Monolithic Power Systems, Inc.

NasdaqGS:MPWR Stock Report

Market Cap: US$28.9b

Monolithic Power Systems Valuation

Is MPWR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MPWR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MPWR ($593.22) is trading above our estimate of fair value ($364.4)

Significantly Below Fair Value: MPWR is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MPWR?

Key metric: As MPWR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MPWR. This is calculated by dividing MPWR's market cap by their current earnings.
What is MPWR's PE Ratio?
PE Ratio66.6x
EarningsUS$434.24m
Market CapUS$28.94b

Price to Earnings Ratio vs Peers

How does MPWR's PE Ratio compare to its peers?

The above table shows the PE ratio for MPWR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.2x
ON ON Semiconductor
15.9x14.7%US$27.9b
MCHP Microchip Technology
38.1x31.6%US$29.8b
FSLR First Solar
15.6x27.5%US$19.5b
GFS GlobalFoundries
31.1x22.5%US$23.1b
MPWR Monolithic Power Systems
66.6x21.6%US$28.9b

Price-To-Earnings vs Peers: MPWR is expensive based on its Price-To-Earnings Ratio (66.6x) compared to the peer average (25.2x).

Price to Earnings Ratio vs Industry

How does MPWR's PE Ratio compare vs other companies in the US Semiconductor Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SQNS Sequans Communications
1.7x-156.5%US$72.23m
MMAT.Q Meta Materials
n/an/aUS$6.00
No more companies available in this PE range
MPWR 66.6xIndustry Avg. 29.1xNo. of Companies11PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MPWR is expensive based on its Price-To-Earnings Ratio (66.6x) compared to the US Semiconductor industry average (29.1x).

Price to Earnings Ratio vs Fair Ratio

What is MPWR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MPWR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio66.6x
Fair PE Ratio34x

Price-To-Earnings vs Fair Ratio: MPWR is expensive based on its Price-To-Earnings Ratio (66.6x) compared to the estimated Fair Price-To-Earnings Ratio (34x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MPWR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$593.22
US$809.73
+36.5%
18.2%US$1,100.00US$600.00n/a14
Dec ’25US$567.64
US$827.78
+45.8%
18.1%US$1,100.00US$600.00n/a13
Nov ’25US$759.37
US$929.70
+22.4%
10.8%US$1,100.00US$700.00n/a11
Oct ’25US$891.81
US$955.33
+7.1%
11.7%US$1,100.00US$700.00n/a11
Sep ’25US$934.68
US$939.33
+0.5%
10.9%US$1,100.00US$700.00n/a11
Aug ’25US$784.95
US$839.22
+6.9%
13.0%US$1,000.00US$600.00n/a11
Jul ’25US$819.40
US$788.03
-3.8%
8.9%US$900.00US$600.00n/a12
Jun ’25US$735.63
US$768.03
+4.4%
8.1%US$850.00US$600.00n/a12
May ’25US$652.59
US$756.18
+15.9%
10.1%US$850.00US$540.00n/a11
Apr ’25US$668.48
US$756.42
+13.2%
9.5%US$830.00US$540.00n/a12
Mar ’25US$743.75
US$737.08
-0.9%
12.1%US$830.00US$540.00n/a12
Feb ’25US$614.13
US$624.42
+1.7%
11.7%US$750.00US$500.00n/a12
Jan ’25US$630.78
US$582.00
-7.7%
11.7%US$750.00US$483.00n/a12
Dec ’24US$559.61
US$552.00
-1.4%
7.1%US$600.00US$483.00US$567.6412
Nov ’24US$456.56
US$544.56
+19.3%
7.2%US$600.00US$483.00US$759.3712
Oct ’24US$462.00
US$579.73
+25.5%
3.9%US$625.00US$535.00US$891.8112
Sep ’24US$524.92
US$579.73
+10.4%
3.9%US$625.00US$535.00US$934.6812
Aug ’24US$550.29
US$581.67
+5.7%
3.9%US$625.00US$535.00US$784.9512
Jul ’24US$540.23
US$521.55
-3.5%
7.6%US$625.00US$475.00US$819.4011
Jun ’24US$499.29
US$521.55
+4.5%
7.6%US$625.00US$475.00US$735.6311
May ’24US$471.74
US$551.82
+17.0%
6.1%US$620.00US$505.00US$652.5911
Apr ’24US$500.54
US$553.33
+10.5%
6.1%US$620.00US$505.00US$668.4812
Mar ’24US$486.53
US$553.33
+13.7%
6.1%US$620.00US$505.00US$743.7512
Feb ’24US$457.77
US$477.08
+4.2%
12.9%US$620.00US$400.00US$614.1312
Jan ’24US$353.61
US$463.25
+31.0%
13.1%US$620.00US$400.00US$630.7812
Dec ’23US$382.07
US$460.33
+20.5%
13.7%US$620.00US$400.00US$559.6112

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 02:10
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Monolithic Power Systems, Inc. is covered by 35 analysts. 16 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Tristan GerraBaird
Ishan MajumdarBaptista Research
Brian PiccioniBMO Capital Markets Equity Research