According to a recent SEC filing, Director CHANG KUO WEI HERBERT of Monolithic Power Systems Inc (NASDAQ:MPWR) sold 200 shares of the company’s stock on August 15, 2024. Following this transaction, the insider now owns 541 shares of the company’s stock.

Monolithic Power Systems Inc (NASDAQ:MPWR) specializes in the development and marketing of integrated power semiconductor solutions and power architectures. The company’s products are used in a wide variety of applications, including consumer electronics, cloud computing and automotive.

Over the past year, CHANG KUO WEI HERBERT has sold a total of 2,100 shares and purchased no shares of the company. This recent sale is part of a broader trend seen within the company. Over the past year, there were 81 insider sales and no insider purchases.

On the day of the last transaction, Monolithic Power Systems Inc.’s share price was $893.44, giving the company a market capitalization of approximately $44.89 billion. The price-to-earnings ratio was 109.61, well above the industry median of 29.07 and the company’s historical median.

According to GF Value, Monolithic Power Systems Inc.’s intrinsic value is estimated at $629.64 per share, suggesting that the stock is significantly overvalued with a Price to GF Value ratio of 1.42.

The GF value is calculated based on historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio and price-free cash flow, adjusted for the company’s past performance and expected future business results.

This insider sale may be of interest to investors who follow insider behavior as an indicator of the level of confidence in the company’s current valuation and future prospects.

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