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Power Integrations, Inc. (POWI) Stock Analysis

SellHigh Confidence

Technology · Semiconductors

Sell if holding. At $66.16, A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: sales to customers outside of the U.S. (98.0%); Concentration risk — Customer: top ten customers (81.0%).

Power Integrations designs and sells analog and mixed-signal ICs for high-voltage power conversion, including AC-DC power supplies, LED drivers, motor-driver ICs for BLDC motors, and gate drivers for industrial and EV applications. Revenue is approximately 98% non-U.S., sold... Read more

$66.16+18.2% A.UpsideScore 4.7/10#37 of 45 Semiconductors
QualityF-score9 / 9FCF yield2.10%
IncomeYield1.27%(5y avg 1.12%)Payout281.67%at-risk
Stop $62.89Target $79.96(resistance)A.R:R -0.8:1
Analyst target$69.50+5.0%4 analysts
$79.96our TP
$66.16price
$69.50mean
$46
$85

Sell if holding. At $66.16, A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: sales to customers outside of the U.S. (98.0%); Concentration risk — Customer: top ten customers (81.0%). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Score 4.7/10, high confidence.

Passes 7/9 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, earnings proximity 79d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

Recent Developments — Power Integrations, Inc.

Generated 2026-05-20T20:21:21Z.

Thesis

Rewards
Strong earnings beat streak (3/4)
Risks
Concentration risk — Geographic: sales to customers outside of the U.S. (98.0%)
Concentration risk — Customer: top ten customers (81.0%)
Analyst target reached - limited upside remaining

Key Metrics

P/E (TTM)225.4
P/E (Fwd)36.9
Mkt Cap$3.8B
EV/EBITDA70.3
Profit Mgn3.7%
ROE2.4%
Rev Growth2.6%
Beta1.54
Dividend1.27%
Rating analysts11

Quality Signals

Piotroski F9/9MoatNarrow

Options Flow

P/C0.56bullish
IV78%elevated
Max Pain$35-47.1% vs spot

Concentration Risks(10-K Item 1A)

  • HIGHGeographicsales to customers outside of the U.S.98%
    10-K Item 1A: 'Approximately 98% of our net revenue for each of the years ended December 31, 2025, 2024 and 2023 was generated by sales to customers outside of the U.S.'
  • HIGHCustomertop ten customers81%
    10-K Item 1: 'Our top ten customers, including distributors that resell to OEMs and merchant power supply manufacturers, accounted for approximately 81%, 79% and 80% of net revenue in 2025, 2024 and 2023, respectively'
  • HIGHSupplierEpson, Lapis and X-FAB
    10-K Item 1A: 'Our primary supply arrangements for the production of wafers are with Epson, Lapis and X-FAB'

Material Events(8-K, last 90d)

  • 2026-05-07Item 5.02LOW
    Mike Balow appointed as Senior Vice President, Worldwide Sales effective May 4, 2026. Previously EVP of Sales at onsemi (2021-2025) and Infineon. No officer departure disclosed.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Revenue Growth
3.1
Low model confidence on this dimension (33%).

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
1.2
Quality Rank
3.0
Value Rank
3.3
GatesA.R:R -0.8=NEGATIVEMomentum 4.9<5.5 (soft — BUY_NOW allowed but watch)Momentum 4.9>=4.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 79d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Aggressive
RSI
52 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $62.53Resistance $81.59

Price Targets

$63
$80
A.Upside+20.9%
A.R:R-0.8:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Risk Alerts

! Target reached (-12.6% upside)
! Negative risk/reward — downside exceeds upside

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-08-06 (79d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is POWI stock a buy right now?

Sell if holding. At $66.16, A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Geographic: sales to customers outside of the U.S. (98.0%); Concentration risk — Customer: top ten customers (81.0%). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Prior stop was $62.89. Score 4.7/10, high confidence.

What is the POWI stock price target?

Take-profit target: $79.96 (+18.2% upside). Prior stop was $62.89. Stop-loss: $62.89.

What are the risks of investing in POWI?

Concentration risk — Geographic: sales to customers outside of the U.S. (98.0%); Concentration risk — Customer: top ten customers (81.0%); Analyst target reached - limited upside remaining.

Is POWI overvalued or undervalued?

Power Integrations, Inc. trades at a P/E of 225.4 (forward 36.9). TrendMatrix value score: 5.0/10. Verdict: Sell.

What do analysts say about POWI?

11 analysts cover POWI with a consensus score of 4.0/5. Average price target: $70.

What does Power Integrations, Inc. do?Power Integrations designs and sells analog and mixed-signal ICs for high-voltage power conversion, including AC-DC...

Power Integrations designs and sells analog and mixed-signal ICs for high-voltage power conversion, including AC-DC power supplies, LED drivers, motor-driver ICs for BLDC motors, and gate drivers for industrial and EV applications. Revenue is approximately 98% non-U.S., sold primarily through distributors; top-10 customers accounted for approximately 81% of 2025 net revenue.

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