Power Integrations (NASDAQ:POWI) Trading Down 7.1% - Here's What Happened

Power Integrations, Inc. (NASDAQ:POWI - Get Free Report)'s share price dropped 7.1% during trading on Tuesday . The stock traded as low as $55.36 and last traded at $55.14. Approximately 176,162 shares changed hands during trading, a decline of 57% from the average daily volume of 407,024 shares. The stock had previously closed at $59.37.

Analysts Set New Price Targets

POWI has been the subject of several recent research reports. Benchmark reiterated a "buy" rating and set a $78.00 target price on shares of Power Integrations in a research report on Friday, February 7th. StockNews.com lowered shares of Power Integrations from a "buy" rating to a "hold" rating in a report on Friday, March 7th. Three analysts have rated the stock with a hold rating, four have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $78.00.

Power Integrations Trading Down 0.8 %

The stock has a market capitalization of $3.20 billion, a price-to-earnings ratio of 98.32, a price-to-earnings-growth ratio of 4.08 and a beta of 1.11. The stock's 50 day moving average is $61.09 and its two-hundred day moving average is $62.34.

Power Integrations (NASDAQ:POWI - Get Free Report) last issued its quarterly earnings results on Thursday, February 6th. The semiconductor company reported $0.16 EPS for the quarter, missing the consensus estimate of $0.28 by ($0.12). Power Integrations had a return on equity of 4.48% and a net margin of 7.69%. On average, research analysts anticipate that Power Integrations, Inc. will post 0.93 earnings per share for the current year.

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Power Integrations Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, February 28th will be given a dividend of $0.21 per share. The ex-dividend date is Friday, February 28th. This represents a $0.84 annualized dividend and a yield of 1.50%. Power Integrations's dividend payout ratio (DPR) is presently 147.37%.

Insiders Place Their Bets

In other news, CFO Sandeep Nayyar sold 1,877 shares of the company's stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $58.01, for a total value of $108,884.77. Following the sale, the chief financial officer now directly owns 112,653 shares of the company's stock, valued at approximately $6,535,000.53. This represents a 1.64 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Balu Balakrishnan sold 12,507 shares of the company's stock in a transaction dated Tuesday, February 4th. The shares were sold at an average price of $60.64, for a total transaction of $758,424.48. Following the completion of the sale, the chief executive officer now directly owns 600,002 shares in the company, valued at approximately $36,384,121.28. The trade was a 2.04 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 39,544 shares of company stock valued at $2,433,105 in the last three months. 1.70% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Power Integrations

Institutional investors and hedge funds have recently modified their holdings of the company. Smartleaf Asset Management LLC raised its holdings in Power Integrations by 110.6% in the 4th quarter. Smartleaf Asset Management LLC now owns 537 shares of the semiconductor company's stock valued at $33,000 after acquiring an additional 282 shares during the period. Versant Capital Management Inc raised its holdings in Power Integrations by 1,618.2% in the 4th quarter. Versant Capital Management Inc now owns 567 shares of the semiconductor company's stock valued at $35,000 after acquiring an additional 534 shares during the period. UMB Bank n.a. raised its holdings in Power Integrations by 43.9% in the 4th quarter. UMB Bank n.a. now owns 629 shares of the semiconductor company's stock valued at $39,000 after acquiring an additional 192 shares during the period. Quadrant Capital Group LLC raised its holdings in Power Integrations by 133.2% in the 4th quarter. Quadrant Capital Group LLC now owns 674 shares of the semiconductor company's stock valued at $42,000 after acquiring an additional 385 shares during the period. Finally, Johnson Financial Group Inc. bought a new position in Power Integrations in the 4th quarter valued at about $51,000.

About Power Integrations

Power Integrations, Inc designs, develops, manufactures, and markets analog and mixed-signal integrated circuits (ICs), and other electronic components and circuitry used in high-voltage power conversion worldwide. The company provides a range of alternating current to direct current power conversion products that address power supply ranging from less than one watt of output to approximately 500 watts of output for mobile-device chargers, consumer appliances, utility meters, LCD monitors, main and standby power supplies for desktop computers and TVs, LED lighting, and various other consumer and industrial applications, as well as power conversion in high-power applications comprising industrial motors, solar and wind-power systems, electric vehicles, and high-voltage DC transmission systems.