Is NASDAQ:MPWR a Fit for Growth Investing Strategies?

Groth investors are looking for stocks showing high revenue and EPS growth. We will have a look here to see if MONOLITHIC POWER SYSTEMS INC (NASDAQ:MPWR) is suited for growth investing. Investors should of course do their own research, but we spotted MONOLITHIC POWER SYSTEMS INC showing up in our CANSLIM growth screen, so it may be worth spending some more time on it.

What matters for canslim investors.

• The EPS of MONOLITHIC POWER SYSTEMS INC has exhibited growth from one quarter to another (Q2Q), with a 31.82% increase. This underscores the company's ability to generate higher earnings and improve its financial standing.
• The q2q revenue growth of 30.59% of MONOLITHIC POWER SYSTEMS INC highlights the company's ability to generate incremental revenue and suggests positive market demand for its products or services.
• MONOLITHIC POWER SYSTEMS INC has achieved 32.8% growth in EPS over the past 3 years, reflecting a sustained improvement in earnings performance.
• MONOLITHIC POWER SYSTEMS INC has a healthy Return on Equity(ROE) of 18.72%. This demonstrates the company's efficient utilization of capital and indicates its commitment to driving profitability.
• The Relative Strength (RS) of MONOLITHIC POWER SYSTEMS INC has consistently been strong, with a current 79.17 rating. This indicates the stock's ability to exhibit relative price outperformance and reflects its competitive strength. MONOLITHIC POWER SYSTEMS INC demonstrates promising potential for sustained price momentum.
• MONOLITHIC POWER SYSTEMS INC exhibits a favorable Debt-to-Equity ratio at 0.0. This highlights the company's ability to limit excessive debt levels and maintain a strong equity base, demonstrating its financial stability and risk management practices.
• The ownership composition of MONOLITHIC POWER SYSTEMS INC reflects a balanced investor ecosystem, with institutional shareholders owning 10.35%. This indicates a broader market participation and potential for increased trading liquidity.

Deciphering the Technical Picture of NASDAQ:MPWR

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

We assign a technical rating of 1 out of 10 to MPWR. MPWR has been an average performer in the overall market. Also recent evolutions are not that positive: both the medium and short term time frames give negative signs.

• MPWR is one of the better performing stocks in the Semiconductors & Semiconductor Equipment industry, it outperforms 82% of 108 stocks in the same industry.
• The long term trend is neutral, but the short term trend is negative. Better to stay away from this!
• Looking at the yearly performance, MPWR did better than 79% of all other stocks. However, this overall performance is mostly based on the strong move around 10 months ago.
• MPWR is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so MPWR is lagging the market slightly.

For an up to date full technical analysis you can check the technical report of MPWR

What is the full fundamental picture of NASDAQ:MPWR telling us.

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

Overall MPWR gets a fundamental rating of 8 out of 10. We evaluated MPWR against 108 industry peers in the Semiconductors & Semiconductor Equipment industry. MPWR gets an excellent profitability rating and is at the same time showing great financial health properties. MPWR shows excellent growth, but is valued quite expensive already. These ratings would make MPWR suitable for growth and quality investing!

Our latest full fundamental report of MPWR contains the most current fundamental analsysis.

Our CANSLIM screen will find you more ideas suited for growth investing.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.