Monolithic Power Systems, Inc. (NASDAQ:MPWR) Plans Dividend Increase – $1.56 Per Share

Monolithic Power Systems, Inc. (NASDAQ:MPWR) declared a quarterly dividend on Friday, February 7th,Wall Street Journal reports. Shareholders 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 yield of 0.87%. The ex-dividend date of this dividend is Monday, March 31st. This is a boost from Monolithic Power Systems’s previous quarterly dividend of $1.25.

Monolithic Power Systems has increased its dividend by an average of 27.7% per year over the last three years. Monolithic Power Systems has a dividend payout ratio of 24.7% indicating that its dividend is sufficiently covered by earnings. 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 Stock Performance

MPWR traded up $58.88 during midday trading on Friday, reaching $719.78. 2,051,482 shares of the company were exchanged, compared to its average volume of 929,948. Monolithic Power Systems has a one year low of $546.71 and a one year high of $959.64. The stock has a market capitalization of $35.11 billion, a P/E ratio of 80.78, a PEG ratio of 2.44 and a beta of 1.03. The stock’s 50-day simple moving average is $615.56 and its 200 day simple moving average is $755.86.

Monolithic Power Systems (NASDAQ:MPWR) last released its quarterly 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 return on equity of 20.44% and a net margin of 21.29%. On average, research analysts anticipate that Monolithic Power Systems will post 10.46 earnings per share for the current year.

Insider Buying and Selling at Monolithic Power Systems

In other Monolithic Power Systems news, CFO Theodore Blegen sold 2,500 shares of the firm’s stock in a transaction that occurred on 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 completion of the transaction, the chief financial officer now directly 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 document filed with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 3.70% of the company’s stock.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the company. Oppenheimer dropped their price target on Monolithic Power Systems from $900.00 to $800.00 and set an “outperform” rating on the stock in a research report on Friday, January 31st. Loop Capital raised Monolithic Power Systems from a “hold” rating to a “buy” rating and set a $660.00 price target on the stock in a research report on Monday, November 18th. KeyCorp raised their price target on Monolithic Power Systems from $700.00 to $850.00 and gave the stock an “overweight” rating in a research report on Friday. Rosenblatt Securities reissued a “neutral” rating and issued a $880.00 target price on shares of Monolithic Power Systems in a research report on Thursday. Finally, Citigroup initiated coverage on Monolithic Power Systems in a research report on Wednesday, December 11th. They issued a “buy” rating and a $700.00 target price on the stock. Two equities research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $857.83.

About Monolithic Power Systems

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.