- Power Integrations is a pure-play on the high-voltage conversion market.
- The company has an extensive patent portfolio and a somewhat unique IP licensing strategy.
- POWI appears to be ideally positioned to benefit from growing smartphone, solar, wind, and electric transportation markets.
- The stock split 2:1 in August, expects to grow revenue by double-digits this year, and currently trades at a rather rich Fwd P/E=46x.
- Much of that valuation is likely attributed to POWI's $445 million in cash and investments (an estimated $7.31/share).
For further details see:
Power Integrations: Cash-Rich And Well-Positioned, But Highly Valued