What is Power Integrations Earnings Yield (Joel Greenblatt) %?
Power Integrations's Enterprise Value for the quarter that ended in Dec. 2023 was $4,347.2 Mil.
Power Integrations's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 was $35.1 Mil. Power Integrations's Earnings Yield (Joel Greenblatt) for the quarter that ended in Dec. 2023 was 0.81%.
The historical rank and industry rank for Power Integrations's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:
POWI'
s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: -1.91 Med: 2.91 Max: 6.24
Current: 1
During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Power Integrations was 6.24%. The lowest was -1.91%. And the median was 2.91%.
POWI's Earnings Yield (Joel Greenblatt) % is ranked worse than 59.28% of 997
companies
in the Semiconductors industry
Industry Median: 2.04
vs POWI: 1.00
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Power Integrations's Forward Rate of Return (Yacktman) % for the quarter that ended in Dec. 2023 was 22.60%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.
Power Integrations Earnings Yield (Joel Greenblatt) % Historical Data
The historical data trend for Power Integrations's Earnings Yield (Joel Greenblatt) % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Power Integrations Earnings Yield (Joel Greenblatt) % Chart
Competitive Comparison of Power Integrations's Earnings Yield (Joel Greenblatt) %
For the Semiconductors subindustry, Power Integrations's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Power Integrations's Earnings Yield (Joel Greenblatt) % Distribution in the Semiconductors Industry
For the Semiconductors industry and Technology sector, Power Integrations's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where Power Integrations's Earnings Yield (Joel Greenblatt) % falls into.
Power Integrations Earnings Yield (Joel Greenblatt) % Calculation
In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.
Power Integrationss Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2023 is calculated as
Power Integrations's EBIT for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $35.1 Mil.
Power Integrations (NAS:POWI) Earnings Yield (Joel Greenblatt) % Explanation
Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.
Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.
Be Aware
Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.
Power Integrations Earnings Yield (Joel Greenblatt) % Related Terms
Thank you for viewing the detailed overview of Power Integrations's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.
Power Integrations (Power Integrations) Business Description
Power Integrations Inc design, develop and market analog and mixed-signal integrated circuits (ICs) and other electronic components and circuitry used in high-voltage power conversion. Products are used in power converters that convert electricity from a high-voltage source to the type of power required for a specified downstream use. Products are used in electronic products including mobile phones, computing and networking equipment, appliances, electronic utility meters, battery-powered tools, industrial controls, and home-automation, or internet of things applications such as networked thermostats, power strips and security devices. Geographically, revenue is generated in China and Hong Kong.
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