Power Integrations’ (POWI) Buy Rating Reiterated at Benchmark

Benchmark reaffirmed their buy rating on shares of Power Integrations (NASDAQ:POWI) in a research note issued to investors on Friday,Benzinga reports. Benchmark currently has a $55.00 price target on the semiconductor company’s stock.

Several other brokerages have also commented on POWI. Weiss Ratings restated a “sell (d)” rating on shares of Power Integrations in a report on Monday, December 29th. Zacks Research lowered Power Integrations from a “hold” rating to a “strong sell” rating in a research report on Wednesday, January 28th. Finally, Susquehanna upped their price target on Power Integrations from $50.00 to $53.00 and gave the stock a “positive” rating in a research note on Thursday, January 22nd. Three research analysts have rated the stock with a Buy rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Power Integrations has an average rating of “Hold” and a consensus price target of $61.00.

Power Integrations Stock Up 0.3%

Shares of Power Integrations stock opened at $47.34 on Friday. The firm has a market cap of $2.62 billion, a PE ratio of 121.39, a price-to-earnings-growth ratio of 5.50 and a beta of 1.37. Power Integrations has a 52 week low of $30.86 and a 52 week high of $68.20. The business’s fifty day simple moving average is $40.14 and its 200-day simple moving average is $41.56.

Power Integrations (NASDAQ:POWI) last issued its quarterly earnings data on Thursday, February 5th. The semiconductor company reported $0.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.19 by $0.04. Power Integrations had a net margin of 4.98% and a return on equity of 5.15%. The firm had revenue of $103.20 million for the quarter, compared to analyst estimates of $103.02 million. During the same period in the previous year, the firm earned $0.30 EPS. Power Integrations’s revenue was down 1.9% on a year-over-year basis. As a group, equities analysts expect that Power Integrations will post 0.93 earnings per share for the current year.

Power Integrations Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Friday, February 27th will be given a dividend of $0.215 per share. This is an increase from Power Integrations’s previous quarterly dividend of $0.21. This represents a $0.86 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend is Friday, February 27th. Power Integrations’s dividend payout ratio is currently 220.51%.

Insider Activity at Power Integrations

In other Power Integrations news, Director Balu Balakrishnan sold 10,080 shares of the stock in a transaction dated Tuesday, February 3rd. The stock was sold at an average price of $44.75, for a total value of $451,080.00. Following the sale, the director owned 575,331 shares of the company’s stock, valued at $25,746,062.25. This trade represents a 1.72% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, VP Gagan Jain sold 1,033 shares of Power Integrations stock in a transaction dated Monday, November 24th. The shares were sold at an average price of $33.80, for a total value of $34,915.40. Following the completion of the transaction, the vice president owned 17,212 shares of the company’s stock, valued at $581,765.60. The trade was a 5.66% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 21,712 shares of company stock worth $977,212. Company insiders own 1.40% of the company’s stock.

Institutional Trading of Power Integrations

Hedge funds have recently added to or reduced their stakes in the company. Bank of Montreal Can increased its position in shares of Power Integrations by 1.9% in the 2nd quarter. Bank of Montreal Can now owns 11,323 shares of the semiconductor company’s stock valued at $633,000 after purchasing an additional 214 shares during the last quarter. Covestor Ltd grew its stake in shares of Power Integrations by 13.8% during the fourth quarter. Covestor Ltd now owns 2,064 shares of the semiconductor company’s stock worth $73,000 after purchasing an additional 251 shares in the last quarter. Baird Financial Group Inc. increased its holdings in Power Integrations by 5.4% in the first quarter. Baird Financial Group Inc. now owns 5,053 shares of the semiconductor company’s stock valued at $255,000 after buying an additional 261 shares during the last quarter. Huntington National Bank raised its stake in Power Integrations by 27.4% in the second quarter. Huntington National Bank now owns 1,312 shares of the semiconductor company’s stock valued at $73,000 after buying an additional 282 shares in the last quarter. Finally, Parkside Financial Bank & Trust lifted its holdings in Power Integrations by 125.9% during the 2nd quarter. Parkside Financial Bank & Trust now owns 585 shares of the semiconductor company’s stock worth $33,000 after buying an additional 326 shares during the last quarter.

Key Stories Impacting Power Integrations

Here are the key news stories impacting Power Integrations this week:

• Positive Sentiment: Q4 results topped estimates and management gave solid near‑term revenue guidance; EPS of $0.23 beat the $0.19 consensus and revenue of $103.2M was roughly in line while Q1 revenue guidance was set at $104M–$109M, supporting the shares. Read More.
• Positive Sentiment: The board raised the quarterly dividend to $0.215 (2.4% increase), maintaining a cash‑return signal that can appeal to income and value investors ahead of the Feb 27 ex‑dividend date.
• Positive Sentiment: Benchmark reaffirmed a “buy” rating and a $55 price target, which implies upside vs. recent levels and may attract momentum buyers. Read More.
• Positive Sentiment: Management announced a cost‑reduction program (about a 7% workforce reduction) and a renewed focus on industrial end‑market growth — a near‑term restructuring charge but potentially margin‑accretive over time. Read More.
• Neutral Sentiment: Board and leadership filings (including indemnification items) were disclosed; these are procedural for now and carry no immediate financial impact unless followed by further governance developments. Read More.
• Negative Sentiment: Insider selling: several executives and a director disclosed stock sales in early February (notable blocks by a director and VPs). Persistent insider selling can be perceived negatively even if for diversification or tax reasons. Read More.
• Negative Sentiment: Inventory levels increased in the quarter, raising a modest demand/mix concern that could pressure near‑term margins if channel conditions don’t normalize. Read More.

Power Integrations Company Profile

Power Integrations, Inc, based in Hillsboro, Oregon, specializes in the design and development of high-performance analog and mixed-signal integrated circuits for energy-efficient power conversion. The company’s products are used to convert and regulate electrical power in a wide range of applications, from consumer electronics and industrial systems to communications equipment and electric vehicle charging. By providing compact, reliable, and highly integrated solutions, Power Integrations aims to reduce system size, improve efficiency, and simplify thermal management for its customers.

The firm’s product portfolio encompasses isolated and non-isolated switching controllers for both AC-DC and DC-DC power conversion.