Microchip Technology (MCHP) Competitors

Microchip Technology (NASDAQ:MCHP) and Micron Technology (NASDAQ:MU) are both large-cap computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, profitability, dividends, analyst recommendations, valuation, institutional ownership, community ranking and media sentiment.

Does the MarketBeat Community favor MCHP or MU?

Micron Technology received 2731 more outperform votes than Microchip Technology when rated by MarketBeat users. Likewise, 80.57% of users gave Micron Technology an outperform vote while only 68.81% of users gave Microchip Technology an outperform vote.

Company	Underperform	Outperform
Microchip Technology	Outperform Votes 942 68.81%	Underperform Votes 427 31.19%
Micron Technology	Outperform Votes 3673 80.57%	Underperform Votes 886 19.43%

Do institutionals & insiders hold more shares of MCHP or MU?

91.5% of Microchip Technology shares are owned by institutional investors. Comparatively, 80.8% of Micron Technology shares are owned by institutional investors. 2.1% of Microchip Technology shares are owned by insiders. Comparatively, 0.3% of Micron Technology shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Is MCHP or MU more profitable?

Micron Technology has a net margin of 13.34% compared to Microchip Technology's net margin of 6.49%. Microchip Technology's return on equity of 12.62% beat Micron Technology's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Microchip Technology	6.49%	12.62%	5.08%
Micron Technology	13.34%	8.32%	5.49%

Which has better earnings & valuation, MCHP or MU?

Microchip Technology has higher earnings, but lower revenue than Micron Technology. Micron Technology is trading at a lower price-to-earnings ratio than Microchip Technology, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Microchip Technology	$4.76B	6.90	$1.91B	$0.56	109.05
Micron Technology	$25.11B	4.38	$778M	$3.47	28.47

Is MCHP or MU a better dividend stock?

Microchip Technology pays an annual dividend of $1.82 per share and has a dividend yield of 3.0%. Micron Technology pays an annual dividend of $0.46 per share and has a dividend yield of 0.5%. Microchip Technology pays out 325.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Micron Technology pays out 13.3% of its earnings in the form of a dividend. Microchip Technology has raised its dividend for 23 consecutive years. Microchip Technology is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has more risk and volatility, MCHP or MU?

Microchip Technology has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500. Comparatively, Micron Technology has a beta of 1.18, suggesting that its share price is 18% more volatile than the S&P 500.

Does the media favor MCHP or MU?

In the previous week, Micron Technology had 42 more articles in the media than Microchip Technology. MarketBeat recorded 79 mentions for Micron Technology and 37 mentions for Microchip Technology. Microchip Technology's average media sentiment score of 1.17 beat Micron Technology's score of 0.55 indicating that Microchip Technology is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Microchip Technology	22 Very Positive mention(s)	4 Positive mention(s)	10 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Micron Technology	40 Very Positive mention(s)	10 Positive mention(s)	26 Neutral mention(s)	2 Negative mention(s)	1 Very Negative mention(s)	Positive

Do analysts prefer MCHP or MU?

Microchip Technology currently has a consensus price target of $77.11, indicating a potential upside of 26.26%. Micron Technology has a consensus price target of $134.96, indicating a potential upside of 36.62%. Given Micron Technology's stronger consensus rating and higher possible upside, analysts plainly believe Micron Technology is more favorable than Microchip Technology.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Microchip Technology	1 Sell rating(s)	4 Hold rating(s)	13 Buy rating(s)	1 Strong Buy rating(s)	2.74
Micron Technology	1 Sell rating(s)	2 Hold rating(s)	23 Buy rating(s)	0 Strong Buy rating(s)	2.85

Summary

Microchip Technology and Micron Technology tied by winning 11 of the 22 factors compared between the two stocks.