Monolithic Power Systems, Inc. (NASDAQ:MPWR) Raises Dividend to $1.56 Per Share

Monolithic Power Systems, Inc. (NASDAQ:MPWR) declared a quarterly dividend on Friday, February 7th,Wall Street Journal reports. Stockholders of record on Monday, March 31st will be paid a dividend of 1.56 per share by the semiconductor company on Tuesday, April 15th. This represents a $6.24 dividend on an annualized basis and a dividend yield of 0.87%. The ex-dividend date is Monday, March 31st. This is an increase from Monolithic Power Systems’s previous quarterly dividend of $1.25.

Monolithic Power Systems has increased its dividend payment by an average of 27.7% annually over the last three years. Monolithic Power Systems has a dividend payout ratio of 24.7% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Monolithic Power Systems to earn $13.00 per share next year, which means the company should continue to be able to cover its $5.00 annual dividend with an expected future payout ratio of 38.5%.

Monolithic Power Systems Price Performance

Shares of NASDAQ MPWR traded up $58.88 during trading hours on Friday, reaching $719.78. The stock had a trading volume of 2,051,482 shares, compared to its average volume of 929,948. The business’s fifty day moving average is $615.56 and its two-hundred day moving average is $755.86. The company has a market cap of $35.11 billion, a price-to-earnings ratio of 80.78, a PEG ratio of 2.44 and a beta of 1.03. Monolithic Power Systems has a twelve month low of $546.71 and a twelve month high of $959.64.

Monolithic Power Systems (NASDAQ:MPWR) last issued its earnings results on Thursday, February 6th. The semiconductor company reported $3.17 EPS for the quarter, missing analysts’ consensus estimates of $4.01 by ($0.84). Monolithic Power Systems had a net margin of 21.29% and a return on equity of 20.44%. Sell-side analysts forecast that Monolithic Power Systems will post 10.46 earnings per share for the current fiscal year.

Analyst Ratings Changes

MPWR has been the subject of a number of recent research reports. Rosenblatt Securities restated a “neutral” rating and issued a $880.00 target price on shares of Monolithic Power Systems in a research note on Thursday. TD Cowen cut their target price on Monolithic Power Systems from $1,100.00 to $975.00 and set a “buy” rating for the company in a research note on Thursday, October 31st. Citigroup assumed coverage on Monolithic Power Systems in a research note on Wednesday, December 11th. They set a “buy” rating and a $700.00 price objective for the company. KeyCorp increased their price objective on Monolithic Power Systems from $700.00 to $850.00 and gave the stock an “overweight” rating in a research note on Friday. Finally, Needham & Company LLC increased their price objective on Monolithic Power Systems from $600.00 to $800.00 and gave the stock a “buy” rating in a research note on Friday. Two analysts have rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $857.83.

Insider Transactions at Monolithic Power Systems

In related news, CFO Theodore Blegen sold 2,500 shares of the firm’s stock in a transaction dated Monday, December 9th. The stock was sold at an average price of $600.00, for a total value of $1,500,000.00. Following the transaction, the chief financial officer now owns 53,444 shares in the company, valued at $32,066,400. This trade represents a 4.47 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 3.70% of the company’s stock.

Monolithic Power Systems Company Profile

Monolithic Power Systems, Inc engages in the design, development, marketing, and sale of semiconductor-based power electronics solutions for the storage and computing, automotive, enterprise data, consumer, communications, and industrial markets. The company provides direct current (DC) to DC integrated circuits (ICs) that are used to convert and control voltages of various electronic systems, such as cloud-based CPU servers, server artificial intelligence applications, storage applications, commercial notebooks, digital cockpit, power sources, home appliances, 4G and 5G infrastructure, and satellite communications applications.