Monolithic Power Systems (NASDAQ:MPWR) Stock Price Expected to Rise, Truist Financial Analyst Says

Key Points

• Truist Financial raised Monolithic Power Systems’ price target to $1,889 from $1,805 and maintained a “buy” rating, implying roughly 25.45% upside. Analysts overall assign the stock a “Moderate Buy” consensus rating with an average target of $1,696.73.
• Monolithic Power Systems reported strong quarterly results, with EPS of $6.50 versus the $5.87 consensus and revenue of $980.64 million, up 47.6% year over year and above estimates.
• Valuation and insider selling remain risks: the stock trades at a high earnings multiple, while insiders sold approximately $112.7 million of shares over the past 90 days.

Monolithic Power Systems (NASDAQ:MPWR - Get Free Report) had its price objective increased by research analysts at Truist Financial from $1,805.00 to $1,889.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has a "buy" rating on the semiconductor company's stock. Truist Financial's target price would suggest a potential upside of 25.45% from the company's current price.

Several other research analysts have also weighed in on the company. KeyCorp lifted their price objective on Monolithic Power Systems from $2,000.00 to $2,100.00 and gave the stock an "overweight" rating in a research report on Friday. Stifel Nicolaus raised their price objective 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 reiterated an "outperform" rating and set a $1,800.00 target price on shares of Monolithic Power Systems in a research report on Friday, May 1st. Needham & Company LLC raised their price target on shares of Monolithic Power Systems from $1,750.00 to $2,000.00 and gave the stock a "buy" rating in a report on Friday. Finally, Rosenblatt Securities reiterated a "neutral" rating and set a $1,575.00 price objective on shares of Monolithic Power Systems in a report on Friday. One research 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. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $1,696.73.

Monolithic Power Systems Stock Performance

Monolithic Power Systems stock opened at $1,505.74 on Friday. Monolithic Power Systems has a 52-week low of $706.00 and a 52-week high of $1,714.09. The firm has a 50 day moving average price of $1,443.86 and a two-hundred day moving average price of $1,313.49. The firm has a market cap of $73.98 billion, a price-to-earnings ratio of 111.96 and a beta of 1.71.

Monolithic Power Systems (NASDAQ:MPWR - Get Free Report) last posted its quarterly earnings data 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 22.84% and a return on equity of 19.58%. The company had revenue of $980.64 million for the quarter, compared to analyst estimates of $903.30 million. During the same period in the prior year, the firm posted $4.21 EPS. The company's quarterly revenue was up 47.6% on a year-over-year basis. As a group, equities research analysts predict that Monolithic Power Systems will post 20.2 EPS for the current fiscal year.

Insider Buying and Selling at Monolithic Power Systems

In other Monolithic Power Systems news, Director Jeff Zhou sold 486 shares of the firm's stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $1,680.00, for a total value of $816,480.00. Following the sale, the director owned 3,800 shares of the company's stock, valued at $6,384,000. This trade represents a 11.34% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Deming Xiao sold 30,000 shares of the company's stock in a transaction that occurred on Wednesday, May 6th. The shares were 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. The trade was a 12.71% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 69,370 shares of company stock worth $112,702,503 in the last ninety days. Insiders own 3.60% of the company's stock.

Hedge Funds Weigh In On Monolithic Power Systems

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Monolithic Power Systems during the fourth quarter valued at approximately $34,000. IFP Advisors Inc raised its stake in Monolithic Power Systems by 171.4% during the third quarter. IFP Advisors Inc now owns 38 shares of the semiconductor company's stock valued at $35,000 after buying an additional 24 shares during the last quarter. Covestor Ltd raised its stake in Monolithic Power Systems by 29.0% during the fourth quarter. Covestor Ltd now owns 40 shares of the semiconductor company's stock valued at $36,000 after buying an additional 9 shares during the last quarter. Sunbelt Securities Inc. boosted its holdings in Monolithic Power Systems by 233.3% in the first quarter. Sunbelt Securities Inc. now owns 40 shares of the semiconductor company's stock worth $44,000 after acquiring an additional 28 shares in the last quarter. Finally, Greenline Wealth Management LLC purchased a new stake in shares of Monolithic Power Systems in the fourth quarter worth $38,000. Hedge funds and other institutional investors own 93.46% of the company's stock.

Key Stories Impacting Monolithic Power Systems

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

• Positive Sentiment: Strong Q2 results: MPWR reported adjusted earnings of $6.50 per share versus the $5.87 consensus estimate, while revenue rose 47.6% year over year to $980.64 million, ahead of the $903.30 million forecast. Earnings also increased from $4.21 per share in the prior-year quarter. Monolithic Power Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Above-consensus outlook: Management guided third-quarter revenue to approximately $1.1 billion-$1.2 billion, substantially above the roughly $980 million analyst expectation. The outlook reinforces expectations for continued demand across the company’s power-management semiconductor business. Monolithic Power Systems Beats Expectations in Strong Q2
• Positive Sentiment: AI investment narrative strengthened: The earnings growth and lofty forward projections could support the view that MPWR is benefiting from rising power requirements for artificial intelligence infrastructure. The post-earnings reaction included a sharp increase in the stock price. Could Monolithic Power Systems’ Lofty Earnings Projections Reframe Its AI Investment Narrative?
• Neutral Sentiment: The earnings-call transcript and company webinar give investors additional detail on quarterly performance and the forward outlook, but the available reports do not identify a separate material catalyst beyond the results and guidance. Monolithic Power Systems Q2 2026 Earnings Call Transcript
• Negative Sentiment: Valuation risk: After a reported 195% run, commentary suggests MPWR may be fully priced. With a price-to-earnings ratio near 95 and shares well below their 52-week high, investors may demand continued exceptional growth to justify the valuation. Monolithic Power Systems Stock Looks Fully Priced Following Its 195% Run
• Negative Sentiment: A law firm is soliciting shareholders regarding alleged breaches of fiduciary duty by insiders. The notice is not proof of wrongdoing, but it introduces a potential legal and governance overhang. Shareholder Fiduciary-Duty Solicitation

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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