MONOLITHIC POWER SYSTEMS INC (MPWR) Stock Fundamental Analysis
USA - NASDAQ:MPWR - US6098391054 - Common Stock
958.26 USD
+0.19 (+0.02%)
958.28 USD
0.02 (0%)
Taking everything into account, MPWR scores 8 out of 10 in our fundamental rating. MPWR was compared to 112 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 is valued quite expensive, but it does show an excellent growth. With these ratings, MPWR could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
MPWR had positive earnings in the past year.
MPWR had a positive operating cash flow in the past year.
Each year in the past 5 years MPWR has been profitable.
Each year in the past 5 years MPWR had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MPWR (46.86%) is better than 98.21% of its industry peers.
The Return On Equity of MPWR (54.71%) is better than 95.54% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.56%, MPWR belongs to the top of the industry, outperforming 89.29% of the companies in the same industry.
MPWR had an Average Return On Invested Capital over the past 3 years of 19.13%. This is significantly above the industry average of 11.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 46.86% | ||
| ROE | 54.71% | ||
| ROIC | 15.56% |
ROA(3y)29.4%
ROA(5y)23.42%
ROE(3y)34.63%
ROE(5y)28.07%
ROIC(3y)19.13%
ROIC(5y)17.47%
1.3 Margins
MPWR has a better Profit Margin (73.17%) than 99.11% of its industry peers.
MPWR's Profit Margin has improved in the last couple of years.
MPWR's Operating Margin of 25.98% is amongst the best of the industry. MPWR outperforms 84.82% of its industry peers.
MPWR's Operating Margin has improved in the last couple of years.
The Gross Margin of MPWR (55.31%) is better than 76.79% of its industry peers.
In the last couple of years the Gross Margin of MPWR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.98% | ||
| PM (TTM) | 73.17% | ||
| GM | 55.31% |
OM growth 3Y3.22%
OM growth 5Y7.88%
PM growth 3Y59.27%
PM growth 5Y36.11%
GM growth 3Y-0.85%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
MPWR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for MPWR has been reduced compared to 1 year ago.
MPWR has more shares outstanding than it did 5 years ago.
MPWR has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 50.87 indicates that MPWR is not in any danger for bankruptcy at the moment.
The Altman-Z score of MPWR (50.87) is better than 94.64% of its industry peers.
There is no outstanding debt for MPWR. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 50.87 |
ROIC/WACC1.32
WACC11.79%
2.3 Liquidity
MPWR has a Current Ratio of 5.00. This indicates that MPWR is financially healthy and has no problem in meeting its short term obligations.
MPWR's Current ratio of 5.00 is fine compared to the rest of the industry. MPWR outperforms 72.32% of its industry peers.
A Quick Ratio of 3.72 indicates that MPWR has no problem at all paying its short term obligations.
The Quick ratio of MPWR (3.72) is better than 72.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5 | ||
| Quick Ratio | 3.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 32.12% over the past year.
MPWR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 29.50% yearly.
The Revenue has grown by 30.48% in the past year. This is a very strong growth!
Measured over the past years, MPWR shows a very strong growth in Revenue. The Revenue has been growing by 28.58% on average per year.
EPS 1Y (TTM)32.12%
EPS 3Y23.78%
EPS 5Y29.5%
EPS Q2Q%16.5%
Revenue 1Y (TTM)30.48%
Revenue growth 3Y22.26%
Revenue growth 5Y28.58%
Sales Q2Q%18.88%
3.2 Future
Based on estimates for the next years, MPWR will show a very strong growth in Earnings Per Share. The EPS will grow by 20.01% on average per year.
MPWR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.53% yearly.
EPS Next Y27.7%
EPS Next 2Y22.28%
EPS Next 3Y20.95%
EPS Next 5Y20.01%
Revenue Next Year26.54%
Revenue Next 2Y21.58%
Revenue Next 3Y19.5%
Revenue Next 5Y18.53%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 56.14, which means the current valuation is very expensive for MPWR.
MPWR's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of MPWR to the average of the S&P500 Index (26.06), we can say MPWR is valued expensively.
MPWR is valuated quite expensively with a Price/Forward Earnings ratio of 45.36.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MPWR is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of MPWR to the average of the S&P500 Index (32.73), we can say MPWR is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.14 | ||
| Fwd PE | 45.36 |
4.2 Price Multiples
MPWR's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MPWR indicates a somewhat cheap valuation: MPWR is cheaper than 60.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 65.16 | ||
| EV/EBITDA | 62.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MPWR does not grow enough to justify the current Price/Earnings ratio.
MPWR has an outstanding profitability rating, which may justify a higher PE ratio.
MPWR's earnings are expected to grow with 20.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.03
PEG (5Y)1.9
EPS Next 2Y22.28%
EPS Next 3Y20.95%
5. Dividend
5.1 Amount
MPWR has a yearly dividend return of 0.65%, which is pretty low.
MPWR's Dividend Yield is a higher than the industry average which is at 2.14.
With a Dividend Yield of 0.65, MPWR pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
5.2 History
On average, the dividend of MPWR grows each year by 26.28%, which is quite nice.
MPWR has been paying a dividend for at least 10 years, so it has a reliable track record.
MPWR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)26.28%
Div Incr Years7
Div Non Decr Years10
5.3 Sustainability
MPWR pays out 13.87% of its income as dividend. This is a sustainable payout ratio.
MPWR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP13.87%
EPS Next 2Y22.28%
EPS Next 3Y20.95%
958.26
+0.19 (+0.02%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners101.47%
Inst Owner Change0.15%
Ins Owners3.03%
Ins Owner Change17.4%
Market Cap45.89B
Revenue(TTM)2.66B
Net Income(TTM)1.86B
Analysts82.4
Price Target1042.16 (8.76%)
Short Float %4.06%
Short Ratio3.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend5.02
Dividend Growth(5Y)26.28%
DP13.87%
Div Incr Years7
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.51%
Min EPS beat(2)-1.34%
Max EPS beat(2)0.31%
EPS beat(4)3
Avg EPS beat(4)0.02%
Min EPS beat(4)-1.34%
Max EPS beat(4)0.84%
EPS beat(8)5
Avg EPS beat(8)0.31%
EPS beat(12)5
Avg EPS beat(12)-0.14%
EPS beat(16)9
Avg EPS beat(16)1.55%
Revenue beat(2)1
Avg Revenue beat(2)-0.67%
Min Revenue beat(2)-1.46%
Max Revenue beat(2)0.12%
Revenue beat(4)3
Avg Revenue beat(4)0.03%
Min Revenue beat(4)-1.46%
Max Revenue beat(4)1.22%
Revenue beat(8)5
Avg Revenue beat(8)-0.16%
Revenue beat(12)5
Avg Revenue beat(12)-0.65%
Revenue beat(16)9
Avg Revenue beat(16)0.18%
PT rev (1m)21.03%
PT rev (3m)21.84%
EPS NQ rev (1m)0.67%
EPS NQ rev (3m)6.87%
EPS NY rev (1m)1.29%
EPS NY rev (3m)4.27%
Revenue NQ rev (1m)0.24%
Revenue NQ rev (3m)6.52%
Revenue NY rev (1m)0.96%
Revenue NY rev (3m)4.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.14 | ||
| Fwd PE | 45.36 | ||
| P/S | 18.04 | ||
| P/FCF | 65.16 | ||
| P/OCF | 51.37 | ||
| P/B | 13.49 | ||
| P/tB | 13.63 | ||
| EV/EBITDA | 62.97 |
EPS(TTM)17.07
EY1.78%
EPS(NY)21.13
Fwd EY2.2%
FCF(TTM)14.71
FCFY1.53%
OCF(TTM)18.66
OCFY1.95%
SpS53.12
BVpS71.04
TBVpS70.3
PEG (NY)2.03
PEG (5Y)1.9
Graham Number165.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 46.86% | ||
| ROE | 54.71% | ||
| ROCE | 18.41% | ||
| ROIC | 15.56% | ||
| ROICexc | 22.86% | ||
| ROICexgc | 23.19% | ||
| OM | 25.98% | ||
| PM (TTM) | 73.17% | ||
| GM | 55.31% | ||
| FCFM | 27.69% |
ROA(3y)29.4%
ROA(5y)23.42%
ROE(3y)34.63%
ROE(5y)28.07%
ROIC(3y)19.13%
ROIC(5y)17.47%
ROICexc(3y)29.57%
ROICexc(5y)30.94%
ROICexgc(3y)29.79%
ROICexgc(5y)31.24%
ROCE(3y)22.64%
ROCE(5y)20.68%
ROICexgc growth 3Y-19.58%
ROICexgc growth 5Y-3.44%
ROICexc growth 3Y-19.69%
ROICexc growth 5Y-3.4%
OM growth 3Y3.22%
OM growth 5Y7.88%
PM growth 3Y59.27%
PM growth 5Y36.11%
GM growth 3Y-0.85%
GM growth 5Y0.06%
F-Score6
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 429.23% | ||
| Cap/Sales | 7.43% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 126.74% | ||
| Profit Quality | 37.84% | ||
| Current Ratio | 5 | ||
| Quick Ratio | 3.72 | ||
| Altman-Z | 50.87 |
F-Score6
WACC11.79%
ROIC/WACC1.32
Cap/Depr(3y)281.39%
Cap/Depr(5y)293.09%
Cap/Sales(3y)5.13%
Cap/Sales(5y)5.97%
Profit Quality(3y)70.62%
Profit Quality(5y)86.77%
High Growth Momentum
Growth
EPS 1Y (TTM)32.12%
EPS 3Y23.78%
EPS 5Y29.5%
EPS Q2Q%16.5%
EPS Next Y27.7%
EPS Next 2Y22.28%
EPS Next 3Y20.95%
EPS Next 5Y20.01%
Revenue 1Y (TTM)30.48%
Revenue growth 3Y22.26%
Revenue growth 5Y28.58%
Sales Q2Q%18.88%
Revenue Next Year26.54%
Revenue Next 2Y21.58%
Revenue Next 3Y19.5%
Revenue Next 5Y18.53%
EBIT growth 1Y44.42%
EBIT growth 3Y26.19%
EBIT growth 5Y38.71%
EBIT Next Year36.95%
EBIT Next 3Y21.36%
EBIT Next 5Y23.09%
FCF growth 1Y130.01%
FCF growth 3Y38%
FCF growth 5Y37.66%
OCF growth 1Y160.47%
OCF growth 3Y35.06%
OCF growth 5Y29.52%
MONOLITHIC POWER SYSTEMS INC / MPWR FAQ
Can you provide the ChartMill fundamental rating for MONOLITHIC POWER SYSTEMS INC?
ChartMill assigns a fundamental rating of 8 / 10 to MPWR.
What is the valuation status of MONOLITHIC POWER SYSTEMS INC (MPWR) stock?
ChartMill assigns a valuation rating of 3 / 10 to MONOLITHIC POWER SYSTEMS INC (MPWR). This can be considered as Overvalued.
How profitable is MONOLITHIC POWER SYSTEMS INC (MPWR) stock?
MONOLITHIC POWER SYSTEMS INC (MPWR) has a profitability rating of 9 / 10.
What is the valuation of MONOLITHIC POWER SYSTEMS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MONOLITHIC POWER SYSTEMS INC (MPWR) is 56.14 and the Price/Book (PB) ratio is 13.49.
Is the dividend of MONOLITHIC POWER SYSTEMS INC sustainable?
The dividend rating of MONOLITHIC POWER SYSTEMS INC (MPWR) is 6 / 10 and the dividend payout ratio is 13.87%.