Monolithic Power Systems (NASDAQ:MPWR) Releases Earnings Results, Beats Estimates By $0.63 EPS

Posted by Brian Himes on Jul 31st, 2026

Monolithic Power Systems (NASDAQ:MPWR – Get Free Report) released its quarterly earnings results on Thursday. The semiconductor company reported $6.50 earnings per share for the quarter, beating analysts’ consensus estimates of $5.87 by $0.63, FiscalAI reports. Monolithic Power Systems had a net margin of 22.84% and a return on equity of 19.58%. The business had revenue of $980.64 million for the quarter, compared to the consensus estimate of $903.30 million. During the same quarter last year, the firm earned $4.21 EPS. Monolithic Power Systems’s revenue for the quarter was up 47.6% on a year-over-year basis.

Here are the key takeaways from Monolithic Power Systems’ conference call:

Record Q2 revenue reached $981 million, up 22% sequentially and 48% year over year, with growth across all markets and particularly strong performance in enterprise data and communications.
Enterprise data revenue rose 45% sequentially, prompting management to raise its full-year growth floor for the segment from 85% to 130%; executives cited low channel inventories, strong bookings, new customers, platform refreshes and rising module content.
Communications revenue increased 80% sequentially, driven by optical-module power solutions and expanding power products for switches, TPUs and NIC cards. Management also sees continued adoption of 48-volt vertical power modules and further share-gain opportunities.
MPS is broadening its addressable market with initial DDR5 high-speed memory-controller orders, sampling 800-volt data-center AC-to-DC solutions using its silicon-carbide technology, and expanding automotive design wins; the board also authorized an additional $500 million in stock repurchases.
Management remains cautious about consumer markets and notebook-related storage and compute in the second half, while industrial growth is expected to be modest and primarily design-win driven. The company said 2027 growth remains structurally attractive but is too early to quantify, and new opportunities such as RCDs, building automation and robotics are not expected to materially affect 2026 revenue.

Monolithic Power Systems Stock Performance

Shares of NASDAQ:MPWR traded up $106.03 during trading on Friday, hitting $1,422.21. 733,714 shares of the stock were exchanged, compared to its average volume of 738,286. The company has a market capitalization of $69.87 billion, a price-to-earnings ratio of 102.47 and a beta of 1.71. Monolithic Power Systems has a 1-year low of $706.00 and a 1-year high of $1,714.09. The company’s fifty day simple moving average is $1,443.86 and its 200-day simple moving average is $1,313.49.

Monolithic Power Systems Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 30th were issued a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a dividend yield of 0.6%. The ex-dividend date of this dividend was Tuesday, June 30th. Monolithic Power Systems’s dividend payout ratio (DPR) is presently 57.68%.

Key Stories Impacting Monolithic Power Systems

Here are the key news stories impacting Monolithic Power Systems this week:

Positive Sentiment: Q2 results substantially exceeded expectations: MPS reported adjusted earnings of $6.50 per share versus the $5.87 consensus estimate, while revenue reached $980.64 million against expectations of $903.30 million. Revenue increased 47.6% year over year, and earnings rose from $4.21 per share in the prior-year quarter. Monolithic Power Systems Q2 Earnings Report
Positive Sentiment: AI and data-center demand are accelerating: Enterprise Data revenue surged 164.3%, with management highlighting expanding AI infrastructure demand, broader power-management solutions and additional capacity investments. These trends support continued growth in one of the company’s highest-priority markets. MPWR Q2 Earnings Call Highlights AI Data Center Expansion
Positive Sentiment: Third-quarter outlook was well above consensus: MPS projected Q3 revenue of approximately $1.14 billion to $1.16 billion, compared with analyst expectations near $980 million. The stronger guidance reinforces expectations that AI-related demand will continue supporting sales momentum. Monolithic Power Beats Q2 Earnings Estimates
Positive Sentiment: Analysts raised their targets: KeyCorp increased its target to $2,100 from $2,000 and maintained an overweight rating. Truist lifted its target to $1,889 from $1,805 with a buy rating, while Wells Fargo raised its target to $1,800 from $1,700 and assigned an overweight rating. Monolithic Power Systems Analysts Increase Their Forecasts
Neutral Sentiment: Rosenblatt reaffirmed a neutral rating with a $1,575 price target, indicating that some analysts view much of the strong execution and AI opportunity as already reflected in the valuation. Commentary also noted that the stock has made a substantial prior run and may be fully priced. Monolithic Power Systems Stock Looks Fully Priced

Insider Transactions at Monolithic Power Systems

In other Monolithic Power Systems news, Director Jeff Zhou sold 1,014 shares of Monolithic Power Systems stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $1,587.06, for a total transaction of $1,609,278.84. Following the sale, the director owned 4,786 shares in the company, valued at $7,595,669.16. The trade was a 17.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Deming Xiao sold 30,000 shares of the business’s stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $1,654.55, for a total transaction of $49,636,500.00. Following the completion of the sale, the executive vice president directly owned 205,959 shares in the company, valued at $340,769,463.45. This trade represents a 12.71% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 69,370 shares of company stock valued at $112,702,503 over the last 90 days. Corporate insiders own 3.60% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in MPWR. Brighton Jones LLC boosted its stake in Monolithic Power Systems by 46.0% in the 4th quarter. Brighton Jones LLC now owns 635 shares of the semiconductor company’s stock valued at $376,000 after buying an additional 200 shares in the last quarter. Empowered Funds LLC raised its stake in Monolithic Power Systems by 3.1% during the first quarter. Empowered Funds LLC now owns 5,325 shares of the semiconductor company’s stock worth $3,088,000 after acquiring an additional 161 shares in the last quarter. NewEdge Advisors LLC lifted its holdings in shares of Monolithic Power Systems by 3.5% during the second quarter. NewEdge Advisors LLC now owns 9,383 shares of the semiconductor company’s stock valued at $6,863,000 after acquiring an additional 314 shares during the period. Treasurer of the State of North Carolina lifted its holdings in shares of Monolithic Power Systems by 35.2% during the second quarter. Treasurer of the State of North Carolina now owns 35,789 shares of the semiconductor company’s stock valued at $26,175,000 after acquiring an additional 9,315 shares during the period. Finally, Globeflex Capital L P bought a new position in shares of Monolithic Power Systems during the second quarter valued at $347,000. Institutional investors own 93.46% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Raymond James Financial reissued an “outperform” rating and set a $1,800.00 target price on shares of Monolithic Power Systems in a research report on Friday, May 1st. Oppenheimer set a $1,700.00 price target on Monolithic Power Systems in a research note on Friday, May 1st. Zacks Research raised Monolithic Power Systems from a “hold” rating to a “strong-buy” rating in a research note on Thursday, June 18th. Wells Fargo & Company boosted their target price on Monolithic Power Systems from $1,700.00 to $1,800.00 and gave the stock an “overweight” rating in a report on Friday. Finally, Needham & Company LLC increased their price target on Monolithic Power Systems from $1,750.00 to $2,000.00 and gave the company a “buy” rating in a report on Friday. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $1,705.82.

Check Out Our Latest Analysis on Monolithic Power Systems

About Monolithic Power Systems

(Get Free Report)

Monolithic Power Systems (NASDAQ: MPWR) is a fabless semiconductor company that designs and supplies high-performance power management solutions for a broad range of electronic systems. Founded in 1997 and headquartered in Kirkland, Washington, the company focuses on analog and mixed-signal integrated circuits that convert, regulate and monitor electrical power with an emphasis on efficiency, integration and power density.

MPS’s product portfolio includes DC‑DC switching regulators, power modules, power management ICs (PMICs), LED drivers, battery-management ICs, motor drivers, and AC‑DC power solutions.