Power Integrations (POWI) Q4 Results Highlight Inventory Headwinds; Analysts Eye Q1 Outlook

Power Integrations (POWI) reported Q4 revenue in line with expectations but shares fell, reflecting headwinds in appliance and housing markets and excess U.S. appliance inventory. CEO Jennifer Lloyd attributed the YoY sales decline to tariffs, softness in China housing, and low existing home sales. The company is controlling expenses and restructuring to manage pressure. Analysts will closely watch inventory normalization in channels and finished goods, growth in industrial and high-power products driven by electrification and renewables, and early traction in automotive and AI data centers. POWI closed at $48.51, up from $47.20 before the earnings.