Monolithic Power Systems (MPWR) slid 3.61% to $1,013.40 in Monday trading (March 30, 2026) as the market continued to discount uncertainty tied to the company’s restatement process and the “non-reliance” notice covering prior financial statements. The pullback looks driven more by risk-off positioning and incremental restatement headline sensitivity than by any fresh operating update from the company today.

On February 26, 2026, the company disclosed that its audit committee determined prior audited financial statements for 2024 and unaudited quarterly financial statements for 2025 should no longer be relied upon and will be restated, citing an unintentional deferred-tax accounting error tied to a one-time foreign tax incentive. The company characterized the adjustment as non-cash and said it does not change the business outlook previously disclosed for the quarter ending March 31, 2026, while also stating it does not affect certain operational metrics it uses to manage the business (including revenue and several non-GAAP measures).

The February 26 disclosure outlined that the restatement decreases income tax benefit and deferred income taxes by $195 million for 2024, with corresponding changes to net income and EPS for that year, while also describing a smaller adjustment to 2025 net income versus figures previously communicated for the year ended December 31, 2025. Even when changes are non-cash, “don’t rely” language can elevate perceived risk for investors in premium-multiple semiconductor names because it raises questions about controls, timelines, and potential knock-on effects.

Near-term focus is on execution: the timing of the restated filings, clarity on any identified control weaknesses and remediation steps, and whether the company’s auditor sign-off proceeds without further delay. Investors will also watch whether MPWR’s ongoing AI/data-center power demand tailwinds remain intact through the March quarter, but for now the tape is treating the restatement process as a key overhang on sentiment.