| Over a month ago | ||||
Benchmark analyst David… Benchmark analyst David Williams raised the firm's price target on Power Integrations to $95 from $75 and keeps a Buy rating on the shares. Results were "mostly in-line," but the company gave guidance "well below expectations" as inventory burn and demand weakness challenge the near-term outlook, similar to peers over indexed to the consumer end market, the firm said. However, ongoing share gain momentum provide confidence in the growth trajectory beyond the current downturn, with March likely the trough, Benchmark tells investors. | ||||
Deutsche Bank analyst… Deutsche Bank analyst Ross Seymore raised the firm's price target on Power Integrations to $75 from $70 and keeps a Hold rating on the shares. Power Integrations delivered Q4 results in line with the midpoint of their guidance, but revenue guidance for Q1 was "disappointing" as demand weakness was pervasive across the company's end markets and channel inventory remained persistently elevated, the analyst tells investors in a research note. The firm thinks Power Integrations will enjoy the FIFO benefits exiting the current downturn, but believes much of this "snapback" is already reflected in its share price. | ||||
Cowen analyst Matthew… Cowen analyst Matthew Ramsay raised the firm's price target on Power Integrations to $85 from $65 and keeps a Market Perform rating on the shares. The analyst noted 4Q earnings represented Power Integrations' third consecutive material guide-down, with the rolling inventory correction now spreading from Consumer to Industrial. The management team has historically taken advantage of downturns to improve the business long-term and this cycle should be no different, but the steep valuation reflects that potential. | ||||
Sees Q1 adjusted gross… Sees Q1 adjusted gross margin roughly 53.5%. | ||||
Reports Q4 revenue… Reports Q4 revenue $124.8M, consensus $125.55M. Commented Balu Balakrishnan, president and CEO of Power Integrations: "Our results and outlook reflect weaker demand across most end-markets, as well as excess inventory in the supply chain. However, distribution inventory decreased in the fourth quarter, with further improvement to come in the months ahead, and we expect revenues to bottom in the first quarter. While the demand environment remains uncertain, we are well positioned for a recovery with a strong pipeline of design activity and a broad range of growth drivers including our highly integrated GaN products, motor-drive, renewable energy, EVs and advanced charging for mobile devices." | ||||
| Over a quarter ago | ||||
Northland analyst Gus… Northland analyst Gus Richard downgraded Power Integrations to Market Perform from Outperform with an unchanged price target of $66, citing valuation. While over the longer-term he views Power Integrations as well positioned to outperform the industry as it gains momentum in auto and high power, the company has high exposure to the consumer market, which is unlikely to be strong in 2023, and he also believes that cellphone fast charger revenue "likely peaked" in the first half of 2021, Richard tells investors. | ||||
Deutsche Bank analyst… Deutsche Bank analyst Ross Seymore lowered the firm's price target on Power Integrations to $70 from $75 and keeps a Hold rating on the shares. The company delivered Q3 results slightly below the midpoint of its guidance range, but more importantly guided Q4 revenue significantly below expectations, Seymore tells investors in a research note. | ||||
Cowen analyst Matthew… Cowen analyst Matthew Ramsay downgraded Power Integrations to Market Perform from Outperform with a price target of $65, down from $90. While Power Integrations has a strong power portfolio with GaN quickly gaining traction, limited visibility into a recovery in consumer-related markets will likely cap upside to shares, Ramsay tells investors in a research note. The analyst believes current valuation appropriately balances the budding growth opportunities with consumer weakness. | ||||
Cowen analyst Matthew… Cowen analyst Matthew Ramsay downgraded Power Integrations to Market Perform from Outperform with a price target of $65, down from $90. | ||||
GAAP gross margin is… GAAP gross margin is expected to be between 55.5 percent and 56 percent. Non-GAAP gross margin is expected to be between 56 percent and 56.5 percent. The difference between GAAP and non-GAAP gross margins is approximately equally attributable to stock-based compensation and amortization of acquisition-related intangible assets. | ||||
