In this paper, based on our previous study regarding the temperature-dependent yield strength for metallic materials and the existing strengthening theories, a physics-based temperature dependent compressive yield strength model for short fiber reinforced magnesium alloy matrix composites was developed. This model was verified by comparison with the experimental data of seven types of magnesium alloy matrix composites. Good agreement between the model predictions and the experimental data was obtained, which fully validates the reasonability of the present model. Moreover, based on the model and the existing material parameters, the influencing factor analysis for short fiber reinforced magnesium alloy matrix composites was systematically conducted. Some novel insights regarding the control mechanism of their temperature dependent compressive yield strengths were provided.