Power Integrations Valuation

POWI Stock  USD 47.08  1.51  3.31%   
At this time, the company appears to be undervalued. Power Integrations holds a recent Real Value of $51.06 per share. The prevailing price of the company is $47.08. Our model determines the value of Power Integrations from analyzing the company fundamentals such as Shares Outstanding of 55.5 M, operating margin of 0.19 %, and Return On Equity of 0.0311 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Power Integrations' valuation include:
Price Book
3.1029
Enterprise Value
1.9 B
Enterprise Value Ebitda
36.7237
Price Sales
5.6955
Forward PE
22.1239
Undervalued
Today
47.08
Please note that Power Integrations' price fluctuation is very steady at this time. Calculation of the real value of Power Integrations is based on 3 months time horizon. Increasing Power Integrations' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Power Integrations is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Power Stock. However, Power Integrations' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  47.08 Real  51.06 Target  51.0 Hype  46.42 Naive  45.62
The intrinsic value of Power Integrations' stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Power Integrations' stock price.
51.06
Real Value
53.36
Upside
Estimating the potential upside or downside of Power Integrations helps investors to forecast how Power stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Power Integrations more accurately as focusing exclusively on Power Integrations' fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
0.280.300.33
Details
Hype
Prediction
LowEstimatedHigh
44.1246.4248.72
Details
Potential
Annual Dividend
LowForecastedHigh
0.730.760.79
Details
5 Analysts
Consensus
LowTarget PriceHigh
46.4151.0056.61
Details
When choosing an evaluation method for Power Integrations, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using all methods to arrive at a better estimate.

Power Integrations Cash

106.14 Million

Power Integrations Total Value Analysis

Power Integrations is at this time anticipated to have valuation of 1.92 B with market capitalization of 2.53 B, debt of 99.36 M, and cash on hands of 327.59 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Power Integrations fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
1.92 B
2.53 B
99.36 M
327.59 M

Power Integrations Investor Information

About 98.0% of the company shares are owned by institutional investors. The book value of Power Integrations was at this time reported as 12.16. The company has Price/Earnings To Growth (PEG) ratio of 1.7. Power Integrations last dividend was issued on the 27th of February 2026. The entity had 2:1 split on the 19th of August 2020. Based on the key indicators related to Power Integrations' liquidity, profitability, solvency, and operating efficiency, Power Integrations is not in a good financial situation at this time. It has a very high probability of going through financial hardship in March.
Current ValueLast YearChange From Last Year 10 Year Trend
Total Cash From Operating Activities79.1 M111.5 M
Way Down
Slightly volatile

Power Integrations Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Power Integrations has an asset utilization ratio of 57.43 percent. This signifies that the Company is making $0.57 for each dollar of assets. An increasing asset utilization means that Power Integrations is more efficient with each dollar of assets it utilizes for everyday operations.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

Power Integrations Profitability Analysis

Based on Power Integrations' profitability indicators, Power Integrations may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in March. Profitability indicators assess Power Integrations' ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1996-06-30
Previous Quarter
-1.4 M
Current Value
13.3 M
Quarterly Volatility
18.4 M
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
The current Gross Profit is estimated to decrease to about 159.3 M. The current Pretax Profit Margin is estimated to decrease to 0.04
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.40.5449
Way Down
Pretty Stable
For Power Integrations profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Power Integrations to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Power Integrations utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Power Integrations's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Power Integrations over time as well as its relative position and ranking within its peers.

Power Integrations Earnings per Share Projection vs Actual

The next projected EPS of Power Integrations is estimated to be 0.2985 with future projections ranging from a low of 0.28 to a high of 0.33. Power Integrations' most recent 12-month trailing earnings per share (EPS TTM) is at 0.39. Please be aware that the consensus of earnings estimates for Power Integrations is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
Power Integrations is projected to generate 0.2985 in earnings per share on the 30th of June 2026. Power Integrations earnings estimates show analyst consensus about projected Power Integrations EPS (Earning Per Share). It derives the highest and the lowest estimates based on Power Integrations' historical volatility. Many public companies, such as Power Integrations, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Power Integrations Earnings Estimation Breakdown

The calculation of Power Integrations' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Power Integrations is estimated to be 0.2985 with the future projection ranging from a low of 0.28 to a high of 0.33. Please be aware that this consensus of annual earnings estimates for Power Integrations is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
0.28
Lowest
Expected EPS
0.2985
0.33
Highest

Power Integrations Earnings Projection Consensus

Suppose the current estimates of Power Integrations' value are higher than the current market price of the Power Integrations stock. In this case, investors may conclude that Power Integrations is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Power Integrations' stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 30th of June 2026Current EPS (TTM)
589.14%
0.0
0.2985
0.39

Power Integrations Ownership Allocation

The majority of Power Integrations outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Power Integrations to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Power Integrations. Please pay attention to any change in the institutional holdings of Power Integrations as this could imply that something significant has changed or is about to change at the company.

Power Integrations Profitability Analysis

The company reported the previous year's revenue of 443.5 M. Net Income was 22.09 M with profit before overhead, payroll, taxes, and interest of 241.65 M.

Power Integrations Past Distributions to stockholders

About Power Integrations Valuation

An absolute valuation paradigm, as applied to Power Stock, attempts to find the value of Power Integrations based on its fundamental and basic technical indicators. By analyzing Power Integrations's financials, quarterly and monthly indicators, and their related drivers, such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Power Integrations's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Power Integrations. We calculate exposure to Power Integrations's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Power Integrations's related companies.
Last ReportedProjected for Next Year
Gross Profit241.6 M159.3 M
Pretax Profit Margin 0.05  0.04 
Operating Profit Margin 0.05  0.05 
Net Profit Margin 0.05  0.05 
Gross Profit Margin 0.54  0.40 
Power Integrations' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Power Integrations' value is low or high relative to the company's performance and growth projections. Determining the market value of Power Integrations can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Power Integrations represents a small ownership stake in the entity. As a stockholder of Power, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Power Integrations Dividends Analysis For Valuation

As of now, Power Integrations' Dividend Yield is increasing as compared to previous years. The Power Integrations' current Dividend Payout Ratio is estimated to increase to 2.24, while Dividends Paid is forecasted to increase to (44.8 M). . As of now, Power Integrations' Price Earnings Ratio is increasing as compared to previous years.
Last ReportedProjected for Next Year
Dividends Paid-47.2 M-44.8 M
Dividend Yield 0.02  0.02 
Dividend Payout Ratio 2.14  2.24 
Dividend Paid And Capex Coverage Ratio 1.56  1.48 
There are various types of dividends Power Integrations can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Power shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Power Integrations directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Power pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Power Integrations by the value of the dividends paid out.

Power Integrations Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding56.3 M
Quarterly Earnings Growth Y O Y0.447
Forward Price Earnings22.1239

Power Integrations Current Valuation Indicators

Valuation refers to the process of determining the present value of Power Integrations and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Power we look at many different elements of the entity such as Power's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Power Integrations, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Power Integrations' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Power Integrations' worth.

Complementary Tools for Power Stock analysis

When running Power Integrations' price analysis, check to measure Power Integrations' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Power Integrations is operating at the current time. Most of Power Integrations' value examination focuses on studying past and present price action to predict the probability of Power Integrations' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Power Integrations' price. Additionally, you may evaluate how the addition of Power Integrations to your portfolios can decrease your overall portfolio volatility.
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