Stifel analyst Tore Svanberg has revised the price target for Monolithic Power Systems (MPWR, Financial), scaling it down from $1,100 to $880. Despite this adjustment, the firm maintains a Buy rating for the stock. This decision comes amid concerns over the potential impacts of tariffs, which could affect the semiconductor sector as a whole.
As the first-quarter earnings season unfolds, the Analog, Connectivity, and Processors group is expected to report results that align with forecasts for the March quarter. However, the outlook for the June quarter appears less optimistic due to these tariff-related challenges.
The analyst points to the increased risk of a cyclical downturn in the semiconductor industry, driven by uncertainties surrounding the extent and duration of tariffs. This broader industry concern underpins the cautious stance taken in the revised outlook for Monolithic Power.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 13 analysts, the average target price for Monolithic Power Systems Inc (MPWR, Financial) is $767.18 with a high estimate of $925.00 and a low estimate of $600.00. The average target implies an upside of 46.17% from the current price of $524.86. More detailed estimate data can be found on the Monolithic Power Systems Inc (MPWR) Forecast page.
Based on the consensus recommendation from 18 brokerage firms, Monolithic Power Systems Inc's (MPWR, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Monolithic Power Systems Inc (MPWR, Financial) in one year is $849.42, suggesting a upside of 61.84% from the current price of $524.86. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Monolithic Power Systems Inc (MPWR) Summary page.
