolithic Power Systems (NASDAQ:MPWR) last announced its quarterly earnings results on Thursday, October 30th. The semiconductor company reported $4.73 earnings per share for the quarter, beating analysts’ consensus estimates of $4.62 by $0.11. Monolithic Power Systems had a net margin of 71.22% and a return on equity of 18.37%. The business had revenue of $737.18 million during the quarter, compared to analysts’ expectations of $720.66 million. During the same period last year, the business earned $4.06 earnings per share. The business’s revenue for the quarter was up 18.9% on a year-over-year basis. Research analysts anticipate that Monolithic Power Systems, Inc. will post 13.2 EPS for the current fiscal year.

Monolithic Power Systems Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, January 15th. Investors of record on Wednesday, December 31st were issued a $1.56 dividend. This represents a $6.24 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend was Wednesday, December 31st. Monolithic Power Systems’s dividend payout ratio is 15.93%.

Insiders Place Their Bets

In related news, Director Victor K. Lee sold 1,000 shares of the company’s stock in a transaction dated Wednesday, December 24th. The stock was sold at an average price of $951.72, for a total value of $951,720.00. Following the completion of the sale, the director directly owned 28,567 shares of the company’s stock, valued at $27,187,785.24. This represents a 3.38% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Maurice Sciammas sold 27,966 shares of Monolithic Power Systems stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $881.66, for a total value of $24,656,503.56. Following the transaction, the executive vice president directly owned 148,306 shares in the company, valued at approximately $130,755,467.96. This trade represents a 15.87% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 69,976 shares of company stock worth $63,370,417. Insiders own 3.40% of the company’s stock.

Hedge Funds Weigh In On Monolithic Power Systems

Hedge funds have recently modified their holdings of the business. 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 purchasing an additional 11 shares during the period. SJS Investment Consulting Inc. grew its holdings in shares of Monolithic Power Systems by 2,700.0% during the third quarter. SJS Investment Consulting Inc. now owns 28 shares of the semiconductor company’s stock worth $26,000 after buying an additional 27 shares during the last quarter. NewSquare Capital LLC increased its position in 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 acquiring an additional 19 shares during the period. Salomon & Ludwin LLC purchased a new stake in Monolithic Power Systems during the 3rd quarter valued at approximately $33,000. Finally, Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Monolithic Power Systems in the 4th quarter valued at approximately $34,000. 93.46% of the stock is currently owned by hedge funds and other institutional investors.

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.