Based on Clarity's multi-model valuation engine, MONOLITHIC POWER SYSTEMS INC (MPWR) has an estimated fair value of $203.13 per share, compared to its current market price of $1068.85. The stock is currently trading 81.0% above Clarity's fair value estimate, resulting in a verdict of SIGNIFICANTLY OVERVALUED.

This valuation blends 5 independent models — including Residual Income, Discounted Cash Flow (DCF), ROIC Fade, and 2 more. The primary weight is given to the Residual Income model, with Bayesian triangulation used to reconcile the estimates into a single blended fair value. The 5 models show low agreement with a 54% spread between the highest and lowest estimates.

Monte Carlo simulation across 5,000 scenarios estimates a 0.1% probability that the stock is trading below its intrinsic value, with a median simulated value of $171.98.

Clarity's 1-year price target is $240.15, reflecting expected earnings growth and margin trajectory.

MONOLITHIC POWER SYSTEMS INC is classified under the Industrial / Semis sector, and this valuation is based on 10-K · Filed 2026-02-27 filings sourced directly from SEC EDGAR. All models use trailing twelve month financials where available, with sector-appropriate growth and discount rate assumptions.