POWI has a history of above-market revenue growth – approximately twice the rate of the analog semiconductor market since 2001. The company generates substantial cash flow from operations, and its fabless manufacturing model requires only modest capital expenditures, resulting in healthy free cash flow. This in turn has enabled POWI to build a solid balance sheet and return considerable cash to investors through share repurchases and dividends.
Strong Balance Sheet, Returning Cash to Shareholders
- $250M cash and investments (as of December 31, 2016)
- No debt
- Quarterly dividend of $0.14/share
- Diluted share count down 8% since 2008 on share repurchases
Track Record of Growth and Strong Cash Generation
FCF=Cash flow from operations less capital expenditures