Monolithic Power Systems, Inc. (MPWR), headquartered in Kirkland, Washington, designs, develops, markets, and sells semiconductor-based power electronics solutions for the storage and computing, automotive, enterprise data, consumer, communications, and industrial markets. With a market cap of $31.7 billion, the company offers power management IC, isolated gate drivers, power modules, battery and chargers, load switches, inductors, analog input devices, sensors, motor drivers and controllers, and electronic components. 

Shares of this analog and mixed-signal chipmaker have underperformed the broader market over the past year. MPWR has declined 11.3% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 10.2%. However, in 2025, MPWR’s stock rose 11.9%, surpassing the SPX’s 1.3% dip on a YTD basis. 

Narrowing the focus, MPWR’s underperformance is also apparent compared to the SPDR S&P Semiconductor ETF (XSD). The exchange-traded fund has declined about 7.2% over the past year. However, MPWR’s returns on a YTD basis outshine the ETF’s 10.2% losses over the same time frame.

On May 1, MPWR shares closed up more than 1% after reporting its Q1 results. Its adjusted EPS of $4.04 surpassed Wall Street expectations of $4. The company’s revenue was $637.6 million, topping Wall Street forecasts of $635.1 million. For Q2, MPWR expects revenue in the range of $640 million to $660 million.

For the current fiscal year, ending in December, analysts expect MPWR’s EPS to grow 21.5% to $12.98 on a diluted basis. The company’s earnings surprise history is disappointing. It missed the consensus estimate in three of the last four quarters while beating the forecast on another occasion. 

Among the 14 analysts covering MPWR stock, the consensus is a “Strong Buy.” That’s based on nine “Strong Buy” ratings, two “Moderate Buys,” and three “Holds.”

The configuration is consistent over the past three months. 

On May 2,Raymond James Financial, Inc. (RJF) kept an “Outperform” rating on MPWR and lowered the price target to $720, implying a potential upside of 8.7% from current levels.

The mean price target of $752.33 represents a 13.6% premium to MPWR’s current price levels. The Street-high price target of $899 suggests a notable upside potential of 35.8%.