Monolithic Power Systems (MPWR) Competitors

Applied Materials (NASDAQ:AMAT) and Monolithic Power Systems (NASDAQ:MPWR) are both large-cap computer and technology companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, risk, valuation, dividends, analyst recommendations, media sentiment, earnings and profitability.

Which has preferable earnings & valuation, AMAT or MPWR?

Applied Materials has higher revenue and earnings than Monolithic Power Systems. Monolithic Power Systems is trading at a lower price-to-earnings ratio than Applied Materials, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Materials	$27.18B	5.41	$7.18B	$8.22	22.28
Monolithic Power Systems	$2.21B	17.31	$1.79B	$38.40	20.78

Is AMAT or MPWR more profitable?

Monolithic Power Systems has a net margin of 73.17% compared to Applied Materials' net margin of 24.06%. Applied Materials' return on equity of 40.15% beat Monolithic Power Systems' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Applied Materials	24.06%	40.15%	22.42%
Monolithic Power Systems	73.17%	19.14%	16.34%

Which has more volatility and risk, AMAT or MPWR?

Applied Materials has a beta of 1.7, indicating that its share price is 70% more volatile than the S&P 500. Comparatively, Monolithic Power Systems has a beta of 1.18, indicating that its share price is 18% more volatile than the S&P 500.

Is AMAT or MPWR a better dividend stock?

Applied Materials pays an annual dividend of $1.84 per share and has a dividend yield of 1.0%. Monolithic Power Systems pays an annual dividend of $6.24 per share and has a dividend yield of 0.8%. Applied Materials pays out 22.4% of its earnings in the form of a dividend. Monolithic Power Systems pays out 16.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Applied Materials has raised its dividend for 8 consecutive years and Monolithic Power Systems has raised its dividend for 8 consecutive years.

Does the media refer more to AMAT or MPWR?

In the previous week, Applied Materials had 14 more articles in the media than Monolithic Power Systems. MarketBeat recorded 68 mentions for Applied Materials and 54 mentions for Monolithic Power Systems. Applied Materials' average media sentiment score of 1.31 beat Monolithic Power Systems' score of 0.83 indicating that Applied Materials is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Applied Materials	51 Very Positive mention(s)	4 Positive mention(s)	12 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Monolithic Power Systems	28 Very Positive mention(s)	8 Positive mention(s)	9 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts rate AMAT or MPWR?

Applied Materials presently has a consensus price target of $204.09, indicating a potential upside of 11.43%. Monolithic Power Systems has a consensus price target of $838.09, indicating a potential upside of 5.03%. Given Applied Materials' higher probable upside, analysts clearly believe Applied Materials is more favorable than Monolithic Power Systems.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Materials	0 Sell rating(s)	8 Hold rating(s)	17 Buy rating(s)	0 Strong Buy rating(s)	2.68
Monolithic Power Systems	0 Sell rating(s)	2 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.82

Do insiders and institutionals hold more shares of AMAT or MPWR?

80.6% of Applied Materials shares are owned by institutional investors. Comparatively, 93.5% of Monolithic Power Systems shares are owned by institutional investors. 0.2% of Applied Materials shares are owned by company insiders. Comparatively, 3.4% of Monolithic Power Systems shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Applied Materials beats Monolithic Power Systems on 11 of the 18 factors compared between the two stocks.