Monolithic Power Systems Inc MPWR

Morningstar Rating
$1,439.73 +78.76 (5.79%)
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Company Report

Monolithic Power Is Flexing Its Power Chip Muscle Across End Markets

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.

Price vs Fair Value

MPWR is trading at a LOCK|yC>nw premium.
Price
$1,360.97
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

We believe MPS has the most rapid pace of innovation among power chipmakers, leading to fast time to market, design wins, and market share gains across its diverse end markets.

Bears

MPS holds a small share of the power management chip market and will be challenged to steal share from large, moat-endowed, well-established competitors.

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Trading Information

Previous Close Price
$1,360.97
Day Range
$1,393.13–1,455.99
52-Week Range
$833.18–1,714.09
Bid/Ask
$1,439.00 / $1,441.00
Shares Outstanding
49.14M
Market Cap
$70.75B
Volume/Avg
701,472 / 780,716

Key Statistics

Price/Earnings (Normalized)
64.45
Price/Sales
20.34
Dividend Yield (Trailing)
0.56%
Dividend Yield (Forward)
0.59%
Dividend Payment Schedule
Jan, Apr, Jul, Oct
Total Yield
0.57%

Company Profile

Monolithic Power Systems is a power chipmaker specializing in voltage regulators. Its mission is to reduce total energy consumption in end systems to improve performance and save customers cost. It serves the data center, automotive, industrial, communications, and consumer end markets. MPS uses a fabless manufacturing model, partnering with third-party chip foundries to host its proprietary BCD process technology.
Sector
Technology
Industry
Semiconductors
Stock Style Box
Mid Growth
Total Number of Employees
4,501

Competitors

Valuation

Metric
MPWR
ADI
IFNNY
Price/Earnings (Normalized)
64.4535.9349.04
Price/Book Value
17.175.874.40
Price/Sales
20.3414.314.85
Price/Cash Flow
61.7033.1321.62
Price/Earnings
MPWR
ADI
IFNNY

Financial Strength

Metric
MPWR
ADI
IFNNY
Quick Ratio
3.530.830.74
Current Ratio
4.981.251.73
Interest Coverage
—14.076.30
Quick Ratio
MPWR
ADI
IFNNY

Profitability

Metric
MPWR
ADI
IFNNY
Return on Assets (Normalized)
24.03%9.28%6.33%
Return on Equity (Normalized)
28.60%13.21%11.55%
Return on Invested Capital (Normalized)
27.70%10.97%8.71%
Return on Assets
MPWR
ADI
IFNNY

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