Fifth Third Bancorp Raises Position in Monolithic Power Systems, Inc. $MPWR

Key Points

• Fifth Third Bancorp increased its stake in Monolithic Power Systems by 12.6% to 16,824 shares (worth about $15.25M), and several other large institutional buyers pushed overall institutional ownership to 93.46%.
• Monolithic Power beat Q1 estimates—revenue rose ~26% to $804.2M and EPS was $5.10 vs. $4.90—management issued strong Q2 revenue guidance (~$890M–$910M) and raised the quarterly dividend to $2.00.
• Offsetting positives, analysts and third‑party coverage flagged a ~59% drop in operating cash flow and heavy insider selling (137,683 shares, ~$158M last quarter), while the stock trades at a lofty valuation (market cap ≈ $77.8B; P/E ≈ 124), which could constrain near‑term upside.

Fifth Third Bancorp grew its position in Monolithic Power Systems, Inc. (NASDAQ:MPWR - Free Report) by 12.6% during the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 16,824 shares of the semiconductor company's stock after acquiring an additional 1,889 shares during the period. Fifth Third Bancorp's holdings in Monolithic Power Systems were worth $15,249,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in MPWR. SG Americas Securities LLC boosted its holdings in shares of Monolithic Power Systems by 77,483.1% in the fourth quarter. SG Americas Securities LLC now owns 262,231 shares of the semiconductor company's stock valued at $237,676,000 after acquiring an additional 261,893 shares in the last quarter. Rakuten Investment Management Inc. purchased a new stake in shares of Monolithic Power Systems in the third quarter valued at about $197,260,000. First Trust Advisors LP boosted its holdings in shares of Monolithic Power Systems by 66.4% in the third quarter. First Trust Advisors LP now owns 447,801 shares of the semiconductor company's stock valued at $412,263,000 after acquiring an additional 178,622 shares in the last quarter. Rafferty Asset Management LLC boosted its holdings in shares of Monolithic Power Systems by 36.1% in the second quarter. Rafferty Asset Management LLC now owns 529,124 shares of the semiconductor company's stock valued at $386,991,000 after acquiring an additional 140,269 shares in the last quarter. Finally, Vanguard Group Inc. boosted its holdings in shares of Monolithic Power Systems by 2.3% in the third quarter. Vanguard Group Inc. now owns 6,074,033 shares of the semiconductor company's stock valued at $5,591,998,000 after acquiring an additional 134,087 shares in the last quarter. Hedge funds and other institutional investors own 93.46% of the company's stock.

Monolithic Power Systems Stock Down 1.9%

Monolithic Power Systems stock opened at $1,583.48 on Friday. Monolithic Power Systems, Inc. has a 52 week low of $608.96 and a 52 week high of $1,661.79. The firm's 50-day simple moving average is $1,228.53 and its 200 day simple moving average is $1,085.85. The firm has a market capitalization of $77.78 billion, a PE ratio of 124.29, a P/E/G ratio of 4.09 and a beta of 1.74.

Monolithic Power Systems (NASDAQ:MPWR - Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The semiconductor company reported $5.10 EPS for the quarter, topping the consensus estimate of $4.90 by $0.20. Monolithic Power Systems had a net margin of 22.84% and a return on equity of 19.82%. The business had revenue of $804.19 million for the quarter, compared to analyst estimates of $781.93 million. During the same period in the previous year, the firm earned $4.04 EPS. The business's revenue for the quarter was up 26.1% compared to the same quarter last year. On average, research analysts expect that Monolithic Power Systems, Inc. will post 17.01 EPS for the current fiscal year.

Monolithic Power Systems Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Shareholders of record on Tuesday, March 31st were given a dividend of $2.00 per share. The ex-dividend date was Tuesday, March 31st. This is an increase from Monolithic Power Systems's previous quarterly dividend of $1.56. This represents a $8.00 dividend on an annualized basis and a yield of 0.5%. Monolithic Power Systems's dividend payout ratio (DPR) is presently 62.79%.

Wall Street Analyst Weigh In

Several brokerages recently commented on MPWR. Weiss Ratings cut shares of Monolithic Power Systems from a "buy (b-)" rating to a "hold (c)" rating in a research note on Monday, March 2nd. Oppenheimer set a $1,700.00 target price on shares of Monolithic Power Systems in a report on Friday. Zacks Research downgraded shares of Monolithic Power Systems from a "strong-buy" rating to a "hold" rating in a research report on Friday, April 10th. TD Cowen boosted their price target on Monolithic Power Systems from $1,550.00 to $1,850.00 and gave the stock a "buy" rating in a research note on Friday. Finally, Citigroup restated a "buy" rating on shares of Monolithic Power Systems in a report on Friday. Twelve equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $1,599.17.

Key Stories Impacting Monolithic Power Systems

Here are the key news stories impacting Monolithic Power Systems this week:

• Positive Sentiment: Q1 results beat consensus — revenue grew ~26% to about $804M and EPS topped estimates; management cited AI-driven enterprise data demand and strength in communications & networking. Zacks: Q1 Earnings Beat
• Positive Sentiment: Company issued strong Q2 revenue guidance (~$890M–$910M) well above Street estimates, which supports continued top-line momentum if execution holds. GlobeNewswire: Q1 Results & Guidance
• Positive Sentiment: Wall Street support: Wells Fargo raised its price target to $1,860 (overweight) and Needham to $1,750 (buy), reflecting further upside expectations from the beat/guidance. Benzinga: Wells Fargo Raise TickerReport: Needham Raise
• Positive Sentiment: Legal win: MPS prevailed in a patent suit in West Texas; the plaintiff agreed to pay MPS court costs — removes a legal overhang. GlobeNewswire: Patent Lawsuit Resolution
• Neutral Sentiment: Full Q1 earnings call transcript and investor materials are available for deeper read-through of channel dynamics and product-level commentary. Seeking Alpha: Earnings Call Transcript
• Negative Sentiment: Cash-flow and insider activity are potential drags: third‑party coverage flagged a ~59% drop in operating cash flow, rising liabilities and extensive insider share sales by multiple executives — factors that can pressure sentiment and fuel profit‑taking. QuiverQuant: Financials & Insider Selling
• Negative Sentiment: Some analysts remain cautious or show lower targets (Rosenblatt revised its target to $1,575 with a neutral rating; other published targets still sit well below the recent surge), which can limit near-term upside if momentum fades. Benzinga: Analyst Notes AmericanBankingNews: Lower Target

Insider Activity at Monolithic Power Systems

In other Monolithic Power Systems news, EVP Maurice Sciammas sold 22,875 shares of Monolithic Power Systems stock in a transaction dated Friday, February 6th. The shares were sold at an average price of $1,171.16, for a total transaction of $26,790,285.00. Following the completion of the transaction, the executive vice president owned 178,625 shares in the company, valued at approximately $209,198,455. The trade was a 11.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Victor K. Lee sold 400 shares of Monolithic Power Systems stock in a transaction dated Monday, February 9th. The stock was sold at an average price of $1,212.16, for a total transaction of $484,864.00. Following the transaction, the director owned 27,756 shares of the company's stock, valued at approximately $33,644,712.96. The trade was a 1.42% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 137,683 shares of company stock valued at $158,138,447 in the last quarter. 3.40% of the stock is owned by corporate insiders.

Monolithic Power Systems Company Profile

Monolithic Power Systems NASDAQ: MPWR is a fabless semiconductor company that designs and supplies high-performance power management solutions for a broad range of electronic systems. Founded in 1997 and headquartered in Kirkland, Washington, the company focuses on analog and mixed-signal integrated circuits that convert, regulate and monitor electrical power with an emphasis on efficiency, integration and power density.

MPS's product portfolio includes DC‑DC switching regulators, power modules, power management ICs (PMICs), LED drivers, battery-management ICs, motor drivers, and AC‑DC power solutions.

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