(MCHP) Microchip Technology - Overview
Exchange: NASDAQ •
Country: United States •
Currency: USD •
Type: Common Stock •
ISIN: US5950171042
Stock: Microcontrollers, Analog, FPGA, Memory, Licensing
Total Rating 43
Risk 80
Buy Signal -0.08
| Risk 5d forecast | |
|---|---|
| Volatility | 44.7% |
| Relative Tail Risk | -9.12% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.63 |
| Alpha | -12.51 |
| Character TTM | |
|---|---|
| Beta | 2.286 |
| Beta Downside | 2.623 |
| Drawdowns 3y | |
|---|---|
| Max DD | 63.77% |
| CAGR/Max DD | -0.08 |
EPS (Earnings per Share)
Revenue
Description: MCHP Microchip Technology March 02, 2026
Microchip Technology Inc. (NASDAQ: MCHP) designs, manufactures and sells a broad portfolio of embedded control solutions-including 8-, 16-, 32- and 64-bit microcontrollers, mixed-signal microprocessors, analog power-management ICs, RF and wireless interfaces, memory devices, and FPGA-based offerings-serving automotive, industrial, communications, computing, and aerospace markets worldwide. The business operates through two primary segments: Semiconductor Products and Technology Licensing, the latter monetizing its SuperFlash non-volatile memory IP and engineering services.
In the latest quarter (Q2 2024), Microchip reported revenue of $1.51 billion, up 12% year-over-year, driven by strong demand for automotive microcontrollers and IoT-focused analog products. Gross margin improved to 58.3%, while R&D expenses remained steady at roughly 15% of revenue, underscoring continued investment in AI-edge and low-power technologies. The semiconductor sector’s broader tailwinds-rising electric-vehicle production, expanding 5G infrastructure, and a resilient U.S. dollar-strengthened export environment-are supporting Microchip’s growth outlook.
For a deeper dive into Microchip’s valuation metrics and competitive positioning, you may want to explore the analysis on ValueRay.
Headlines to watch out for
- Global microcontroller demand impacts Semiconductor Products segment revenue
- Automotive and industrial sector growth drives embedded control solutions
- Technology Licensing revenue fluctuates with intellectual property demand
- Semiconductor supply chain disruptions increase production costs
- Competition in embedded control solutions pressures pricing
Piotroski VR‑10 (Strict, 0-10) 3.5
| Net Income: -96.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -0.48 > 1.0 |
| NWC/Revenue: 28.16% < 20% (prev 35.01%; Δ -6.85% < -1%) |
| CFO/TA 0.06 > 3% & CFO 911.0m > Net Income -96.6m |
| Net Debt (5.15b) to EBITDA (887.0m): 5.81 < 3 |
| Current Ratio: 2.16 > 1.5 & < 3 |
| Outstanding Shares: last quarter (545.5m) vs 12m ago 1.51% < -2% |
| Gross Margin: 51.57% > 18% (prev 0.58%; Δ 5.10k% > 0.5%) |
| Asset Turnover: 29.19% > 50% (prev 30.43%; Δ -1.24% > 0%) |
| Interest Coverage Ratio: 0.78 > 6 (EBITDA TTM 887.0m / Interest Expense TTM 237.5m) |
Altman Z'' 2.48
| A: 0.09 (Total Current Assets 2.29b - Total Current Liabilities 1.06b) / Total Assets 14.33b |
| B: 0.35 (Retained Earnings 5.05b / Total Assets 14.33b) |
| C: 0.01 (EBIT TTM 184.4m / Avg Total Assets 14.98b) |
| D: 0.65 (Book Value of Equity 5.04b / Total Liabilities 7.77b) |
| Altman-Z'' Score: 2.48 = A |
Beneish M -3.08
| DSRI: 0.93 (Receivables 731.2m/857.2m, Revenue 4.37b/4.76b) |
| GMI: 1.12 (GM 51.57% / 57.95%) |
| AQI: 1.04 (AQ_t 0.76 / AQ_t-1 0.73) |
| SGI: 0.92 (Revenue 4.37b / 4.76b) |
| TATA: -0.07 (NI -96.6m - CFO 911.0m) / TA 14.33b) |
| Beneish M-Score: -3.08 (Cap -4..+1) = AA |
What is the price of MCHP shares?
As of March 22, 2026, the stock is trading at USD 62.97 with a total of 12,514,858 shares traded.
Over the past week, the price has changed by +1.66%, over one month by -18.51%, over three months by -4.38% and over the past year by +27.16%.
Over the past week, the price has changed by +1.66%, over one month by -18.51%, over three months by -4.38% and over the past year by +27.16%.
Is MCHP a buy, sell or hold?
Microchip Technology has received a consensus analysts rating of 4.25.
Therefore, it is recommended to buy MCHP.
- StrongBuy: 13
- Buy: 4
- Hold: 7
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the MCHP price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 86.7 | 37.6% |
| Analysts Target Price | 86.7 | 37.6% |
MCHP Fundamental Data Overview March 21, 2026
P/E Forward = 24.7525
P/S = 7.8329
P/B = 5.2205
P/EG = 0.7853
Revenue TTM = 4.37b USD
EBIT TTM = 184.4m USD
EBITDA TTM = 887.0m USD
Long Term Debt = 5.37b USD (from longTermDebt, last quarter)
Short Term Debt = 38.6m USD (from shortTermDebt, last quarter)
Debt = 5.40b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.15b USD (from netDebt column, last quarter)
Enterprise Value = 39.40b USD (34.25b + Debt 5.40b - CCE 250.7m)
Interest Coverage Ratio = 0.78 (Ebit TTM 184.4m / Interest Expense TTM 237.5m)
EV/FCF = 48.06x (Enterprise Value 39.40b / FCF TTM 819.9m)
FCF Yield = 2.08% (FCF TTM 819.9m / Enterprise Value 39.40b)
FCF Margin = 18.75% (FCF TTM 819.9m / Revenue TTM 4.37b)
Net Margin = -2.21% (Net Income TTM -96.6m / Revenue TTM 4.37b)
Gross Margin = 51.57% ((Revenue TTM 4.37b - Cost of Revenue TTM 2.12b) / Revenue TTM)
Gross Margin QoQ = 59.60% (prev 41.23%)
Tobins Q-Ratio = 2.75 (Enterprise Value 39.40b / Total Assets 14.33b)
Interest Expense / Debt = 1.03% (Interest Expense 55.9m / Debt 5.40b)
Taxrate = 33.01% (30.9m / 93.6m)
NOPAT = 123.5m (EBIT 184.4m * (1 - 33.01%))
Current Ratio = 2.16 (Total Current Assets 2.29b / Total Current Liabilities 1.06b)
Debt / Equity = 0.82 (Debt 5.40b / totalStockholderEquity, last quarter 6.56b)
Debt / EBITDA = 5.81 (Net Debt 5.15b / EBITDA 887.0m)
Debt / FCF = 6.29 (Net Debt 5.15b / FCF TTM 819.9m)
Total Stockholder Equity = 6.80b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.64% (Net Income -96.6m / Total Assets 14.33b)
RoE = -1.42% (Net Income TTM -96.6m / Total Stockholder Equity 6.80b)
RoCE = 1.52% (EBIT 184.4m / Capital Employed (Equity 6.80b + L.T.Debt 5.37b))
RoIC = 1.01% (NOPAT 123.5m / Invested Capital 12.26b)
WACC = 12.48% (E(34.25b)/V(39.65b) * Re(14.34%) + D(5.40b)/V(39.65b) * Rd(1.03%) * (1-Tc(0.33)))
Discount Rate = 14.34% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.09%
[DCF] Terminal Value 57.29% ; FCFF base≈880.1m ; Y1≈675.3m ; Y5≈421.0m
[DCF] Fair Price = N/A (negative equity: EV 4.38b - Net Debt 5.15b = -769.5m; debt exceeds intrinsic value)
EPS Correlation: -82.35 | EPS CAGR: -25.84% | SUE: 1.52 | # QB: 1
Revenue Correlation: -84.69 | Revenue CAGR: -11.11% | SUE: 0.06 | # QB: 0
EPS next Quarter (2026-06-30): EPS=0.59 | Chg7d=+0.000 | Chg30d=+0.026 | Revisions Net=+10 | Analysts=22
EPS next Year (2027-03-31): EPS=2.66 | Chg7d=+0.001 | Chg30d=+0.052 | Revisions Net=+11 | Growth EPS=+69.3% | Growth Revenue=+22.2%
[Analyst] Revisions Ratio: +0.62 (13 Up / 3 Down within 30d for Next Quarter)
P/S = 7.8329
P/B = 5.2205
P/EG = 0.7853
Revenue TTM = 4.37b USD
EBIT TTM = 184.4m USD
EBITDA TTM = 887.0m USD
Long Term Debt = 5.37b USD (from longTermDebt, last quarter)
Short Term Debt = 38.6m USD (from shortTermDebt, last quarter)
Debt = 5.40b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.15b USD (from netDebt column, last quarter)
Enterprise Value = 39.40b USD (34.25b + Debt 5.40b - CCE 250.7m)
Interest Coverage Ratio = 0.78 (Ebit TTM 184.4m / Interest Expense TTM 237.5m)
EV/FCF = 48.06x (Enterprise Value 39.40b / FCF TTM 819.9m)
FCF Yield = 2.08% (FCF TTM 819.9m / Enterprise Value 39.40b)
FCF Margin = 18.75% (FCF TTM 819.9m / Revenue TTM 4.37b)
Net Margin = -2.21% (Net Income TTM -96.6m / Revenue TTM 4.37b)
Gross Margin = 51.57% ((Revenue TTM 4.37b - Cost of Revenue TTM 2.12b) / Revenue TTM)
Gross Margin QoQ = 59.60% (prev 41.23%)
Tobins Q-Ratio = 2.75 (Enterprise Value 39.40b / Total Assets 14.33b)
Interest Expense / Debt = 1.03% (Interest Expense 55.9m / Debt 5.40b)
Taxrate = 33.01% (30.9m / 93.6m)
NOPAT = 123.5m (EBIT 184.4m * (1 - 33.01%))
Current Ratio = 2.16 (Total Current Assets 2.29b / Total Current Liabilities 1.06b)
Debt / Equity = 0.82 (Debt 5.40b / totalStockholderEquity, last quarter 6.56b)
Debt / EBITDA = 5.81 (Net Debt 5.15b / EBITDA 887.0m)
Debt / FCF = 6.29 (Net Debt 5.15b / FCF TTM 819.9m)
Total Stockholder Equity = 6.80b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.64% (Net Income -96.6m / Total Assets 14.33b)
RoE = -1.42% (Net Income TTM -96.6m / Total Stockholder Equity 6.80b)
RoCE = 1.52% (EBIT 184.4m / Capital Employed (Equity 6.80b + L.T.Debt 5.37b))
RoIC = 1.01% (NOPAT 123.5m / Invested Capital 12.26b)
WACC = 12.48% (E(34.25b)/V(39.65b) * Re(14.34%) + D(5.40b)/V(39.65b) * Rd(1.03%) * (1-Tc(0.33)))
Discount Rate = 14.34% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.09%
[DCF] Terminal Value 57.29% ; FCFF base≈880.1m ; Y1≈675.3m ; Y5≈421.0m
[DCF] Fair Price = N/A (negative equity: EV 4.38b - Net Debt 5.15b = -769.5m; debt exceeds intrinsic value)
EPS Correlation: -82.35 | EPS CAGR: -25.84% | SUE: 1.52 | # QB: 1
Revenue Correlation: -84.69 | Revenue CAGR: -11.11% | SUE: 0.06 | # QB: 0
EPS next Quarter (2026-06-30): EPS=0.59 | Chg7d=+0.000 | Chg30d=+0.026 | Revisions Net=+10 | Analysts=22
EPS next Year (2027-03-31): EPS=2.66 | Chg7d=+0.001 | Chg30d=+0.052 | Revisions Net=+11 | Growth EPS=+69.3% | Growth Revenue=+22.2%
[Analyst] Revisions Ratio: +0.62 (13 Up / 3 Down within 30d for Next Quarter)