# Power Integrations Inc. (POWI) fundamentals

Data as of 2026-11-04. NASDAQ, United States. Sector: Technology / Semiconductors & Chip Equipment. Price $46.99, market value $2.6 billion.

## Valuation
- **P/E (trailing): 106.8×** (5-yr avg 67.2×, 3-yr avg 93.2×). Power Integrations Inc. trades at 106.8× trailing earnings, well above its own five-year average of 67.2×: investors are paying up relative to the company's past. The Technology median in the September 2026 study was 32.1×. Forward P/E is 25.3×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 5.8×**. Each dollar of revenue is priced at 5.8×.
- **Price / book: 3.9×**. The shares trade at 3.9× book value; book value is a meaningful part of the valuation.
- **Free-cash-flow yield: 3.0%** (5-yr avg 3.0%). Free cash flow equals 3.0% of the market value, in line with its five-year average of 3.0%.
- **Earnings yield: 0.9%**. The inverse of the P/E: 0.9% of the price is earned each year.

## Profitability
- **Gross margin: 53.6%**. Power Integrations Inc. keeps 53.6% of revenue after the direct cost of what it sells.
- **Operating margin: 3.4%**. 3.4% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 5.0%**. 5.0% of each dollar of sales reaches the bottom line.
- **Return on equity: 3.3%**. 3.3% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on assets: 3.2%**. Each dollar of assets produces 3.2% of profit.

## Growth
- **Revenue growth (1 yr): 5.9%** (3-yr -12.0%/yr, 5-yr -1.9%/yr). Revenue grew 5.9% over the last year, against -1.9% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): -30.4%** (3-yr -48.9%/yr, 5-yr -19.7%/yr). Earnings per share fell 30.4%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -20.9%/yr**. Free cash flow has compounded at -20.9% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Current ratio: 6.51** (quick 6.51). Current assets cover the next year's liabilities 6.51 times.
- **Altman Z-score: 18.29**. A Z-score of 18.29 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 1.83%** ($0.85 per share, trailing). Power Integrations Inc. yields 1.83%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 214%** (60% of free cash flow). The dividend exceeds earnings (214% payout), though free cash flow still covers it.
- **Consecutive years of increases: 18**. 18 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 14.9%/yr** (1-yr 3.7%). The dividend has compounded at 14.9% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: buy** (4 analysts). 4 analysts cover Power Integrations Inc.; the consensus is buy, with an average price target of $71.75 (+53% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 8.5%** (YTD 27.1%, 3-mo -25.7%). The shares are up 8.5% over twelve months including dividends.
- **From 52-week high: -48.5%** (52.3% above the low). Trading 48% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 39**. An RSI of 39 is neutral.
- **Beta (1 yr): 2.40** (volatility 58%). Beta of 2.40 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=POWI · Page: https://foliofundamentals.com/stocks/powi

Not investment advice.