Monolithic Power Systems Inc. (NASDAQ:MPWR) previous close was $319.80 while the outstanding shares total 45.50M. The firm has a beta of 0.93, a 12-month trailing P/E ratio of 90.21, and a growth ratio of 3.61. MPWR’s shares traded higher over the last trading session, gaining 3.81% on 05/20/21. The shares fell to a low of $320.01 before closing at $331.97. Intraday shares traded counted 0.39 million, which was 7.92% higher than its 30-day average trading volume of 428.07K. The stock’s Relative Strength Index (RSI) is 46.75, with weekly volatility at 4.05% and ATR at 14.07. The MPWR stock’s 52-week price range has touched low of $198.95 and a $406.75 high.
Investors have identified the Semiconductors company Monolithic Power Systems Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $14.70 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Monolithic Power Systems Inc. (MPWR) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 922.43 million total, with 187.91 million as their total liabilities.
MPWR were able to record 58.09 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by -116.58 million. In cash movements, the company had a total of 77.06 million as operating cash flow.
Potential earnings growth for Monolithic Power Systems Inc. (MPWR)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, Monolithic Power Systems Inc. recorded a total of 254.46 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 34.85% coming in sequential stages and their sales for the 07/28/2021 quarter increasing by 8.41%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 113.4 million trying to sell their products during the last quarter, with the result yielding a gross income of 141.06 million. This allows shareholders to hold on to 45.50M with the recently reported earning now reading 1.00 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (0.86 cents a share).
Having a look at the company’s valuation, the company is expected to record 5.68 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on MPWR sounds very interesting.
Is the stock of MPWR attractive?
In related news, CEO, Hsing Michael sold 6,723 shares of the company’s stock in a transaction that recorded on May 12. The sale was performed at an average price of 311.82, for a total value of 2,096,363. As the sale deal closes, the CFO, BLEGEN THEODORE now sold 1,437 shares of the company’s stock, valued at 448,089. Also, Pres. of MPS Asia Operations, Xiao Deming sold 1,741 shares of the company’s stock in a deal that was recorded on May 12. The shares were price at an average price of 311.83 per share, with a total market value of 542,892. Following this completion of acquisition, the VP & General Counsel, Tseng Saria now holds 1,741 shares of the company’s stock, valued at 542,885. In the last 6 months, insiders have changed their ownership in shares of company stock by 5.20%.
10 out of 14 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on Monolithic Power Systems Inc.. 0 analysts has assigned a Sell rating on the MPWR stock. The 12-month mean consensus price target for the company’s shares has been set at $430.00.