In a large bowl, combine the ground chicken, egg, panko, grated Parmesan, Italian seasoning, garlic powder, onion powder, and pepper; mix gently with your hands until just combined. The mixture will be wet.
Form the mixture into 1-inch meatballs (about 30) and place them on a parchment-lined baking sheet while you prepare to cook.
Microwave the softened cream cheese in 20–30 second intervals until very soft, then cut it into smaller pieces to help it melt evenly.
Heat 1 tablespoon of olive oil in a skillet over medium-high heat. Fry the meatballs in a single layer, working in two batches, turning frequently with tongs until browned on all sides, about 5 minutes per batch. Add remaining oil if needed.
Transfer the browned meatballs to a plate. If the skillet has excess oil, drain some, leaving the browned bits (do not wipe the pan).
Reduce the heat to medium. Add the chicken broth, ranch seasoning, minced garlic, and softened cream cheese to the skillet. Whisk and cook, stirring often, until the cream cheese melts into a smooth sauce, a few minutes. Add a splash more broth or water if the sauce becomes too thick.
Return the meatballs to the skillet and simmer for about 5 more minutes, stirring occasionally, until meatballs reach 165°F and are cooked through. Turn the heat down if the sauce is vigorously bubbling.
Stir in the chopped parsley, then serve immediately.