MONOLITHIC POWER SYSTEMS INC (NASDAQ:MPWR) stands out as a compelling candidate for high growth momentum investors, combining strong earnings momentum with a favorable technical breakout pattern. The company, which designs power semiconductor solutions, has demonstrated consistent growth and profitability, while its stock chart suggests a potential entry point for traders.
Growth and Earnings Momentum
MPWR scores a 7 out of 10 on the High Growth Momentum Rating, reflecting strong fundamentals:
- EPS Growth (TTM): +32.5% year-over-year
- Revenue Growth (TTM): +30.6% year-over-year
- Recent Quarterly EPS Growth: +43.8% (latest quarter)
- Positive Earnings Surprises: Beat estimates in all of the last four quarters
- Analyst Revisions: Upward revisions for next-year EPS estimates
The company has also shown expanding profit margins, with the latest quarter reporting a 23.3% profit margin, up from previous periods.
Technical Strength and Setup
MPWR’s technical profile supports a bullish case:
- Technical Rating: 7/10 – The stock is in a positive short-term trend while the long-term trend remains neutral.
- Setup Rating: 7/10 – The stock is consolidating with reduced volatility, presenting a potential breakout opportunity.
- Support Levels: Key support near $700, providing a clear stop-loss zone.
- Resistance Levels: Immediate resistance around $715, with a breakout potentially leading to further upside.
The stock is outperforming 76% of semiconductor industry peers, reinforcing its relative strength.
For a deeper technical analysis, review the full technical report for MPWR.
Our High Growth Momentum Breakout Setups Screen lists more stocks with similar characteristics and is updated daily.
Disclaimer
This is not investment advice. The observations are based on data at the time of writing, and investors should conduct their own research before making decisions.
