Monolithic Power Systems stock price target raised to $1,250 at KeyBanc

Investing.com - KeyBanc raised its price target on Monolithic Power Systems (NASDAQ:MPWR) to $1,250.00 from $1,050.00 on Thursday, maintaining an Overweight rating on the semiconductor company’s stock. The stock, currently trading at $1,050.59 and near its 52-week high, maintains a Strong Buy consensus among analysts according to InvestingPro data.

The price target increase reflects KeyBanc’s supply chain research indicating Monolithic Power Systems is expected to regain significant market share on NVIDIA’s next-generation GPU platform called Vera Rubin. With a market capitalization of $50 billion and impressive revenue growth of 34.3% in the last twelve months, MPWR demonstrates strong market positioning. InvestingPro analysis shows the company maintains a "GREAT" financial health score, supported by strong profitability metrics.

KeyBanc anticipates Monolithic Power will capture approximately 70% market share across both VR200 NVL144 and R200 HGX platforms within the Vera Rubin ecosystem.

The firm notes that with average selling prices expected to be 60% higher, this market share gain could add over $100 million to their 2026 estimates in the second half of that year.

When annualized into 2027, KeyBanc estimates Monolithic Power’s renewed NVIDIA partnership at 70% share would contribute approximately $420 million in revenue and over $4 in earnings per share.

In other recent news, Monolithic Power Systems has been the focus of several analyst upgrades and company announcements. Oppenheimer increased its price target for Monolithic Power Systems to $1,200 from $800, highlighting its role as a leading 48V power supplier for AI GPUs and XPUs used by major tech companies like Nvidia, AMD, and Google. Stifel also raised its price target to $1,100, noting the company’s strong positioning in AI infrastructure. Meanwhile, KeyBanc Capital Markets set a new price target of $1,050, citing significant market share gains in Nvidia’s Blackwell Ultra AI chips. Needham adjusted its target to $1,025 after recent investor meetings with Monolithic Power’s executive team.

Additionally, Monolithic Power Systems declared a quarterly dividend of $1.56 per share, payable in October 2025, maintaining its regular payments to shareholders. These developments reflect the company’s strategic positioning and potential growth in the AI sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.