TacticScaleWhat Power Integrations Does & How It Makes Money (POWI)
Updated October 2026 · reflects Power Integrations's latest reported financials
Chipmaker specializing in high-voltage power conversion semiconductors. It sells power-conversion ICs, motor-driver ICs and gate-driver components to equipment makers and power-supply manufacturers.
How Power Integrations makes money
It sells power-conversion ICs, motor-driver ICs and gate-driver components to equipment makers and power-supply manufacturers. Sales go through its own direct sales team and through independent sales representatives and distributors around the world.
What Power Integrations does
Power Integrations, founded in 1988 and based in San Jose, California, designs, develops, manufactures and markets analog and mixed-signal ICs for high-voltage power conversion. Its AC-DC products cover power supplies up to about 500 watts, used in smartphones, tablets, computers, TVs, monitors, appliances, utility meters and LED lighting. It also makes motor-driver ICs for compressors, fans, pumps, dishwashers and laundry machines. In high-power markets, its SCALE and SCALE-2 gate drivers control IGBTs and silicon-carbide MOSFETs in industrial motors, solar and wind systems, electric locomotives and HVDC transmission. For electric vehicles it offers InnoSwitch and SCALE-iDriver for powertrain and charging applications. The company serves communications, computer, consumer and industrial customers. It sells to OEMs and merchant power-supply makers in the Americas, EMEA and Asia-Pacific.
Products & services
- InnoSwitch ICs
- SCALE and SCALE-2 gate drivers
- SCALE-iDriver
- AC-DC power conversion ICs
- Motor-driver ICs
What is Power Integrations worth?
On an owner-earnings DCF, Power Integrations's most-likely value is about $39 versus a recent price near $49 (21% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$17) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.
Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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