Power Integrations (NASDAQ:POWI) Shares Gap Down – Here’s Why

Power Integrations, Inc. (NASDAQ:POWI)’s share price gapped down prior to trading on Thursday . The stock had previously closed at $63.19, but opened at $61.44. Power Integrations shares last traded at $61.02, with a volume of 5,709 shares.

Analyst Ratings Changes

Several analysts recently weighed in on POWI shares. StockNews.com lowered Power Integrations from a “hold” rating to a “sell” rating in a report on Wednesday. Benchmark reissued a “buy” rating and issued a $78.00 target price on shares of Power Integrations in a research note on Wednesday, September 11th. Stifel Nicolaus reaffirmed a “buy” rating and set a $95.00 price target (down from $100.00) on shares of Power Integrations in a research note on Monday, August 5th. TD Cowen reduced their price objective on shares of Power Integrations from $80.00 to $70.00 and set a “hold” rating on the stock in a research report on Wednesday, August 7th. Finally, Northland Securities upgraded Power Integrations from a “market perform” rating to an “outperform” rating and set a $80.00 target price for the company in a research report on Monday, August 12th. One research analyst has rated the stock with a sell rating, two have issued a hold rating, four have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $78.50.

Power Integrations Stock Down 2.4 %

The company has a market cap of $3.50 billion, a P/E ratio of 68.68, a PEG ratio of 5.09 and a beta of 1.10. The firm has a 50 day moving average of $62.57 and a 200-day moving average of $68.74.

Power Integrations (NASDAQ:POWI) last posted its earnings results on Tuesday, August 6th. The semiconductor company reported $0.28 EPS for the quarter, beating analysts’ consensus estimates of $0.26 by $0.02. Power Integrations had a net margin of 10.38% and a return on equity of 4.86%. The business had revenue of $106.20 million for the quarter, compared to the consensus estimate of $105.02 million. During the same quarter last year, the firm posted $0.27 EPS. The company’s revenue for the quarter was down 13.8% on a year-over-year basis. On average, research analysts predict that Power Integrations, Inc. will post 0.59 EPS for the current fiscal year.

Power Integrations Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, September 30th. Shareholders of record on Friday, August 30th were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Friday, August 30th. This represents a $0.80 annualized dividend and a yield of 1.30%. Power Integrations’s dividend payout ratio (DPR) is presently 86.96%.

Insider Activity

In related news, VP Sunil Gupta sold 2,127 shares of the company’s stock in a transaction on Tuesday, August 27th. The stock was sold at an average price of $65.90, for a total transaction of $140,169.30. Following the completion of the sale, the vice president now directly owns 51,899 shares in the company, valued at $3,420,144.10. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Company insiders own 1.70% of the company’s stock.

Institutional Investors Weigh In On Power Integrations

A number of hedge funds and other institutional investors have recently bought and sold shares of POWI. Azzad Asset Management Inc. ADV grew its holdings in Power Integrations by 18.8% in the third quarter. Azzad Asset Management Inc. ADV now owns 12,381 shares of the semiconductor company’s stock worth $794,000 after purchasing an additional 1,960 shares during the last quarter. Handelsbanken Fonder AB increased its position in Power Integrations by 56.6% during the 3rd quarter. Handelsbanken Fonder AB now owns 20,202 shares of the semiconductor company’s stock valued at $1,295,000 after buying an additional 7,300 shares in the last quarter. SG Americas Securities LLC raised its stake in Power Integrations by 9.1% in the third quarter. SG Americas Securities LLC now owns 6,401 shares of the semiconductor company’s stock valued at $410,000 after buying an additional 536 shares during the last quarter. Creative Planning boosted its holdings in Power Integrations by 58.6% in the second quarter. Creative Planning now owns 12,459 shares of the semiconductor company’s stock worth $874,000 after acquiring an additional 4,601 shares in the last quarter. Finally, Scientech Research LLC purchased a new stake in shares of Power Integrations during the second quarter worth about $372,000.

About Power Integrations

Power Integrations, Inc designs, develops, manufactures, and markets analog and mixed-signal integrated circuits (ICs), and other electronic components and circuitry used in high-voltage power conversion worldwide. The company provides a range of alternating current to direct current power conversion products that address power supply ranging from less than one watt of output to approximately 500 watts of output for mobile-device chargers, consumer appliances, utility meters, LCD monitors, main and standby power supplies for desktop computers and TVs, LED lighting, and various other consumer and industrial applications, as well as power conversion in high-power applications comprising industrial motors, solar and wind-power systems, electric vehicles, and high-voltage DC transmission systems.