Skip to Content

Monolithic Power Systems Inc MPWR

Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Monolithic Power Systems Exceeds Expectations, All Segments Trending Up; Fair Value Estimate $252

Brian Colello, CPA Sector Director

Analyst Note

| Brian Colello, CPA |

Narrow-moat Monolithic Power Systems reported a strong fourth quarter, exceeding both FactSet consensus estimates and previous guidance. Management issued positive guidance for the first quarter of 2021, with revenue far exceeding consensus estimates, while gross margin should remain solid. Monolithic saw broad-based success this quarter, with all segments up year over year. As a result of our model roll and the time value of money, strong performance across all segments, and increased confidence in our long-term growth expectations, we are raising our fair value estimate to $252 from $155. With shares trading above $360, we view shares as overvalued and recommend investors wait for a more appropriate entry point.

Read Full Analysis

Company Profile

Business Description

Monolithic Power Systems designs power solutions for a variety of end markets, including industrial, automotive, computing, storage, communications infrastructure, and consumer products. The firm designs switches, converters, lighting, sensors, and control-integrated circuits.

Contact
5808 Lake Washington Boulevard NE
Kirkland, WA, 98033
T +1 425 296-9956
Sector Technology
Industry Semiconductors
Most Recent Earnings Dec 31, 2020
Fiscal Year End Dec 31, 2020
Stock Type Cyclical
Employees 2,209