Stock analysis · Bull Rankings model

MPWR analysis

Monolithic Power Systems, Inc.Semiconductors. Scored on the same transparent model behind the daily rankings.

Semiconductors
MPWR
Monolithic Power Systems, Inc. · Semiconductors
FCF$583mC+
Rev+28.7%A-
D/E
P/E84.2xC
PEG1.35B
62.1Score
$1,381.10$67.9B
1Y Target$1,830Analyst consensus · 13 analysts
5Y Target$2,679Compound horizon
10Y Target$3,974Long-dated conviction
FCF$583mTTM
C+
FCF $583m — respectable but not differentiating
Rev+28.7%TTM YoY
A-
Revenue +28.7% — strong growth, well above S&P median (~7%)
D/E
D/E data unavailable — neutral default
P/E84.2x
C
P/E 84.2 — expensive vs Technology peers (≈90th pctile)
PEG1.35
B
PEG 1.35 — acceptable premium for growth

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Quality-growth score · 62.1
Quality0.82
Growth1.00
Value0.29
Why this score
  • Raising its dividend
  • Durable high returns
  • Diluting shareholders
Entry · Margin of safety
52-week rangeMid-range
19% off the 12-month high
vs DCF fair value674% aboveest. fair value ~$178
What the price assumes: free cash flow compounding above 60% a year for the next decade — vs the ~25% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability39% · B+gross profit ÷ total assets (Novy-Marx)
ROIC19.1% · A-return on invested capital — not score-weighted

Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.

Why now
Semiconductors · market cap $67.9b. 19% off the 52-week high of $1714.09. Revenue growing +29% — in hypergrowth territory. 13 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $1,830 (implying +32% upside).
Moat
Net margin 25% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 21% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. $67.9b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Trailing P/E 84.2x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. Beta 1.69 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. P/S 20.7x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard.
Horizon
1-3 yr $1,830 (13-analyst consensus) — fundamentals + valuation re-rating. 5 yr $2,679 at ~14% CAGR — compounding case rests on the competitive position widening. 10 yr $3,974 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

MPWR vs the Top Picks average

PillarMPWRBook avgDiff
Quality0.820.83in line
Growth1.000.92+0.08
Value0.290.75-0.45

Averaged across the 30 names in today's Top Picks (mean score 82.4). A name can beat these averages and still be absent from the book — it also applies concentration limits.

Trend
+13.0 over 37 daily scores
From 49.1 (Jun 22) → 62.1 (now)

One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.

Shares to buy
1
Position size
$1,381
2.8% of portfolio
Stop price
$1,036
25% below $1,381
$ at risk if stopped
$345.27
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Monolithic Power Systems, Inc. (MPWR): score, valuation & FAQ

Monolithic Power Systems, Inc. (MPWR) is a Semiconductors company that scores 62.1 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

Its strongest graded signals are Rev (A-). On valuation, MPWR sits about 674% above our discounted-cash-flow fair value — the current price implies free-cash-flow growth above 60% a year for the next decade.

Is MPWR a good stock to buy?

Bull Rankings scores MPWR 62.1 out of 100 on its quality-growth model, which is a middling reading. That is driven by Rev (A-). A score is a quantitative screen of Monolithic Power Systems, Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does MPWR score 62.1 on Bull Rankings?

The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). MPWR earns its highest marks on Rev (A-). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.

Is MPWR overvalued or undervalued?

Based on $1381.10, MPWR sits about 674% above our discounted-cash-flow fair value — the current price implies free-cash-flow growth above 60% a year for the next decade. It trades at a 84.2x× P/E (graded C). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in MPWR?

Trailing P/E 84.2x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. Beta 1.69 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. P/S 20.7x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.

More Semiconductors stocks by score

All Technology rankings →

Analyze another ticker →