Monolithic Power Systems, Inc. (NASDAQ: MPWR) is starting the week with a major visibility upgrade: MPWR is now officially part of the Nasdaq-100 Index, effective before the market opened on Monday, December 22, 2025. [1]
For investors, the timing matters. Index additions can trigger mechanical buying from passive funds that track the Nasdaq-100—potentially boosting liquidity and short-term volatility—while MPWR’s fundamental story remains tied to power-management demand across AI data centers, automotive, storage/computing, and industrial markets. [2]
Below is a detailed breakdown of today’s key news, the latest Wall Street forecasts, and current technical signals for MPWR—using the most recent information available on 22.12.2025.
MPWR today: the quick read
- Nasdaq-100 inclusion takes effect today (Dec. 22): MPWR joins the index as part of Nasdaq’s annual reconstitution. [3]
- Stock price: MPWR traded around $958.73, up about 2.3% on the session, with an intraday range of roughly $949.33–$970.00 (data timestamp: Dec. 22).
- Analyst mood: A broad “Buy”-leaning consensus remains intact, with a 12‑month average target around $1,196 on one widely followed consensus compilation (high $1,375, low $920). [4]
- Fresh technical snapshot: Investing.com’s technical dashboard shows an overall “Strong Buy” summary, with RSI(14) ~55.5 (not overheated), while some oscillators flag “overbought” conditions. [5]
- Dividend backdrop: The company declared a $1.56/share quarterly dividend (record date Dec. 31, 2025, pay date Jan. 15, 2026). [6]
1) The headline catalyst on Dec. 22: MPWR joins the Nasdaq-100
Nasdaq confirmed that its annual Nasdaq‑100 reconstitution becomes effective prior to market open on Monday, December 22, 2025, and Monolithic Power Systems is one of the six additions. [7]
A key reason traders care: the Nasdaq‑100 underpins more than 200 tracking products with over $600 billion in assets under management globally, including the widely held Invesco QQQ Trust (QQQ). [8]
What that can mean for MPWR stock (in plain English):
- Passive flows: Funds that must match the index may need to buy MPWR shares.
- Liquidity and attention: More institutions screen and trade Nasdaq‑100 constituents.
- Short-term noise is common: Index effects often create temporary supply/demand distortions that don’t necessarily predict long-term performance.
Market summaries and index-focused roundups also highlighted MPWR as one of the new Nasdaq‑100 entrants and noted the broader reconstitution theme of rotation among large-cap growth names. [9]
2) MPWR stock price today: where shares trade and what it suggests
As of the latest available quote on Dec. 22, MPWR traded near $958.73, up $21.62 versus the prior close (about +2.3%). The session’s high/low were approximately $970.00 / $949.33.
This move is happening against a generally constructive tone in U.S. equities to open the holiday-shortened week, with tech and AI-linked momentum remaining a notable tailwind in broader market coverage. [10]
Context investors often check on index-add days:
- Volume vs. normal: Index-related trading can push volume higher than typical.
- Price stability after the open: Some index effects show up around the open/close rather than mid-session.
- Follow-through: A one-day pop can fade quickly if it’s mostly mechanical demand.
3) The latest “forecast stack”: analyst targets, upgrades, and consensus ranges
Truist raises its target to $1,375 (Dec. 19) on AI-power demand
One of the most notable recent analyst updates came just ahead of MPWR’s Nasdaq‑100 debut: Truist Securities raised its price target to $1,375 from $1,163 and maintained a Buy rating. [11]
In its write-up, Investing.com summarized Truist’s thesis as largely tied to MPWR’s positioning in high-performance power solutions for data centers, calling it a compelling “AI infrastructure derivative” play as next-gen GPU/XPU platforms demand higher-density power delivery. [12]
What the broader consensus is saying (as of Dec. 22)
On Investing.com’s consensus compilation (based on a recent analyst poll window), MPWR shows:
- Overall consensus: “Buy”
- Rating mix:13 Buy / 2 Hold / 1 Sell
- Average 12‑month price target:$1,196.07
- High / low targets:$1,375 / $920 [13]
How to read this: At today’s price zone (~$959), a ~$1,196 target implies roughly mid‑20% upside over 12 months—but targets can change quickly with semiconductor cycle expectations and AI capex sentiment.
A note on why target ranges are wide for MPWR
MPWR sits at the intersection of:
- Structural growth (AI power density, electrification, automotive content)
- Cyclicality (inventory digestion, cloud capex pacing, end-market variability)
That mix often leads to big dispersion between conservative and aggressive models—especially when analysts debate how durable AI infrastructure spending will be into 2026–2027.
4) Fundamentals check: what MPWR reported most recently
To understand why MPWR keeps showing up in “AI infrastructure” conversations, it helps to ground the story in the most recent company-reported numbers.
Q3 2025: record revenue and broad-based growth
In its earnings commentary for the quarter ended September 30, 2025, Monolithic Power Systems reported:
- Revenue:$737.2 million (up 10.9% QoQ and 18.9% YoY)
- Non‑GAAP EPS:$4.73 (up 12.4% QoQ and 16.5% YoY) [14]
The company also broke out revenue by end market, showing meaningful contributions across enterprise data, storage & computing, automotive, communications, consumer, and industrial—evidence of a diversified demand base rather than a single-product story. [15]
A Nasdaq-hosted recap of the same quarter highlighted growth drivers in Storage & Computing and Enterprise Data, and also reiterated the quarter’s key financial figures. [16]
Q4 2025 outlook: steady top line, margins still in the mid‑50s
In its outlook section, the company guided for Q4 2025 revenue of $730–$750 million, with gross margin guidance clustering in the mid‑50% range (GAAP and non‑GAAP bands provided). [17]
Why the market cares: For a power-semiconductor leader, the mix of revenue durability + margin stability is central to valuation—especially when investors compare MPWR to other high-quality analog and power names.
5) Dividend news still in focus heading into year-end
Although the dividend announcement is not dated today, it remains highly relevant this week because the record date is approaching.
Monolithic Power Systems announced a fourth-quarter dividend of $1.56 per share, payable January 15, 2026, to stockholders of record as of December 31, 2025. [18]
For long-term investors, the dividend functions less as a yield play and more as a signal of:
- cash generation,
- capital allocation discipline,
- shareholder-return consistency.
6) Technical analysis on Dec. 22: “Strong Buy,” but watch the overbought flags
Technical dashboards can change quickly, but today’s snapshot is notable because it aligns with the positive narrative around the Nasdaq‑100 catalyst.
On Investing.com’s MPWR technical page (timestamped Dec 22, 2025 04:42 PM GMT), MPWR shows:
- Overall summary:Strong Buy
- Moving averages:Strong Buy (12 “Buy”, 0 “Sell”)
- Technical indicators:Strong Buy (7 “Buy”, 2 “Sell”) [19]
Selected indicator details from that same snapshot include:
- RSI(14): ~55.5 (Buy)
- MACD(12,26): positive (Buy)
- Stoch RSI: flagged Overbought
- Williams %R: flagged Overbought [20]
Interpretation: Momentum looks constructive, but some oscillators suggest the stock could be prone to short-term pullbacks—especially after an index-inclusion pop and during a holiday week where liquidity can be thinner.
7) Risks and reality checks investors should keep on the table
Even with a Nasdaq‑100 upgrade, MPWR remains a semiconductor stock—meaning it can re-rate fast in either direction. Here are the main risk categories investors typically weigh:
Index inclusion is not a fundamental upgrade
Nasdaq‑100 membership can boost liquidity and attention, but it does not change MPWR’s customer demand, pricing power, or competition. [21]
AI infrastructure spending can be lumpy
The bull case often leans on power density requirements for next-gen compute. The bear case usually argues that hyperscalers can pause or re-time builds, which can ripple through the semiconductor supply chain.
Valuation and expectations
At today’s price, MPWR trades with a large-cap growth profile and expectations for continued execution. (Today’s quote data also lists MPWR’s market cap around $44B and a P/E ~23 on the feed used here.)
Execution risk across multiple end markets
Diversification helps, but it also means MPWR must execute across very different cycles—automotive design-in timelines, enterprise data ramps, and consumer variability.
8) What to watch next (the practical calendar for MPWR holders)
1) Post–Nasdaq‑100 “settling”
The first few sessions after inclusion can reveal whether demand is:
- mostly one-time passive buying, or
- sustained incremental institutional interest.
2) Dividend record date: Dec. 31
If you’re tracking shareholder return events, the Dec. 31 record date is the key checkpoint for the upcoming $1.56 payout. [22]
3) Next earnings window (early Feb. 2026, date varies by calendar)
Market calendars do not perfectly agree on the next earnings date (and companies can update dates). Investing.com’s earnings page currently states the next earnings report will be released on Feb. 11, 2026, and also shows an upcoming-quarter revenue forecast figure. [23]
(Investors generally treat third-party earnings calendars as estimates unless confirmed by the company.)
Bottom line on Dec. 22, 2025
MPWR enters the Nasdaq‑100 today with multiple supportive pillars lining up at once: index visibility, a recent bullish analyst target reset (up to $1,375 at Truist), steady Q4 guidance, and a near-term dividend milestone into year-end. [24]
References
1. www.nasdaq.com, 2. www.nasdaq.com, 3. www.nasdaq.com, 4. www.investing.com, 5. www.investing.com, 6. www.globenewswire.com, 7. www.nasdaq.com, 8. www.nasdaq.com, 9. www.marketscreener.com, 10. www.reuters.com, 11. www.investing.com, 12. www.investing.com, 13. www.investing.com, 14. www.globenewswire.com, 15. www.globenewswire.com, 16. www.nasdaq.com, 17. www.globenewswire.com, 18. www.globenewswire.com, 19. www.investing.com, 20. www.investing.com, 21. www.nasdaq.com, 22. www.globenewswire.com, 23. www.investing.com, 24. www.nasdaq.com
