Clifford Walker, Vice President of Corporate Development at Power Integrations Inc. (NASDAQ:POWI), recently sold 10,000 shares of the company's common stock. The transaction, which took place on November 27, 2024, was executed at an average price of $64.36 per share, amounting to a total value of $643,615. According to InvestingPro data, Power Integrations, with a market capitalization of $3.7 billion, is currently trading above its Fair Value.
Following this transaction, Walker's direct ownership of Power Integrations' stock decreased to 130,934 shares. Prior to this sale, Walker also disposed of 65 shares on November 26, but this transaction was recorded at a zero-dollar value, indicating it may have been part of a different type of transaction, such as a gift. The company maintains strong financial health, with more cash than debt on its balance sheet and has maintained dividend payments for 17 consecutive years.
Power Integrations, based in San Jose, California, is a semiconductor company specializing in high-performance electronic components used in power conversion. With a gross profit margin of 53% and analysts maintaining a bullish consensus, the company shows promising fundamentals. Discover more detailed insights and 8 additional ProTips with InvestingPro's comprehensive research report.
In other recent news, Power Integrations reported a sequential revenue increase of 9% in the third quarter, totaling $116 million, alongside non-GAAP earnings of $0.40 per share. The company also announced a projected 17% year-over-year revenue growth for the fourth quarter, forecasting revenues of $105 million. This growth comes despite a predicted softening in demand within the appliance market. Power Integrations is strategically focusing on Gallium Nitride (GaN) technology and high-power applications, which are expected to drive the company's growth in the coming years.
The company's revenue from GaN technology is expected to reach over $100 million by 2028, and GaN products are anticipated to represent 10% of sales by 2025, increasing to 20% within two to three years. Power Integrations also announced a 5% dividend increase and a $50 million share repurchase program. Additionally, the company has secured significant design wins in high voltage DC projects, which are expected to generate over $5 million annually.
However, the company also noted some challenges, such as an expected flat performance in the industrial segment and potential declines in other sectors next quarter. Despite these concerns, Power Integrations remains confident in its strategic positioning and growth prospects. These are the recent developments in the company's business operations.
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