Power Integrations Dividend and Volatility Analysis
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy POWI?
Source: NASDAQ.COM
- Dividend Yield Expectation: Power Integrations Inc. has a recent dividend yield of 1.8%, based on historical profitability fluctuations, indicating that the sustainability of future dividends remains uncertain, particularly in light of earnings volatility.
- Historical Volatility Analysis: With a trailing twelve-month volatility of 54% calculated from the last 251 trading days, this high volatility may affect investors' risk assessments, especially when considering selling covered calls at the $55 strike price.
- Options Trading Dynamics: As of Tuesday afternoon, the put volume among S&P 500 components reached 871,581 contracts, while call volume stood at 1.67 million, resulting in a put:call ratio of 0.52, indicating a preference for calls among investors, which may reflect optimism about stock price increases.
- Options Market Trends: The current high call volume, compared to the long-term median put:call ratio of 0.65, suggests that investors are leaning towards bullish positions in options trading, potentially influencing future market trends and investment strategies.
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Analyst Views on POWI
Wall Street analysts forecast POWI stock price to rise
4 Analyst Rating
4 Buy
0 Hold
0 Sell
Strong Buy
Current: 47.920
Low
46.00
Averages
50.50
High
56.00
Current: 47.920
Low
46.00
Averages
50.50
High
56.00
About POWI
Power Integrations, Inc. designs, develops and markets analog and mixed-signal integrated circuits (ICs) and other electronic components and circuitry used in high-voltage power conversion. The Company’s products are used in power converters that convert electricity from a high-voltage source to the type of power required for a specified downstream use. Its ICs used in AC-DC power supply convert high-voltage AC from a wall outlet to the low-voltage DC required by electronic devices. It offers a range of products, such asTOPSwitch, TinySwitch, LinkSwitch, DPA-Switch, EcoSmart, Hiper, Qspeed, InnoSwitch, BridgeSwitch, SCALE, SCALE-II, SCALE-III, SCALE-iDriver, PeakSwitch, CAPZero, SENZero, ChiPhy, FluxLink, CONCEPT, PI Expert and Motor-Expert. It also offers automotive-qualified versions of certain products, such as InnoSwitch ICs, for use in electric vehicles (EVs). Its portfolio of power-conversion products generally addresses power supplies up to about 500 watts of output.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Power Integrations Dividend and Volatility Analysis
- Dividend Yield Expectation: Power Integrations Inc. has a recent dividend yield of 1.8%, based on historical profitability fluctuations, indicating that the sustainability of future dividends remains uncertain, particularly in light of earnings volatility.
- Historical Volatility Analysis: With a trailing twelve-month volatility of 54% calculated from the last 251 trading days, this high volatility may affect investors' risk assessments, especially when considering selling covered calls at the $55 strike price.
- Options Trading Dynamics: As of Tuesday afternoon, the put volume among S&P 500 components reached 871,581 contracts, while call volume stood at 1.67 million, resulting in a put:call ratio of 0.52, indicating a preference for calls among investors, which may reflect optimism about stock price increases.
- Options Market Trends: The current high call volume, compared to the long-term median put:call ratio of 0.65, suggests that investors are leaning towards bullish positions in options trading, potentially influencing future market trends and investment strategies.
See More
Former Power Integrations CEO Sells Shares Amid Market Fluctuations
- Transaction Overview: Former CEO Balu Balakrishnan reported the indirect sale of 11,363 shares on February 9 and 10, 2026, for approximately $532,000, indicating his ongoing activity in the company's stock market transactions.
- Holding Proportion Analysis: This sale represented 1.93% of his indirect holdings, leaving him with 576,256 shares post-transaction, suggesting sustained confidence in the company's future while maintaining shares through a trust structure.
- Price Comparison to Market: The weighted average sale price of $46.82 per share was only 2.5% above the market close of $45.66 on February 10, 2026, reflecting that the transaction price was closely aligned with prevailing market levels.
- Company Outlook: Despite a 2% year-over-year decline in fourth-quarter sales to $103.2 million, CEO Jen Lloyd noted that macro trends like AI data centers and electrification will drive demand, suggesting that investors might consider increasing their positions at current price levels for long-term growth potential.
See More
Board Member Sells $532,000 in Stock
- Stock Sale Details: Board member Balu Balakrishnan sold 11,363 shares indirectly via a trust on February 9 and 10, 2026, for approximately $532,000 at an average price of $46.82 per share, representing 1.93% of his total indirect holdings.
- Holding Changes: Following this transaction, Balakrishnan's indirect holdings decreased from 587,619 to 576,256 shares, indicating consistency in routine portfolio management without signaling any negative implications for the company's fundamentals.
- Company Performance Overview: Power Integrations reported a 2% year-over-year decline in fourth-quarter sales to $103.2 million, with Q1 revenue forecasted between $104 million and $109 million, potentially falling short of last year's $105.5 million if it hits the lower end.
- Market Outlook Analysis: Although the stock price is significantly below the 52-week high of $68.20, CEO Jen Lloyd noted that the addressable market continues to expand due to macro trends like AI data centers and electrification, suggesting long-term growth potential remains intact.
See More
Power Integrations Announces Quarterly Dividend Increase
- Dividend Increase: Power Integrations has declared a quarterly dividend of $0.215 per share, marking a 2.4% increase from the previous dividend of $0.210, which indicates the company's ongoing improvement in cash flow and profitability, thereby boosting investor confidence.
- Yield Metrics: The forward yield of 1.82% reflects the company's attractiveness in the current market environment, potentially drawing in more investors seeking stable returns, which could further enhance shareholder value.
- Payment Schedule: The dividend is payable on March 31, with a record date of February 27 and an ex-dividend date also set for February 27, ensuring that eligible shareholders receive their earnings promptly, thereby strengthening the trust relationship between the company and its investors.
- Restructuring Focus: While Power Integrations is reducing its workforce by 7% to focus on cost control, it remains committed to industrial growth, demonstrating its strategic determination to optimize operations and enhance efficiency.
See More
Power Integrations Q4 2025 Earnings Call Insights
- Financial Overview: Power Integrations reported Q4 2025 revenue of $103 million and non-GAAP EPS of $0.23, reflecting a 13% decline from the previous quarter, yet overall performance met expectations, demonstrating resilience amid market challenges.
- Restructuring and Cost Control: The company announced a 7% global workforce reduction to better align expenses with revenue, aiming to create flexibility for investments in products, people, and markets to generate long-term shareholder value.
- Market Outlook and Challenges: While improved bookings in industrial markets are expected to make it the fastest-growing segment in 2026, consumer demand continues to face headwinds from low existing home sales in the U.S., tariff impacts, and ongoing softness in the Chinese housing market.
- Strategic Investments and Future Planning: Strategic investments in high-power, automotive, and AI data center applications are seen as key to long-term value creation, although management maintains a cautious approach to 2026 investments, emphasizing operational discipline until demand clarity is achieved.
See More
Power Integrations to Announce Q4 Earnings on February 5
- Earnings Announcement Date: Power Integrations is set to release its Q4 earnings on February 5 after market close, with a consensus EPS estimate of $0.19, reflecting a significant year-over-year decline of 36.7%, indicating potential market challenges ahead.
- Revenue Expectations: The consensus revenue estimate stands at $103.02 million, down 2.1% year-over-year, suggesting that Power Integrations may face headwinds in maintaining growth in a competitive semiconductor landscape.
- Historical Performance: Over the past two years, Power Integrations has exceeded EPS estimates 100% of the time and revenue estimates 88% of the time, demonstrating a track record of financial reliability and stability.
- Market Sentiment: Despite the challenges, Susquehanna holds a bullish outlook on semiconductor stocks, which could positively influence Power Integrations' stock price, especially in the lead-up to the upcoming earnings report.
See More
Power Integrations Dividend and Volatility Analysis
- Dividend Yield Expectation: Power Integrations Inc. has a recent dividend yield of 1.8%, based on historical profitability fluctuations, indicating that the sustainability of future dividends remains uncertain, particularly in light of earnings volatility.
- Historical Volatility Analysis: With a trailing twelve-month volatility of 54% calculated from the last 251 trading days, this high volatility may affect investors' risk assessments, especially when considering selling covered calls at the $55 strike price.
- Options Trading Dynamics: As of Tuesday afternoon, the put volume among S&P 500 components reached 871,581 contracts, while call volume stood at 1.67 million, resulting in a put:call ratio of 0.52, indicating a preference for calls among investors, which may reflect optimism about stock price increases.
- Options Market Trends: The current high call volume, compared to the long-term median put:call ratio of 0.65, suggests that investors are leaning towards bullish positions in options trading, potentially influencing future market trends and investment strategies.
See More
Former Power Integrations CEO Sells Shares Amid Market Fluctuations
- Transaction Overview: Former CEO Balu Balakrishnan reported the indirect sale of 11,363 shares on February 9 and 10, 2026, for approximately $532,000, indicating his ongoing activity in the company's stock market transactions.
- Holding Proportion Analysis: This sale represented 1.93% of his indirect holdings, leaving him with 576,256 shares post-transaction, suggesting sustained confidence in the company's future while maintaining shares through a trust structure.
- Price Comparison to Market: The weighted average sale price of $46.82 per share was only 2.5% above the market close of $45.66 on February 10, 2026, reflecting that the transaction price was closely aligned with prevailing market levels.
- Company Outlook: Despite a 2% year-over-year decline in fourth-quarter sales to $103.2 million, CEO Jen Lloyd noted that macro trends like AI data centers and electrification will drive demand, suggesting that investors might consider increasing their positions at current price levels for long-term growth potential.
See More
Board Member Sells $532,000 in Stock
- Stock Sale Details: Board member Balu Balakrishnan sold 11,363 shares indirectly via a trust on February 9 and 10, 2026, for approximately $532,000 at an average price of $46.82 per share, representing 1.93% of his total indirect holdings.
- Holding Changes: Following this transaction, Balakrishnan's indirect holdings decreased from 587,619 to 576,256 shares, indicating consistency in routine portfolio management without signaling any negative implications for the company's fundamentals.
- Company Performance Overview: Power Integrations reported a 2% year-over-year decline in fourth-quarter sales to $103.2 million, with Q1 revenue forecasted between $104 million and $109 million, potentially falling short of last year's $105.5 million if it hits the lower end.
- Market Outlook Analysis: Although the stock price is significantly below the 52-week high of $68.20, CEO Jen Lloyd noted that the addressable market continues to expand due to macro trends like AI data centers and electrification, suggesting long-term growth potential remains intact.
See More
Power Integrations Announces Quarterly Dividend Increase
- Dividend Increase: Power Integrations has declared a quarterly dividend of $0.215 per share, marking a 2.4% increase from the previous dividend of $0.210, which indicates the company's ongoing improvement in cash flow and profitability, thereby boosting investor confidence.
- Yield Metrics: The forward yield of 1.82% reflects the company's attractiveness in the current market environment, potentially drawing in more investors seeking stable returns, which could further enhance shareholder value.
- Payment Schedule: The dividend is payable on March 31, with a record date of February 27 and an ex-dividend date also set for February 27, ensuring that eligible shareholders receive their earnings promptly, thereby strengthening the trust relationship between the company and its investors.
- Restructuring Focus: While Power Integrations is reducing its workforce by 7% to focus on cost control, it remains committed to industrial growth, demonstrating its strategic determination to optimize operations and enhance efficiency.
See More
Power Integrations Q4 2025 Earnings Call Insights
- Financial Overview: Power Integrations reported Q4 2025 revenue of $103 million and non-GAAP EPS of $0.23, reflecting a 13% decline from the previous quarter, yet overall performance met expectations, demonstrating resilience amid market challenges.
- Restructuring and Cost Control: The company announced a 7% global workforce reduction to better align expenses with revenue, aiming to create flexibility for investments in products, people, and markets to generate long-term shareholder value.
- Market Outlook and Challenges: While improved bookings in industrial markets are expected to make it the fastest-growing segment in 2026, consumer demand continues to face headwinds from low existing home sales in the U.S., tariff impacts, and ongoing softness in the Chinese housing market.
- Strategic Investments and Future Planning: Strategic investments in high-power, automotive, and AI data center applications are seen as key to long-term value creation, although management maintains a cautious approach to 2026 investments, emphasizing operational discipline until demand clarity is achieved.
See More
Power Integrations to Announce Q4 Earnings on February 5
- Earnings Announcement Date: Power Integrations is set to release its Q4 earnings on February 5 after market close, with a consensus EPS estimate of $0.19, reflecting a significant year-over-year decline of 36.7%, indicating potential market challenges ahead.
- Revenue Expectations: The consensus revenue estimate stands at $103.02 million, down 2.1% year-over-year, suggesting that Power Integrations may face headwinds in maintaining growth in a competitive semiconductor landscape.
- Historical Performance: Over the past two years, Power Integrations has exceeded EPS estimates 100% of the time and revenue estimates 88% of the time, demonstrating a track record of financial reliability and stability.
- Market Sentiment: Despite the challenges, Susquehanna holds a bullish outlook on semiconductor stocks, which could positively influence Power Integrations' stock price, especially in the lead-up to the upcoming earnings report.
See More
