Latest Ratios: P/E Ratio 187.2x · EV/EBITDA 81.0x · ROE 3.1%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.1B | $2.0B | $3.5B | $4.7B | $4.2B | $5.7B | $5.0B | $2.9B | $1.8B | $2.2B | $2.0B |
| Enterprise Value | $4.0B | $1.9B | $3.5B | $4.7B | $4.1B | $5.6B | $4.7B | $2.8B | $1.7B | $2.2B | $1.9B |
| P/E Ratio → | 187.15 | 91.13 | 110.18 | 84.65 | 24.48 | 34.79 | 69.97 | 15.27 | 26.28 | 81.73 | 40.87 |
| P/S Ratio | 9.17 | 4.51 | 8.41 | 10.64 | 6.43 | 8.12 | 10.20 | 7.01 | 4.42 | 5.20 | 5.19 |
| P/B Ratio | 6.11 | 2.98 | 4.70 | 6.29 | 5.54 | 6.26 | 6.15 | 4.07 | 3.49 | 4.10 | 4.12 |
| P/FCF | 46.68 | 22.98 | 55.17 | 105.43 | 23.77 | 31.10 | 90.49 | 14.79 | 31.49 | 45.35 | 23.45 |
| P/OCF | 36.47 | 17.95 | 43.42 | 71.95 | 19.44 | 24.73 | 39.64 | 13.14 | 21.89 | 27.39 | 20.52 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.38 | 8.36 | 10.54 | 6.29 | 7.92 | 9.67 | 6.59 | 4.10 | 4.99 | 5.03 |
| EV / EBITDA | 81.02 | 39.27 | 66.69 | 64.68 | 18.81 | 26.53 | 47.89 | 11.48 | 21.35 | 26.23 | 27.30 |
| EV / EBIT | 186.90 | 92.62 | 195.33 | 133.62 | 22.70 | 31.83 | 66.99 | 57.66 | 30.63 | 35.71 | 39.84 |
| EV / FCF | — | 22.30 | 54.81 | 104.40 | 23.25 | 30.35 | 85.79 | 13.90 | 29.19 | 43.46 | 22.72 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 54.5% | 54.5% | 53.6% | 51.5% | 56.3% | 51.3% | 49.9% | 50.7% | 51.6% | 49.5% | 49.3% |
| Operating Margin | 4.8% | 4.8% | 4.3% | 7.9% | 27.7% | 24.9% | 14.4% | 51.6% | 13.4% | 13.3% | 12.4% |
| Net Profit Margin | 5.0% | 5.0% | 7.7% | 12.5% | 26.2% | 23.4% | 14.6% | 46.0% | 16.8% | 6.4% | 12.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 3.1% | 3.1% | 4.3% | 7.4% | 20.5% | 19.1% | 9.3% | 30.9% | 13.0% | 5.3% | 10.4% |
| ROA | 2.8% | 2.8% | 3.9% | 6.7% | 18.4% | 17.1% | 8.3% | 27.8% | 11.6% | 4.7% | 9.2% |
| ROIC | 2.4% | 2.4% | 1.9% | 3.8% | 18.8% | 19.8% | 9.6% | 34.7% | 9.9% | 9.8% | 9.4% |
| ROCE | 2.9% | 2.9% | 2.3% | 4.5% | 20.9% | 19.6% | 8.8% | 33.5% | 10.0% | 10.8% | 10.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 0.04 | 0.02 | 0.02 | 0.02 | — | — | — | — | — |
| Debt / EBITDA | — | — | 0.54 | 0.24 | 0.07 | 0.09 | — | — | — | — | — |
| Net Debt / Equity | — | -0.09 | -0.03 | -0.06 | -0.12 | -0.15 | -0.32 | -0.25 | -0.25 | -0.17 | -0.13 |
| Net Debt / EBITDA | -1.19 | -1.19 | -0.43 | -0.64 | -0.42 | -0.66 | -2.63 | -0.74 | -1.68 | -1.14 | -0.87 |
| Debt / FCF | — | -0.67 | -0.36 | -1.04 | -0.52 | -0.75 | -4.70 | -0.90 | -2.30 | -1.89 | -0.72 |
| Interest Coverage | — | — | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($59M) exceeds total debt ($0)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 6.51 | 6.51 | 9.29 | 10.47 | 8.99 | 9.50 | 9.62 | 10.72 | 6.87 | 7.14 | 5.32 |
| Quick Ratio | 4.14 | 4.14 | 6.30 | 7.13 | 6.67 | 8.12 | 7.97 | 8.93 | 5.20 | 6.02 | 4.44 |
| Cash Ratio | 3.55 | 3.55 | 5.42 | 6.38 | 6.06 | 7.33 | 7.18 | 8.14 | 4.73 | 5.54 | 4.18 |
| Asset Turnover | — | 0.57 | 0.51 | 0.54 | 0.78 | 0.69 | 0.54 | 0.52 | 0.71 | 0.70 | 0.70 |
| Inventory Turnover | 1.21 | 1.21 | 1.17 | 1.32 | 2.10 | 3.45 | 2.38 | 2.29 | 2.49 | 3.82 | 3.73 |
| Days Sales Outstanding | — | 15.02 | 23.67 | 12.05 | 11.68 | 21.48 | 26.84 | 21.06 | 9.72 | 14.20 | 6.85 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.1% | 2.4% | 1.3% | 0.9% | 1.0% | 0.6% | 0.5% | 0.7% | 1.0% | 0.7% | 0.7% |
| Payout Ratio | 213.5% | 213.5% | 142.8% | 79.0% | 24.3% | 19.8% | 35.2% | 10.6% | 26.9% | 60.2% | 31.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 0.5% | 1.1% | 0.9% | 1.2% | 4.1% | 2.9% | 1.4% | 6.6% | 3.8% | 1.2% | 2.4% |
| FCF Yield | 2.1% | 4.4% | 1.8% | 0.9% | 4.2% | 3.2% | 1.1% | 6.8% | 3.2% | 2.2% | 4.3% |
| Buyback Yield | 2.4% | 4.9% | 0.8% | 1.2% | 7.4% | 1.3% | 0.1% | 0.2% | 5.6% | 0.4% | 0.3% |
| Total Shareholder Yield | 3.6% | 7.3% | 2.1% | 2.1% | 8.4% | 1.9% | 0.6% | 0.9% | 6.6% | 1.1% | 1.1% |
| Shares Outstanding | — | $56M | $57M | $58M | $58M | $61M | $61M | $60M | $60M | $61M | $59M |
Consumer electronics cyclicality exposure
Based on current market data, POWI trades at a forward P/E of 59.50, which appears significantly disconnected from its recent earnings volatility and suggests investors are pricing in a recovery that has yet to manifest in the company's bottom-line performance relative to its analog peers.
The current valuation multiples, including an EV/EBITDA of 88.21, imply a growth premium that is difficult to justify given the recent contraction in operating margins. Investors should monitor whether this valuation reflects a genuine expectation of long-term GaN-driven expansion or merely a historical bias toward the company's past performance.
As reported in financial statements, POWI's ROIC has struggled to exceed 1.2% over the last ten quarters, indicating that the company is currently failing to generate returns on invested capital that meaningfully exceed its cost of capital during this period of cyclical demand weakness.
The decay in ROIC appears driven by the combination of margin compression and an asset base that has not yet been optimized for the current revenue environment. This trend warrants further investigation into whether the company's R&D-heavy strategy is yielding the expected long-term competitive advantages or if it is simply inflating the capital base without commensurate returns.
According to the provided quarterly data, the company's cash conversion cycle has remained elevated, reaching 245 days in 2026Q1, primarily driven by a persistent DIO that suggests significant inventory accumulation relative to the current pace of end-market sales and distribution channel demand.
The high DIO, consistently above 280 days, indicates that the company's inventory management is struggling to align with the volatile nature of its consumer-facing segments. This inefficiency ties up significant liquidity and increases the risk of future write-downs if product cycles shift faster than the current inventory turnover rate.
Based on reported figures, POWI maintains a current ratio of 6.88 as of 2026Q1, which provides a substantial liquidity cushion that appears designed to insulate the firm from the inherent volatility of its short-cycle semiconductor business model during periods of industry-wide demand contraction.
While this liquidity position is undeniably robust, it may also suggest a lack of immediate, high-return reinvestment opportunities for the company's cash reserves. Investors should monitor whether this capital remains idle or if management intends to deploy it toward strategic initiatives that could improve the company's long-term growth trajectory.
The P/E ratio is frequently misapplied to POWI because it fails to account for the significant non-cash impact of stock-based compensation, which often distorts net income and masks the company's true underlying cash-generating capacity during cyclical downturns in the consumer electronics sector.
Analysts should instead focus on free cash flow yield or EV/EBITDA adjusted for stock-based compensation to better understand the company's economic reality. Relying on P/E in this context risks overestimating the company's profitability during periods where accounting earnings are artificially suppressed by non-cash expenses.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying POWI stock.
Power Integrations, Inc.'s current P/E ratio is 187.2x. The historical average is 50.5x. This places it at the 100th percentile of its historical range.
Power Integrations, Inc.'s current EV/EBITDA is 81.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 29.1x.
Power Integrations, Inc.'s return on equity (ROE) is 3.1%. The historical average is 11.4%.
Based on historical data, Power Integrations, Inc. is trading at a P/E of 187.2x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Power Integrations, Inc.'s current dividend yield is 1.15% with a payout ratio of 213.5%.
Power Integrations, Inc. has 54.5% gross margin and 4.8% operating margin.