Monolithic Power (MPWR) shares soared 5.54% in early trading on Thursday, as the stock extended pre-market gains driven by a broad semiconductor sector recovery and heightened expectations ahead of the company's quarterly results.

The rally was fueled by a widespread rebound across the chip industry, with peers such as Advanced Micro Devices, Intel, Micron Technology, NVIDIA, and SK hynix all posting notable advances. This sector-wide bounce helped ease selling pressure that had weighed on semiconductor stocks earlier in the week.

Investor sentiment was further bolstered by optimism surrounding Monolithic Power's upcoming second-quarter earnings report, scheduled for release after the closing bell. Consensus estimates project revenue of approximately $902 million, representing a 38.62% year-over-year increase. Oppenheimer reiterated an outperform rating and a $1,700 price target, citing AI-driven enterprise data and communications segments that are expected to nearly double this year. The average institutional price target stands at $1,795.45, reflecting a broadly bullish analyst consensus.