MCHPNASDAQ— Microchip Technology Inc Price & Analysis

Microchip Technology Inc

TECHNOLOGY — SEMICONDUCTORS

$74.17

+$1.06+1.45%

Market Cap: $39.70B; Large Cap
P/E Ratio: 107.51; Fwd: 19.34
EPS (TTM): $0.68
Div. Yield: 2.50%

Technical Summary

RSI (14)45.26Neutral

SMA (50)$79.48Bearish

SMA (200)$76.58Bearish

MACD-1.9517Bullish

Bollinger$70.30 – $81.35Mid

Stochastic29.88Neutral

Theo Outlook

Microchip Technology (MCHP) presents a bullish growth thesis despite its elevated trailing P/E of 109.07, supported by a $40.275 billion market cap and strong 38% year-over-year quarterly revenue growth. Trailing EPS stands at $0.68 with TTM revenue of $5.122 billion, while the forward P/E of 19.8 signals expected earnings acceleration that could justify the premium valuation for long-term investors. Key catalysts include robust demand in microcontrollers and analog semiconductors, with quarterly revenue momentum at 38% YoY and analyst target price of $108.64 reflecting expansion in automotive, industrial, and IoT markets. Earnings momentum is further bolstered by a dividend yield of 2.49% and upcoming ex-dividend date of August 24, 2026, alongside product innovation in Flash-IP and mixed-signal ICs driving market share gains. Risks center on high beta of 1.736 exposing the stock to macro headwinds like interest rate volatility and semiconductor cyclicality, plus competitive pressures from larger peers. Mitigations include diversified revenue across end-markets, strong gross margins implied by $3.083 billion TTM gross profit, and institutional ownership at 102.65% providing stability; investors should monitor 52-week range ($47.28-$104.75) for entry points. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.

Analysis generated by HeyTheo AI on Sep 7, 2026.

Company Overview

Microchip Technology Inc. is a publicly-listed American corporation that manufactures microcontroller, mixed-signal, analog and Flash-IP integrated circuits.

Fundamental Snapshot

Revenue: $5.12B
EBITDA: $1.51B
Gross Profit: $3.08B
Operating Margin: 24.0%
Profit Margin: 9.3%
ROE: 7.2%
Book Value: $11.88
Beta: 1.74
52-Wk High: $104.75
52-Wk Low: $47.28
Avg Volume: 3.59M
PEG Ratio: 0.21

Frequently Asked Questions

What is Microchip Technology's business model?

Microchip Technology Inc. designs and manufactures microcontroller, mixed-signal, analog, and Flash-IP integrated circuits for embedded control applications. It operates a fab-lite model with revenue primarily from product sales across automotive, industrial, and consumer markets, generating $5.122 billion TTM revenue.

What are MCHP's main revenue sources?

MCHP derives revenue from microcontrollers (core), analog and mixed-signal products, and Flash memory solutions. TTM revenue reached $5.122 billion with 38% YoY quarterly growth, supported by diversified end-markets including automotive and IoT.

What competitive advantages does MCHP have?

MCHP benefits from broad product portfolio, strong design-in wins, and high switching costs in embedded systems. Its $40.275B market cap, 2.49% dividend yield, and forward P/E of 19.8 versus trailing 109.07 highlight scale and expected earnings growth over peers.

What are the key risks for MCHP investors?

Key risks include semiconductor cyclicality, high beta of 1.736, and macro headwinds affecting demand. The stock trades in a 52-week range of $47.28-$104.75; competitive intensity and potential regulatory issues in supply chains require monitoring alongside its 109.07 trailing P/E.

What is MCHP's growth outlook?

MCHP shows strong growth potential with 38% YoY revenue growth and analyst target of $108.64. Forward P/E of 19.8 and EPS of $0.68 support expansion in high-growth areas like automotive and industrial, with next dividend date September 9, 2026.