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Microchip Technology (MCHP) Stock Price, News & Analysis

$77.01
-1.82 (-2.31%)
(As of 09/20/2024 08:54 PM ET)

About Microchip Technology Stock (NASDAQ:MCHP)

Key Stats

Today's Range
$75.81
$77.58
50-Day Range
$72.00
$94.81
52-Week Range
$68.75
$100.57
Volume
14.16 million shs
Average Volume
6.06 million shs
Market Capitalization
$41.32 billion
P/E Ratio
22.19
Dividend Yield
2.35%
Price Target
$99.95
Consensus Rating
Moderate Buy

Company Overview

Microchip Technology Incorporated engages in the development, manufacture, and sale of smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. The company offers general purpose 8-bit, 16-bit, and 32-bit mixed-signal microcontrollers; 32-bit embedded mixed-signal microprocessors; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications. It also provides analog, interface, mixed signal, and timing products comprising power management, linear, mixed-signal, high-voltage, thermal management, discrete diodes, and metal oxide semiconductor field effect transistors (MOSFETS), radio frequency (RF), drivers, safety, security, timing, USB, Ethernet, wireless, and other interface products; field-programmable gate array (FPGA) products; and application development tools that enable system designers to program microcontroller, FPGA, and microprocessor products for specific applications. In addition, the company offers serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, serial static random access memories, and serial electrically erasable random access memories for the production of very small footprint devices; and licenses its SuperFlash embedded flash and non-volatile memory technologies to foundries, integrated device manufacturers, and design partners for use in the manufacture of microcontroller products, gate array, RF, analog, and neuromorphic compute products that require embedded non-volatile memory, as well as provides engineering services. Further, it offers wafer foundry and assembly, and test subcontracting manufacturing services; and timing systems products, application specific integrated circuits, and aerospace products. The company was incorporated in 1989 and is headquartered in Chandler, Arizona.

Microchip Technology Stock Analysis - MarketRank™

See Top Rated MarketRank™ Stocks

Overall MarketRank™: 100th Percentile

Microchip Technology scored higher than 100% of companies evaluated by MarketBeat, and ranked 2nd out of 664 stocks in the computer and technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

  • Consensus Rating

    Microchip Technology has received a consensus rating of Moderate Buy. The company's average rating score is 2.79, and is based on 15 buy ratings, 4 hold ratings, and no sell ratings.

  • Amount of Analyst Coverage

    Microchip Technology has been the subject of 11 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

  • Read more about Microchip Technology's stock forecast and price target.
  • Earnings Growth

    Earnings for Microchip Technology are expected to grow by 76.44% in the coming year, from $1.74 to $3.07 per share.

  • Price to Earnings Ratio vs. the Market

    The P/E ratio of Microchip Technology is 22.19, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 132.38.

  • Price to Earnings Ratio vs. Sector

    The P/E ratio of Microchip Technology is 22.19, which means that it is trading at a less expensive P/E ratio than the Computer and Technology sector average P/E ratio of about 249.35.

  • Price to Book Value per Share Ratio

    Microchip Technology has a P/B Ratio of 6.25. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

  • Read more about Microchip Technology's valuation and earnings.
  • Percentage of Shares Shorted

    4.48% of the outstanding shares of Microchip Technology have been sold short.
  • Short Interest Ratio / Days to Cover

    Microchip Technology has a short interest ratio ("days to cover") of 3.7, which is generally considered an acceptable ratio of short interest to trading volume.
  • Change versus previous month

    Short interest in Microchip Technology has recently increased by 9.68%, indicating that investor sentiment is decreasing significantly.
  • Dividend Yield

    Microchip Technology pays a meaningful dividend of 2.36%, higher than the bottom 25% of all stocks that pay dividends.

  • Dividend Growth

    Microchip Technology has been increasing its dividend for 23 years.

  • Dividend Coverage

    The dividend payout ratio of Microchip Technology is 52.16%. This payout ratio is at a healthy, sustainable level, below 75%.

  • Dividend Sustainability

    Based on earnings estimates, Microchip Technology will have a dividend payout ratio of 58.96% next year. This indicates that Microchip Technology will be able to sustain or increase its dividend.

  • Read more about Microchip Technology's dividend.
  • Percentage of Shares Shorted

    4.48% of the outstanding shares of Microchip Technology have been sold short.
  • Short Interest Ratio / Days to Cover

    Microchip Technology has a short interest ratio ("days to cover") of 3.7, which is generally considered an acceptable ratio of short interest to trading volume.
  • Change versus previous month

    Short interest in Microchip Technology has recently increased by 9.68%, indicating that investor sentiment is decreasing significantly.
  • News Sentiment

    Microchip Technology has a news sentiment score of 0.95. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.49 average news sentiment score of Computer and Technology companies.
  • News Coverage This Week

    MarketBeat has tracked 14 news articles for Microchip Technology this week, compared to 12 articles on an average week.
  • Search Interest

    40 people have searched for MCHP on MarketBeat in the last 30 days. This is an increase of 21% compared to the previous 30 days.
  • MarketBeat Follows

    Only 10 people have added Microchip Technology to their MarketBeat watchlist in the last 30 days. This is a decrease of -38% compared to the previous 30 days.
  • Insider Buying vs. Insider Selling

    In the past three months, Microchip Technology insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $175,551.00 in company stock.

  • Percentage Held by Insiders

    Only 2.07% of the stock of Microchip Technology is held by insiders.

  • Percentage Held by Institutions

    91.51% of the stock of Microchip Technology is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

  • Read more about Microchip Technology's insider trading history.

MCHP Stock News Headlines

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Immersion Stock Surges as It Monetizes Haptic Technology Patents (MCHP)
Immersion Corp. (NASDAQ: IMMR) is a leading developer of haptic technology. The company was a pioneer in developing haptic technology
Wall St. Icon: Looming Financial Tsunami will Wipe Out the 1%
Wall Street icon who forecasted Black Monday and dot-com crash says a new economic event will hit the American economy like a tsunami. It doesn't matter if you're blue collar, white collar, working, or retired. He says, "I am literally afraid for my family's future. I'm taking drastic steps to prepare for what I know will inevitably happen next."
See More Headlines

MCHP Stock Analysis - Frequently Asked Questions

Microchip Technology's stock was trading at $90.18 at the beginning of the year. Since then, MCHP shares have decreased by 14.6% and is now trading at $77.01.
View the best growth stocks for 2024 here
.

Microchip Technology Incorporated (NASDAQ:MCHP) released its quarterly earnings results on Thursday, August, 1st. The semiconductor company reported $0.53 earnings per share for the quarter, topping the consensus estimate of $0.52 by $0.01. The business's quarterly revenue was down 45.8% compared to the same quarter last year.
Read the conference call transcript
.

Microchip Technology subsidiaries include LegUp Computing, Tekron, Microsemi, Atmel, Micrel, ISSC Technologies Corp, Supertex, and others.

Top institutional investors of Microchip Technology include Principal Financial Group Inc. (1.72%), Ameriprise Financial Inc. (1.45%), Van ECK Associates Corp (1.19%) and Legal & General Group Plc (0.83%). Insiders that own company stock include Ganesh Moorthy, Stephen V Drehobl, Matthew W Chapman, James Eric Bjornholt, Mitchell R Little, Karlton D Johnson, Steve Sanghi and Richard J Simoncic.
View institutional ownership trends
.

Shares of MCHP stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

Based on aggregate information from My MarketBeat watchlists, some other companies that Microchip Technology investors own include NVIDIA (NVDA), Micron Technology (MU), Intel (INTC), QUALCOMM (QCOM), Advanced Micro Devices (AMD), Alibaba Group (BABA) and Cisco Systems (CSCO).

Company Calendar

Last Earnings
8/01/2024
Ex-Dividend for 9/5 Dividend
8/22/2024
Dividend Payable
9/05/2024
Today
9/22/2024
Next Earnings (Estimated)
11/07/2024
Fiscal Year End
3/31/2025

Industry, Sector and Symbol

Industry
Semiconductors & related devices
Sub-Industry
Semiconductors
Current Symbol
NASDAQ:MCHP
CUSIP
59501710
Employees
22,300
Year Founded
1989

Price Target and Rating

Average Stock Price Target
$99.95
High Stock Price Target
$115.00
Low Stock Price Target
$80.00
Potential Upside/Downside
+29.8%
Consensus Rating
Moderate Buy
Rating Score (0-4)
2.79
Research Coverage
19 Analysts

Profitability

Net Income
$1.91 billion
Pretax Margin
25.50%

Debt

Sales & Book Value

Annual Sales
$6.59 billion
Cash Flow
$6.34 per share
Book Value
$12.32 per share

Miscellaneous

Free Float
525,399,000
Market Cap
$41.32 billion
Optionable
Optionable
Beta
1.53

Social Links

Should I Buy Microchip Technology Stock? MCHP Pros and Cons Explained

These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Monday, September 9, 2024. Please send any questions or comments about these Microchip Technology pros and cons to contact@marketbeat.com.

Microchip Technology
Bull Case

green Wall Street bull icon

Here are some ways that investors could benefit from investing in Microchip Technology Incorporated:

  • Microchip Technology's stock price has shown resilience, currently trading at $80.85, providing a potential entry point for investors.
  • Analysts expect Microchip Technology to post 2.35 EPS for the current year, indicating positive growth potential.
  • Microchip Technology has a dividend yield of 2.25%, offering investors a source of passive income.
  • Insiders own 2.07% of the company's stock, signaling confidence in the company's future performance.
  • Recent quarterly earnings results showed a beat on EPS estimates, demonstrating strong financial performance.

Microchip Technology
Bear Case

red Wall Street bear icon

Investors should be bearish about investing in Microchip Technology Incorporated for these reasons:

  • Microchip Technology's revenue for the quarter was down 45.8% compared to the same quarter last year, indicating a decline in sales.
  • The company's stock has a beta of 1.54, suggesting higher volatility compared to the market average.
  • Microchip Technology's dividend payout ratio is 52.16%, which may limit future dividend growth.
  • Several research firms have reduced price targets on Microchip Technology, potentially signaling concerns about future performance.
  • The company's quick ratio of 0.67 and debt-to-equity ratio of 0.75 may raise concerns about its financial health and liquidity.

This page (NASDAQ:MCHP) was last updated on 9/23/2024 by MarketBeat.com Staff
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