Monolithic Power Systems, Inc. $MPWR Shares Sold by Bank of America Corp DE

Key Points

• Bank of America reduced its MPWR stake by 30.5% in the first quarter, selling 167,413 shares and retaining 382,162 shares valued at approximately $417.8 million. Institutional investors and hedge funds collectively own 93.46% of the company.
• Monolithic Power Systems exceeded second-quarter expectations, reporting adjusted EPS of $6.50 versus the $5.87 consensus and revenue of $980.64 million, up 47.6% year over year. Enterprise Data revenue surged 164.3%, driven by accelerating AI and data-center demand.
• Analysts remain broadly bullish but valuation is elevated: the consensus rating is “Moderate Buy” with a $1,705.82 price target, while several firms raised targets as high as $2,100. The stock trades at roughly 87 times earnings, creating downside risk if growth or AI demand disappoints.

Bank of America Corp DE decreased its holdings in Monolithic Power Systems, Inc. (NASDAQ:MPWR - Free Report) by 30.5% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 382,162 shares of the semiconductor company's stock after selling 167,413 shares during the quarter. Bank of America Corp DE owned 0.78% of Monolithic Power Systems worth $417,837,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently bought and sold shares of MPWR. Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of Monolithic Power Systems during the fourth quarter worth about $34,000. IFP Advisors Inc raised its stake in Monolithic Power Systems by 171.4% during the 3rd quarter. IFP Advisors Inc now owns 38 shares of the semiconductor company's stock worth $35,000 after acquiring an additional 24 shares in the last quarter. Covestor Ltd lifted its holdings in shares of Monolithic Power Systems by 29.0% in the 4th quarter. Covestor Ltd now owns 40 shares of the semiconductor company's stock valued at $36,000 after purchasing an additional 9 shares during the last quarter. Greenline Wealth Management LLC purchased a new stake in Monolithic Power Systems in the fourth quarter valued at approximately $38,000. Finally, Sunbelt Securities Inc. raised its position in Monolithic Power Systems by 233.3% in the 1st quarter. Sunbelt Securities Inc. now owns 40 shares of the semiconductor company's stock valued at $44,000 after purchasing an additional 28 shares during the last quarter. 93.46% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of analysts have weighed in on the company. Truist Financial increased their price objective on Monolithic Power Systems from $1,805.00 to $1,889.00 and gave the stock a "buy" rating in a research report on Friday. Stifel Nicolaus upped their target price on shares of Monolithic Power Systems from $1,300.00 to $1,500.00 and gave the stock a "buy" rating in a research report on Thursday, April 16th. Raymond James Financial restated an "outperform" rating and issued a $1,800.00 price target on shares of Monolithic Power Systems in a research report on Friday, May 1st. Citigroup restated a "buy" rating on shares of Monolithic Power Systems in a research report on Friday, May 1st. Finally, Needham & Company LLC upped their target price on shares of Monolithic Power Systems from $1,750.00 to $2,000.00 and gave the company a "buy" rating in a report on Friday. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $1,705.82.

Monolithic Power Systems News Roundup

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

• Positive Sentiment: Q2 results exceeded expectations: Monolithic Power reported adjusted earnings of $6.50 per share versus the $5.87 analyst consensus, while revenue reached $980.64 million, up 47.6% year over year and well above the $903.30 million estimate. Monolithic Power Systems Q2 earnings report
• Positive Sentiment: AI and data-center demand is accelerating: Enterprise Data revenue surged 164.3%, and management highlighted expanding AI infrastructure demand, capacity investments and broader power-management solutions as key growth drivers. MPWR Q2 earnings call highlights
• Positive Sentiment: Strong third-quarter outlook: Management projected approximately $1.14 billion to $1.16 billion in third-quarter sales, substantially above the roughly $980 million consensus estimate, reinforcing expectations for continued growth and operating leverage. Monolithic Power beats Q2 earnings estimates
• Positive Sentiment: Analysts raised targets: KeyCorp increased its target to $2,100 with an overweight rating, Truist raised its target to $1,889 with a buy rating, and Wells Fargo lifted its target to $1,800 with an overweight rating. Analyst forecasts after strong Q2 results
• Neutral Sentiment: Rosenblatt reaffirmed a neutral rating, although it raised its price target to $1,575, suggesting some analysts believe much of the near-term improvement is already reflected in the valuation. Rosenblatt rating
• Negative Sentiment: Valuation remains a risk: MPWR has risen sharply over the past year and trades at a high earnings multiple, leaving the stock vulnerable to profit-taking if AI demand, margins or future guidance fail to meet elevated expectations. MPWR valuation analysis

Monolithic Power Systems Stock Performance

Shares of NASDAQ:MPWR opened at $1,426.03 on Friday. Monolithic Power Systems, Inc. has a 1 year low of $706.00 and a 1 year high of $1,714.09. The stock has a 50-day simple moving average of $1,440.58 and a 200-day simple moving average of $1,314.27. The stock has a market capitalization of $70.06 billion, a P/E ratio of 87.43 and a beta of 1.71.

Monolithic Power Systems (NASDAQ:MPWR - Get Free Report) last issued its earnings results on Thursday, July 30th. The semiconductor company reported $6.50 EPS for the quarter, beating analysts' consensus estimates of $5.87 by $0.63. Monolithic Power Systems had a net margin of 24.41% and a return on equity of 22.78%. The business had revenue of $980.64 million for the quarter, compared to the consensus estimate of $903.30 million. During the same quarter last year, the firm posted $4.21 EPS. The business's revenue for the quarter was up 47.6% compared to the same quarter last year. Analysts predict that Monolithic Power Systems, Inc. will post 20.2 earnings per share for the current year.

Monolithic Power Systems Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were given a $2.00 dividend. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $8.00 annualized dividend and a yield of 0.6%. Monolithic Power Systems's dividend payout ratio (DPR) is 57.68%.

Insider Buying and Selling at Monolithic Power Systems

In other Monolithic Power Systems news, EVP Deming Xiao sold 30,000 shares of the company's stock in a transaction that occurred on Wednesday, May 6th. The stock was sold at an average price of $1,654.55, for a total value of $49,636,500.00. Following the transaction, the executive vice president directly owned 205,959 shares of the company's stock, valued at $340,769,463.45. This represents a 12.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Eugen J. Elmiger sold 12,000 shares of the company's stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $1,584.96, for a total transaction of $19,019,520.00. Following the completion of the sale, the director directly owned 5,402 shares in the company, valued at $8,561,953.92. This represents a 68.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 69,370 shares of company stock worth $112,702,503. 3.60% of the stock is currently owned by insiders.

About Monolithic Power Systems

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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