Power Integrations, Inc. (POWI) Stock Price & How to Invest

Power Integrations designs and sells high-voltage analog and mixed-signal integrated circuits used in AC-DC and DC-DC power conversion. Its chips regulate and convert electricity inside phone chargers, appliances, LED lighting, industrial equipment, EV and renewable-energy systems, and data-center power supplies. The company is fabless (it outsources manufacturing), which supports gross margins in the low-to-mid 50 percent range, and it has invested heavily in PowiGaN, its in-house gallium-nitride technology that improves efficiency and shrinks power supplies versus older silicon parts.

The investment picture is a specialized, profitable franchise recovering off a cyclical trough. Full-year 2025 revenue was about $443 million, up roughly 6 percent, and quarterly results in early 2026 showed industrial demand leading the rebound while consumer categories stayed soft. PowiGaN revenue grew more than 40 percent for the year, signaling a mix shift toward higher-value products. The tension for investors is valuation: the stock carries a very high price-to-earnings multiple on GAAP earnings, so the market is pricing in a durable upcycle and continued GaN share gains rather than the low-single-digit growth reported most recently.

The June 2026 quarter kept that pattern. Revenue was about $118.9 million, up roughly 3% year over year and 10% sequentially, GAAP net income was about $9.8 million, and non-GAAP EPS of $0.37 beat the roughly $0.32 consensus. The share price has been far more volatile than the business: POWI closed at $45.31 on October 16, 2026, still up about 21.5% year to date but down roughly 39% over three months and about 4% over twelve months, inside a 52-week range of $30.86 to $91.18. Third-quarter results are scheduled for November 4, 2026, with consensus at about $0.41 of EPS on roughly $126 million of revenue, which would be growth of about 15% over the prior year.

Power Integrations is cyclical and heavily exposed to consumer electronics, so demand swings and customer inventory corrections can hit revenue sharply. Its valuation is demanding, with a GAAP price-to-earnings ratio near 103 and a forward multiple around 24, leaving little room for disappointment; the 39% fall in the three months to mid-October 2026 shows how fast that multiple can reset. Competition is intense from far larger power-semiconductor players including onsemi, Infineon, STMicroelectronics, NXP, and Texas Instruments, plus GaN-focused rivals such as Navitas. A large portion of sales flows through Asia, creating concentration, currency, and geopolitical exposure, and the GaN growth thesis could slow if adoption or pricing disappoints. Analysts expect 2027 revenue of about $545 million, roughly 35% above 2026 estimates, so the current price leans on a reacceleration that has not yet shown up in reported numbers.

4 analysts publish price targets on POWI, averaging $75.50 against a $44.50 price as of October 2026, or +69.7%. The published targets run from $65.00 to $85.00, a narrow spread, and the ratings split 3 buy, 2 hold, 0 sell. Over the last six months there have been 2 raises and 3 cuts among the published actions. A price target is what an analyst published on a date, not a prediction, and sell-side ratings skew positive across the whole market.

Read the full POWI forecast and price target for the target table, the recent rating actions by firm, and how the consensus has shifted.

We give no verdict on Power Integrations, Inc.. Both cases are real, which is why the question is contested at all, so here is the strongest version of each.

The case for buying. GaN (PowiGaN) adoption. Gallium-nitride parts are Power Integrations' key growth vector, offering higher efficiency and smaller form factors than legacy silicon. The most optimistic published target, $85.00, assumes this works close to its best case.

The case against. Power Integrations is cyclical and heavily exposed to consumer electronics, so demand swings and customer inventory corrections can hit revenue sharply. The most pessimistic target, $65.00, is roughly what POWI is worth if this bites instead.

Read the full bull and bear case on POWI, including what would have to change to break either one. Walnut is not an investment adviser.

Yes. Power Integrations, Inc. (POWI) has had one share split in the last 10 years:

• 2:1 on August 19, 2020, so every share held became 2 shares.

A split changes the share count and the price per share and leaves the value of a holding unchanged. Someone holding $1,000 of POWI the day before the 2:1 split held $1,000 the day after, in more shares at a proportionally lower price. Historical prices from before the date are normally shown split-adjusted, which is why a long-run chart shows no cliff.

Splits matter mainly because they make older price figures confusing to compare by hand, and because a board choosing to split is usually signalling that the price has run up far enough to feel awkward for smaller buyers. Neither is a reason to buy or sell.

A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Power Integrations, Inc.'s investor relations page or your broker.

• Revenue (TTM): ~$449M, latest quarter up ~3% YoY
• Q2 2026 revenue: ~$119M (up ~10% sequentially)
• Margins: Gross ~53.7%, operating ~7.5%
• Non-GAAP EPS (Q2 2026): $0.37 vs ~$0.32 expected
• P/E ratio: ~103x trailing GAAP, ~24x forward
• Dividend yield: ~1.9% ($0.86 annual)
• Market cap: ~$2.5B; no debt, ~$263M cash

As of mid-October 2026 the stock trades near $45, down from the mid-$70s in July and roughly half its 52-week high of $91.18, though still well above the low near $31. Revenue is growing in the low single digits off a cyclical trough while GAAP earnings remain depressed (trailing net income about $25 million), which is why the reported price-to-earnings multiple is extremely high. Consensus looks for 2026 EPS of about $1.39 and 2027 EPS of about $1.87, and Q3 results land November 4, 2026.

Other names that sit close to POWI: same theme, named as a direct competitor, or held beside it in the same funds. Each entry says which. Worth a look if you are thinking about diversification within a thesis rather than concentration on one ticker.

There are three common ways to get POWI exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic portfolio, so POWI sits alongside other stocks that express the same thesis.

Walnut takes the portfolio route. Describe a thesis where POWI fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.

New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.

POWI is a high-margin, cash-generative power-semiconductor specialist whose story hinges on GaN, industrial and data-center growth outrunning a premium valuation. Even after a sharp late-summer sell-off it trades near 24 times forward earnings and over 100 times trailing GAAP earnings.

Whether POWI is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is POWI a buy or a sell?, and where the stock could go from here in the POWI stock forecast.

For income investors, whether POWI pays a dividend and how the payout looks is covered in does POWI pay a dividend? And to weigh POWI against a peer, read the full side-by-side comparisons: POWI vs ON and POWI vs STM.