Monolithic Power Tumbles 2.64% Despite Record $970M Volume Surge to 138th in U.S. Trading Activity

On July 31, 2025, Monolithic Power (MPWR) closed with a 2.64% decline despite a 109.82% surge in trading volume to $970 million, ranking it 138th in U.S. market activity. The stock’s performance contrasts with its recent upbeat guidance for Q3, where it projected revenue of $710–730 million, exceeding analysts’ $678 million estimate. The forecast was driven by sustained demand for power management solutions in AI and server applications, particularly as generative AI adoption accelerates data center expansion. The company highlighted strong second-quarter results, including $664.6 million in revenue and $133.7 million in net income, with enterprise data market growth attributed to its power control products.

Analysts noted Monolithic’s entrenched position in power management sockets for major clients like NVIDIA, reinforcing its role in supporting advanced computing infrastructure. The firm’s strategic shift toward silicon-based solutions, as emphasized by CEO Michael Hsing, aligns with broader industry trends toward integrated hardware-software ecosystems. While Q2 gross margin dipped slightly to 55.5% from 55.7% in Q2 2024, the company maintained a 34.9% year-on-year revenue increase for the first half of 2025, underscoring its competitive positioning in high-growth sectors like storage, computing, and automotive.

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