Power Integrations, Inc.POWI
NASDAQ • Technology
$72.11
P/E
240.84
PEG
—
FCF Yield
—
Rev Growth YoY
+2.6% YoY
Gross Margin
52.6%
Health Score
8/10
D/E Ratio
—
Confidence
MEDIUM
Business Snapshot
Power Integrations is a semiconductor company focused on power management and conversion solutions, serving the industrial, consumer, and communications markets. It operates in the competitive semiconductor industry, where it is a niche leader in high-voltage integrated circuits for power supplies. The company generated $446.28M in trailing twelve-month revenue, placing it in the small- to mid-cap tier. A defining characteristic is its debt-free balance sheet (debt/equity of 0.0x) and consistent free cash flow generation, which offers financial flexibility in a capital-intensive industry.
Financial Health
Gross margin of 52.6% is slightly below the prior year's 52.9%, and net margin (TTM) is not reported as a reliable figure due to flagged data anomalies. Debt/equity stands at 0.0x and the current ratio of 6.51x indicates a fortress balance sheet with ample short-term liquidity to weather downturns or invest in growth...
Risk Assessment
- VALUATION — P/E of 240.84x is substantially above the sector average of 35x, signaling extreme premium pricing.
- EARNINGS QUALITY — Net income declined 62.5% year-over-year, and net margin (498%) and ROE (317%) are flagged as unreliable data, making true profitability unclear.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
- 52-WEEK POSITION — The current price of $72.11 is 11.6% below the 52-week high of $81.59, suggesting the stock is trading near the top of its range with limited upside until a breakout occurs.
- VALUATION DIVERGENCE — Only one DCF estimate is available (FMP $14.03); the Python DCF is not calculable, limiting cross-validation of fair value....