The reason William Blair is standing firm on Monolithic Power Systems, Inc. (MPWR)

Monolithic Power Systems, Inc. (NASDAQ:MPWR) is among the most profitable semiconductor stocks to buy. On November 3, 2025, Sebastien Naji, an analyst at William Blair, reaffirmed a ‘Buy’ rating on Monolithic Power Systems, Inc. (NASDAQ:MPWR), highlighting the company’s strong market presence and growth prospects. A testament to this stance is the company’s third-quarter results, which demonstrate a positive revision to its free cash flow outlook due to lower-than-anticipated capital expenditures.

As Monolithic Power Systems, Inc. (NASDAQ:MPWR) strategically expands into new product lines, particularly robotics sensors, the analyst emphasized the company’s innovation and diversification initiatives. Although revenue from China witnessed a dip, the company continues to maintain a strong position in regions such as Taiwan and the United States, Naji notes.

Despite risks like competition, revenue concentration in China, and the dynamics of the semiconductor industry, Monolithic Power Systems, Inc. (NASDAQ:MPWR) is set to benefit from the AI data center demand surge, according to Naji. This optimism is reinforced by TD Cowen analyst Joshua Buchalter, who maintained a “Buy” rating and increased the price target from $ 1,100 to $ 1,250 on October 31, 2025.

Monolithic Power Systems, Inc. (NASDAQ:MPWR) is a Washington-based company specializing in semiconductor-based power electronics solutions. Founded in 1997, the company serves a range of markets, including automotive, communications, and industrial.

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