Monolithic Power Rises In Pre-Market On 3Q Sales Outlook

Shares of Monolithic Power are gaining almost 2% in Tuesday’s pre-market session after the company raised its 3Q revenue guidance range. The designer and developer of high-performance power solutions now projects 3Q sales between $257 million and $259 million, up from its previous guidance range of $200-$210 million.

Monolithic Power (MPWR) said that its overall business grew stronger than anticipated. The company pointed out two key reasons for the upbeat sales outlook – better fulfillment of customers’ demand and timing shift of China-based consumers’ shipments into 3Q.

Additionally, Monolithic Power said that it is taking measures to “secure resources and accelerate previously announced plans to expand fab capacity outside of China.” (See MPWR stock analysis on TipRanks).

On Sept. 14, Oppenheimer analyst Rick Schafer assigned a Buy rating on the stock and set a price target of $285 (15.1% upside potential). In a note to investors, Schafer said, “we believe bookings remain robust looking into 4Q and, while early, see the potential for upside to consensus 4Q sales of $196M. We believe incremental demand into 4Q is broad-based across verticals.”

Currently, the Street has a bullish outlook on the stock, with a Strong Buy analyst consensus. With shares already up over 39% year-to-date, the average analyst price target of $285.25 implies upside potential of another 15.2% from current levels.

Related News:
NextEra Soars 6% After-Hours On Guidance Boost, Stock-Split
Verizon To Buy America Movil’s TracFone In $6.25B Deal
Lennar’s 3Q Profit Jumps 33% On Robust Housing Demand

Stay Ahead of Everyone Else

Get The Latest Stock News Alerts