Monolithic Power Systems Inc

Technology
Semiconductors
www.monolithicpower.com

Earnings Score
Moat Score

Market Cap $28.70B
PE 66
Debt $NaN
Cash $700.48M
EV $NaN
FCF $678.92M

Earnings

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Sales & Net Margins

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Earnings	$434.24M
EBIT	$522.93M
ROE	18%
ROA	18%
FCF	$678.92M
Equity	$2.35B
Growth Stability	100%
PE	66.1
PEG	1.7
PB	12.21
P/FCF	42.28
P/S	14.07
Price/Cash	0.02
Net Margins	21%
Gross Margins	55%
Op. Margins	26%
Earnings CAGR	37%
Sales Growth YoY	31%
Sales Growth QoQ	22%
Sales CAGR	25%
FCF CAGR	30%
Equity CAGR	22%
Earnings Stability	0.9
Earnings Growth YoY	19%
Earnings Growth QoQ	44%

Earnings CAGR 5Y	39%
Sales CAGR 5Y	30%
FCF CAGR 5Y	33%
Equity CAGR 5Y	28%
Earnings CAGR 3Y	16%
Sales CAGR 3Y	16%
FCF CAGR 3Y	63%
Equity CAGR 3Y	26%
Market Cap	$28.70B
Revenue	$2.04B
Dividend Yield	1%
Payout Ratio	53%
Assets	$2.85B
Cash	$700.48M
Shares Outstanding	48.68M
Earnings Score	95%
Moat Score	96%
Working Capital	1.82B
Current Ratio	6.42
Gross Profit	$1.13B
Shares Growth 3y	2%
Equity Growth QoQ	7%
Equity Growth YoY	21%

Assets & ROA

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Stockholders Equity & ROE

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Monolithic Power Systems is an analog and mixed-signal chipmaker, specializing in power management solutions. The firm's mission is to reduce total energy consumption in end systems, and it serves the computing, automotive, industrial, communications, and consumer end markets. Monolithic Power uses a fabless manufacturing model, partnering with third-party chip foundries to host its proprietary BCD process technology.

SEC Filings

Direct access to Monolithic Power Systems Inc (MPWR) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2023
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2022
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31

Sector Comparison

How does Monolithic Power Systems Inc compare to its competitors?

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Peter Lynch's Chart

This chart shows the current pricing of Monolithic Power Systems Inc compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR 37%

Stability 90%

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Monolithic Power Systems Inc Discounted Cash Flow

Fully customizable DCF calculator online for Monolithic Power Systems Inc.

Years

Calculation mode

= $56B

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$679M	$885M	$1.2B	$1.5B	$2B	$2.6B	$3.3B	$4.3B	$5.7B	$7.4B	$9.6B	$96B
DCF		$804M	$953M	$1.1B	$1.3B	$1.6B	$1.9B	$2.2B	$2.6B	$3.1B	$3.7B	$37B
Value	$56B

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Net Margins	13%	11%	14%	14%	18%	17%	19%	20%	24%	23%	21%
ROA	-	10%	11%	13%	15%	12%	14%	17%	26%	21%	18%
ROE	-	10%	12%	12%	16%	14%	17%	19%	26%	21%	18%

Good Net Margins (21.28%)

Net Margins are high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Safety and Stability

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Debt over FCF	-	-	-	-	-	-	-	-	-	-	-
Debt over Equity	-	-	-	-	-	-	-	-	-	-	-
Growth Stability	-	-	-	100%	100%	100%	100%	100%	100%	100%	100%

Neutral Debt/FCF ratio (-)

Net Margins are at a level that is not too high nor too low. They are not a competitive advantage but they are not a competitive disadvantage either.

Neutral Debt/Equity ratio (-)

The company has a balance between equity and debt that is not too good nor too bad.

Good Graham’s Stability (100%)

The company has a good stability in its earnings, which is a sign of a good competitive advantage.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	CAGR 5Y
Revenue YoY growth	-	18%	17%	21%	24%	8%	34%	43%	49%	2%	30%
Earnings YoY growth	-	-1%	50%	24%	61%	3%	51%	47%	81%	-2%	39%
Equity YoY growth	-	6%	17%	21%	23%	21%	25%	29%	34%	23%	28%
FCF YoY growth	-	-17%	32%	-4%	75%	1%	76%	6%	-17%	209%	33%