Power Integrations Inc. (NASDAQ:POWI) shares fell to a low of $81.01 before closing at $81.75. Intraday shares traded counted 0.43 million, which was -20.5% lower than its 30-day average trading volume of 359.41K. POWI’s previous close was $82.13 while the outstanding shares total 60.18M. The firm has a beta of 0.94, a 12-month trailing P/E ratio of 52.64, and a growth ratio of 2.19. The stock’s Relative Strength Index (RSI) is 55.00, with weekly volatility at 2.08% and ATR at 2.91. The POWI stock’s 52-week price range has touched low of $50.34 and a $99.05 high. The stock traded lower over the last trading session, losing -0.46% on 05/27/21.
Investors have identified the Semiconductors company Power Integrations 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 $5.01 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.
Power Integrations Inc. (POWI) 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 642.31 million total, with 62.53 million as their total liabilities.
POWI were able to record 47.07 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by 84.4 million. In cash movements, the company had a total of 58.12 million as operating cash flow.
Potential earnings growth for Power Integrations Inc. (POWI)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, Power Integrations Inc. recorded a total of 173.74 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 36.88% coming in sequential stages and their sales for the 07/29/2021 quarter increasing by 13.26%.
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 89.33 million trying to sell their products during the last quarter, with the result yielding a gross income of 84.41 million. This allows shareholders to hold on to 60.18M with the recently reported earning now reading 0.66 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (0.66 cents a share).
Having a look at the company’s valuation, the company is expected to record 2.12 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 POWI sounds very interesting.
Is the stock of POWI attractive?
In related news, VP Marketing, Bailey Doug sold 8,830 shares of the company’s stock in a transaction that recorded on May 06. The sale was performed at an average price of 80.60, for a total value of 711,698. As the sale deal closes, the VP of Technology, Engineering, Barsan Radu now sold 3,250 shares of the company’s stock, valued at 274,106. Also, VP of Product Development, Matthews David MH sold 1,510 shares of the company’s stock in a deal that was recorded on Apr 05. The shares were price at an average price of 84.41 per share, with a total market value of 127,465. Following this completion of acquisition, the Chief Financial Officer, NAYYAR SANDEEP now holds 1,890 shares of the company’s stock, valued at 159,660. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.10%.
3 out of 6 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on Power Integrations Inc.. 0 analysts has assigned a Sell rating on the POWI stock. The 12-month mean consensus price target for the company’s shares has been set at $96.17.