Monolithic Power Systems Inc MPWR

Monolithic Chips Drive High Performance, Share Gains, and a Wide Moat for MPS

Monolithic Power Systems is a disruptor in the power management chip market, using its proprietary process technology to differentiate from larger competitors. In our view, MPS differentiates from larger incumbents via its unique fabless model, with which it develops advanced manufacturing processes that integrate many functions on a single chip to offer a smaller form factor and greater energy efficiency to its customers. We believe revenue growth far above its largest competitors shows that its differentiated approach to power management is gaining traction in the market and that MPS is taking market share.