Monolithic Power Systems (NASDAQ:MPWR) Shares Gap Down – Here’s Why

Monolithic Power Systems, Inc. (NASDAQ:MPWR) gapped down before the market opened on Monday . The stock had previously closed at $761.30, but opened at $629.30. Monolithic Power Systems shares last traded at $576.27, with a volume of 1,015,909 shares trading hands.

Wall Street Analysts Forecast Growth

MPWR has been the subject of a number of research analyst reports. Rosenblatt Securities downgraded Monolithic Power Systems from a “strong-buy” rating to a “hold” rating in a research report on Thursday, October 31st. Stifel Nicolaus increased their price objective on Monolithic Power Systems from $1,000.00 to $1,100.00 and gave the company a “buy” rating in a research report on Friday, September 27th. Truist Financial reaffirmed a “buy” rating and set a $994.00 price objective (up from $918.00) on shares of Monolithic Power Systems in a research note on Wednesday, October 2nd. Raymond James upped their price target on shares of Monolithic Power Systems from $770.00 to $925.00 and gave the company an “outperform” rating in a research report on Friday, August 2nd. Finally, Deutsche Bank Aktiengesellschaft lifted their price objective on shares of Monolithic Power Systems from $750.00 to $900.00 and gave the stock a “buy” rating in a research report on Friday, August 2nd. Two research analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. According to data from MarketBeat.com, Monolithic Power Systems has an average rating of “Moderate Buy” and a consensus target price of $916.73.

Monolithic Power Systems Stock Performance

The firm has a market capitalization of $31.42 billion, a P/E ratio of 72.62, a P/E/G ratio of 3.08 and a beta of 1.15. The stock has a 50 day moving average of $871.40 and a two-hundred day moving average of $830.09.

Monolithic Power Systems (NASDAQ:MPWR) last posted its quarterly earnings results on Wednesday, October 30th. The semiconductor company reported $2.99 earnings per share for the quarter, missing analysts’ consensus estimates of $3.04 by ($0.05). Monolithic Power Systems had a return on equity of 20.44% and a net margin of 21.29%. The business had revenue of $620.12 million for the quarter, compared to analyst estimates of $600.10 million. Sell-side analysts predict that Monolithic Power Systems, Inc. will post 10.46 EPS for the current year.

Monolithic Power Systems Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, October 15th. Stockholders of record on Monday, September 30th were given a dividend of $1.25 per share. The ex-dividend date of this dividend was Monday, September 30th. This represents a $5.00 dividend on an annualized basis and a dividend yield of 0.78%. Monolithic Power Systems’s payout ratio is 56.37%.

Insider Activity at Monolithic Power Systems

In other Monolithic Power Systems news, CFO Theodore Blegen sold 2,500 shares of the company’s stock in a transaction that occurred on Friday, November 1st. The shares were sold at an average price of $772.96, for a total value of $1,932,400.00. Following the completion of the sale, the chief financial officer now owns 56,678 shares of the company’s stock, valued at approximately $43,809,826.88. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In other Monolithic Power Systems news, CFO Theodore Blegen sold 2,500 shares of the business’s stock in a transaction dated Friday, November 1st. The shares were sold at an average price of $772.96, for a total transaction of $1,932,400.00. Following the sale, the chief financial officer now directly owns 56,678 shares of the company’s stock, valued at $43,809,826.88. The trade was a 0.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Deming Xiao sold 10,000 shares of the business’s stock in a transaction that occurred on Thursday, August 22nd. The stock was sold at an average price of $950.00, for a total value of $9,500,000.00. Following the transaction, the executive vice president now directly owns 29,714 shares in the company, valued at $28,228,300. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 37,759 shares of company stock worth $34,985,340 over the last 90 days. Insiders own 3.70% of the company’s stock.

Hedge Funds Weigh In On Monolithic Power Systems

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its holdings in shares of Monolithic Power Systems by 1.0% during the first quarter. Vanguard Group Inc. now owns 5,519,940 shares of the semiconductor company’s stock worth $3,739,318,000 after buying an additional 55,874 shares in the last quarter. Van ECK Associates Corp lifted its position in shares of Monolithic Power Systems by 26.3% during the 3rd quarter. Van ECK Associates Corp now owns 447,823 shares of the semiconductor company’s stock worth $395,715,000 after buying an additional 93,362 shares during the last quarter. Charles Schwab Investment Management Inc. grew its stake in shares of Monolithic Power Systems by 1.8% during the third quarter. Charles Schwab Investment Management Inc. now owns 314,264 shares of the semiconductor company’s stock worth $290,537,000 after buying an additional 5,645 shares during the last quarter. Earnest Partners LLC boosted its stake in shares of Monolithic Power Systems by 5.2% during the first quarter. Earnest Partners LLC now owns 290,876 shares of the semiconductor company’s stock valued at $197,045,000 after purchasing an additional 14,327 shares in the last quarter. Finally, Kayne Anderson Rudnick Investment Management LLC grew its holdings in Monolithic Power Systems by 14.3% during the 2nd quarter. Kayne Anderson Rudnick Investment Management LLC now owns 275,979 shares of the semiconductor company’s stock worth $226,767,000 after acquiring an additional 34,557 shares during the last quarter. 93.46% of the stock is owned by institutional investors.

Monolithic Power Systems Company Profile

Monolithic Power Systems, Inc engages in the design, development, marketing, and sale of semiconductor-based power electronics solutions for the storage and computing, automotive, enterprise data, consumer, communications, and industrial markets. The company provides direct current (DC) to DC integrated circuits (ICs) that are used to convert and control voltages of various electronic systems, such as cloud-based CPU servers, server artificial intelligence applications, storage applications, commercial notebooks, digital cockpit, power sources, home appliances, 4G and 5G infrastructure, and satellite communications applications.