Power Integrations Inc (POWI) Fair Value & Analysis
Technology · US · Market cap $3.9B · ISIN US7392761034
Power Integrations Inc
POWI · US
Structural break: The valuation model sees a lasting decline in earnings power for this stock, the confidence band is broken. Treat the target with caution.
Strengths
Risks
Fair value as of: Aug 27, 2026
From 26 valuation models · updated 2 days ago
Fair value updated Aug 27, 2026, revised from $10.29 to $16.62 (+61.5%) since Aug 23, 2026. Share price −8.9% over the past month.
A solid business, but trading 210% above our fair value.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- A high-quality business (quality 70/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
- The price sits above even our optimistic bull case ($20.35). The favourable scenario is already priced in.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 27, 2026.
How to read this chart
60‑month range $30.52 – $104.06 · fair‑value band $12.89 – $20.35 · the $51.51 price screens above the $16.62 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 27, 2026.
Analysis
Power Integrations Inc (POWI) currently trades at $51.51, while our model-based Fair Value estimate is $16.62, implying the stock looks roughly 67.7% overvalued today. The Quality Score stands at 70/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Power Integrations Inc generated revenue of $446M at a net margin of 3.7%. Revenue grew 2.6% year over year. It earns a return on equity of 2.4%. The balance sheet holds a net cash position of $58.8M. Fundamentals as of Aug 27, 2026
Our scenario range runs from $12.89 (bear case) to $20.35 (bull case); at $51.51, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 42% below its 52-week high and 69% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -59% fair-value upside, at -68%, POWI screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 26 models by family
Widest divergence: DCF Models ($16.22) versus Earnings-Based ($2.14). Highest evidence: Growth DCF (80).
Notify me when POWI reaches fair value
Free. You confirm by email (double opt-in) and can unsubscribe anytime in one click.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 27, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 70 · Market factors (momentum, volatility) 30
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Power Integrations, Inc. designs, develops, manufactures, and markets analog and mixed-signal integrated circuits, and other electronic components and circuitry used in high-voltage power conversion.
Full company description
Power Integrations, Inc. designs, develops, manufactures, and markets analog and mixed-signal integrated circuits, and other electronic components and circuitry used in high-voltage power conversion. It provides a range of alternating current to direct current power conversion products that address power supply up to approximately 500 watts of output for consumer appliances, utility meters, LCD monitors, tablets, smartphones, computers, TVs, consumer and industrial applications, and LED lightings; and power conversion in high-power applications comprising industrial motors, solar and wind-power systems, electric locomotives, and high-voltage DC transmission systems. The company also offers InnoSwitch IC for electric vehicles; high-voltage gate-driver products used to operate high-voltage switches, such as insulated-gate bipolar transistors and silicon-carbide MOSFETs under the SCALE and SCALE-2 product-family names; and SCALE-iDriver for use in powertrain and charging applications for electric vehicles. In addition, it provides motor-driver ICs for use in refrigerator compressors, ceiling fans, air purifiers, and circulation pumps, as well as pumps and fans used in appliances, such as dishwashers, laundry machines, and boilers. The company serves communications, computer, consumer, and industrial markets. It sells its products to original equipment manufacturers and merchant power supply manufacturers through direct sales staff, as well as a network of independent sales representatives and distributors in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. Power Integrations, Inc. was incorporated in 1988 and is headquartered in San Jose, California.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Power Integrations Inc reported revenue of $444M in FY2025 versus $703M in FY2021, a compound −10.9%/yr. Reported net income was $22.1M in FY2025, compounding −39.5%/yr from FY2021.
POWI screens 68% overvalued. Compare with NVIDIA Corporation →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Q2 Rundown: Power Integrations (NASDAQ:POWI) Vs Other Analog Semiconductors Stocks
- Power Integrations (POWI): Buy, Sell, or Hold Post Q2 Earnings?
- Why Power Integrations (POWI) Is Up 9.5% After Q2 Beat, Q3 Outlook And GaN Breakthrough – And What's Next
- What Could Power Integrations (POWI) 2200 V GaN Breakthrough Change?
Peer Group
Semiconductors · 325 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Semiconductors median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 46/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Semiconductors stocks, each showing price versus our Fair Value estimate (as of Aug 27, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| NVIDIA Corporation NVDA | $227.98 | $98.98 | -57% |
| Taiwan Semiconductor Manufacturing Company TSM | $427.30 | $296.10 | -31% |
| Broadcom Inc AVGO | $371.54 | $118.27 | -68% |
| SK hynix Inc 000660 | 1,730,000 KRW | 1,481,291 KRW | -14% |
| Micron Technology, Inc MU | $932.86 | $148.38 | -84% |
| Advanced Micro Devices, Inc AMD | $476.67 | $55.02 | -88% |
| Intel Corporation INTC | $92.09 | $35.41 | -62% |
| Texas Instruments Incorporated TXN | $266.54 | $78.54 | -71% |
| QUALCOMM Incorporated QCOM | $164.78 | $147.20 | -11% |
| MediaTek Inc 2454 | 3,845 TWD | 1,559 TWD | -59% |
Compare Power Integrations Inc with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Technology stocks →
Discover undervalued stocks
Pick a strategy and jump into the live analysis with that exact screen applied.
Discover tools
Frequently asked questions
Is Power Integrations Inc (POWI) overvalued or undervalued?
What is the fair value of POWI?
What is the quality score of POWI?
What is the revenue of Power Integrations Inc (POWI)?
What is the net profit margin of POWI?
Does Power Integrations Inc pay a dividend?
How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
Watch Power Integrations Inc in the live analysis
One click puts Power Integrations Inc on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
Watch for free →Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.