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ALAB vs. MPWR: A Head-to-Head Stock Comparison

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Here’s a clear look at ALAB and MPWR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

MPWR’s market capitalization of 36.32 billion USD is significantly greater than ALAB’s 14.97 billion USD, highlighting its more substantial market valuation.

With betas of 1.40 for ALAB and 1.19 for MPWR, both stocks show similar sensitivity to overall market movements.

SymbolALABMPWR
Company NameAstera Labs, Inc. Common StockMonolithic Power Systems, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSemiconductors
CEOJitendra MohanMichael R. Hsing
Price90.8 USD758.64 USD
Market Cap14.97 billion USD36.32 billion USD
Beta1.401.19
ExchangeNASDAQNASDAQ
IPO DateMarch 20, 2024November 19, 2004
ADRNoNo

Historical Performance

This chart compares the performance of ALAB and MPWR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ALAB vs. MPWR: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ALAB

4.43%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

ALAB’s Return on Equity of 4.43% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.

MPWR

66.71%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

MPWR’s Return on Equity of 66.71% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ALAB vs. MPWR: A comparison of their ROE against the Semiconductors industry benchmark.

Return on Invested Capital

ALAB

-4.25%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

ALAB has a negative Return on Invested Capital of -4.25%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

MPWR

50.69%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

MPWR’s Return on Invested Capital of 50.69% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.

ALAB vs. MPWR: A comparison of their ROIC against the Semiconductors industry benchmark.

Net Profit Margin

ALAB

8.44%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

ALAB’s Net Profit Margin of 8.44% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.

MPWR

76.59%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

MPWR’s Net Profit Margin of 76.59% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

ALAB vs. MPWR: A comparison of their Net Profit Margin against the Semiconductors industry benchmark.

Operating Profit Margin

ALAB

-4.45%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

ALAB has a negative Operating Profit Margin of -4.45%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

MPWR

25.67%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

An Operating Profit Margin of 25.67% places MPWR in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ALAB vs. MPWR: A comparison of their Operating Margin against the Semiconductors industry benchmark.

Profitability at a Glance

SymbolALABMPWR
Return on Equity (TTM)4.43%66.71%
Return on Assets (TTM)3.69%48.03%
Return on Invested Capital (TTM)-4.25%50.69%
Net Profit Margin (TTM)8.44%76.59%
Operating Profit Margin (TTM)-4.45%25.67%
Gross Profit Margin (TTM)75.76%55.37%

Financial Strength

Current Ratio

ALAB

13.92

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

ALAB’s Current Ratio of 13.92 is exceptionally high, placing it well outside the typical range for the Semiconductors industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

MPWR

4.92

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

MPWR’s Current Ratio of 4.92 aligns with the median group of the Semiconductors industry, indicating that its short-term liquidity is in line with its sector peers.

ALAB vs. MPWR: A comparison of their Current Ratio against the Semiconductors industry benchmark.

Debt-to-Equity Ratio

ALAB

--

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

Debt-to-Equity Ratio data for ALAB is currently unavailable.

MPWR

0.00

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

Falling into the lower quartile for the Semiconductors industry, MPWR’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ALAB vs. MPWR: A comparison of their D/E Ratio against the Semiconductors industry benchmark.

Interest Coverage Ratio

ALAB

--

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

Interest Coverage Ratio data for ALAB is currently unavailable.

MPWR

--

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

Interest Coverage Ratio data for MPWR is currently unavailable.

ALAB vs. MPWR: A comparison of their Interest Coverage against the Semiconductors industry benchmark.

Financial Strength at a Glance

SymbolALABMPWR
Current Ratio (TTM)13.924.92
Quick Ratio (TTM)13.263.67
Debt-to-Equity Ratio (TTM)--0.00
Debt-to-Asset Ratio (TTM)--0.00
Net Debt-to-EBITDA Ratio (TTM)4.76-0.97
Interest Coverage Ratio (TTM)----

Growth

The following charts compare key year-over-year (YoY) growth metrics for ALAB and MPWR. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ALAB vs. MPWR: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ALAB vs. MPWR: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ALAB vs. MPWR: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ALAB

0.00%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

ALAB currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

MPWR

0.74%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

MPWR’s Dividend Yield of 0.74% is consistent with its peers in the Semiconductors industry, providing a dividend return that is standard for its sector.

ALAB vs. MPWR: A comparison of their Dividend Yield against the Semiconductors industry benchmark.

Dividend Payout Ratio

ALAB

0.00%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

ALAB has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

MPWR

13.74%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

MPWR’s Dividend Payout Ratio of 13.74% is within the typical range for the Semiconductors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ALAB vs. MPWR: A comparison of their Payout Ratio against the Semiconductors industry benchmark.

Dividend at a Glance

SymbolALABMPWR
Dividend Yield (TTM)0.00%0.74%
Dividend Payout Ratio (TTM)0.00%13.74%

Valuation

Price-to-Earnings Ratio

ALAB

357.98

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

At 357.98, ALAB’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Semiconductors industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

MPWR

19.86

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

MPWR’s P/E Ratio of 19.86 is within the middle range for the Semiconductors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ALAB vs. MPWR: A comparison of their P/E Ratio against the Semiconductors industry benchmark.

Forward P/E to Growth Ratio

ALAB

10.80

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

MPWR

0.93

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

ALAB vs. MPWR: A comparison of their Forward PEG Ratio against the Semiconductors industry benchmark.

Price-to-Sales Ratio

ALAB

30.53

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

With a P/S Ratio of 30.53, ALAB trades at a valuation that eclipses even the highest in the Semiconductors industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

MPWR

15.22

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

MPWR’s P/S Ratio of 15.22 is in the upper echelon for the Semiconductors industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ALAB vs. MPWR: A comparison of their P/S Ratio against the Semiconductors industry benchmark.

Price-to-Book Ratio

ALAB

14.23

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

At 14.23, ALAB’s P/B Ratio is at an extreme premium to the Semiconductors industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

MPWR

11.11

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

MPWR’s P/B Ratio of 11.11 is in the upper tier for the Semiconductors industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

ALAB vs. MPWR: A comparison of their P/B Ratio against the Semiconductors industry benchmark.

Valuation at a Glance

SymbolALABMPWR
Price-to-Earnings Ratio (P/E, TTM)357.9819.86
Forward PEG Ratio (TTM)10.800.93
Price-to-Sales Ratio (P/S, TTM)30.5315.22
Price-to-Book Ratio (P/B, TTM)14.2311.11
Price-to-Free Cash Flow Ratio (P/FCF, TTM)138.4458.00
EV-to-EBITDA (TTM)-820.3255.74
EV-to-Sales (TTM)30.3514.96