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Technology - Semiconductors - NASDAQ - US
$ 38.09
5.16 %
$ 20.5 B
Market Cap
66.82
P/E
1. INTRINSIC VALUE

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one MCHP stock under the worst case scenario is HIDDEN Compared to the current market price of 38.1 USD, Microchip Technology Incorporated is HIDDEN

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one MCHP stock under the base case scenario is HIDDEN Compared to the current market price of 38.1 USD, Microchip Technology Incorporated is HIDDEN

This DCF valuation model was last updated on Apr, 8, 2025.

The intrinsic value of one MCHP stock under the best case scenario is HIDDEN Compared to the current market price of 38.1 USD, Microchip Technology Incorporated is HIDDEN

2. FUNDAMENTAL ANALYSIS

Price Chart MCHP

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$80.0$80.0$75.0$75.0$70.0$70.0$65.0$65.0$60.0$60.0$55.0$55.0$50.0$50.0$45.0$45.0$40.0$40.0$35.0$35.015 Oct15 OctNov '24Nov '2415 Nov15 NovDec '24Dec '2415 Dec15 DecJan '25Jan '2515 Jan15 JanFeb '25Feb '2515 Feb15 FebMar '25Mar '2515 Mar15 MarApr '25Apr '25
FINANCIALS
7.63 B REVENUE
-9.53%
2.57 B OPERATING INCOME
-17.49%
1.91 B NET INCOME
-14.78%
2.89 B OPERATING CASH FLOW
-20.11%
-392 M INVESTING CASH FLOW
34.60%
-2.41 B FINANCING CASH FLOW
22.22%
1.03 B REVENUE
-11.84%
30.9 M OPERATING INCOME
-78.92%
-53.6 M NET INCOME
-68.37%
272 M OPERATING CASH FLOW
522.71%
-42.1 M INVESTING CASH FLOW
34.42%
70.5 M FINANCING CASH FLOW
939.29%
Balance Sheet Microchip Technology Incorporated
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Current Assets 3.01 B
Cash & Short-Term Investments 320 M
Receivables 1.14 B
Other Current Assets 1.55 B
Non-Current Assets 12.9 B
Long-Term Investments 0
PP&E 1.35 B
Other Non-Current Assets 11.5 B
7.21 %9.76 %8.51 %72.51 %Total Assets$15.9b
Current Liabilities 2.52 B
Accounts Payable 213 M
Short-Term Debt 1.03 B
Other Current Liabilities 1.27 B
Non-Current Liabilities 6.7 B
Long-Term Debt 5 B
Other Non-Current Liabilities 1.7 B
11.20 %13.83 %54.26 %18.40 %Total Liabilities$9.2b
EFFICIENCY
Earnings Waterfall Microchip Technology Incorporated
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Revenue 7.63 B
Cost Of Revenue 2.64 B
Gross Profit 5 B
Operating Expenses 2.42 B
Operating Income 2.57 B
Other Expenses 664 M
Net Income 1.91 B
8b8b7b7b6b6b5b5b4b4b3b3b2b2b1b1b008b(3b)5b(2b)3b(664m)2bRevenueRevenueCost Of RevenueCost Of RevenueGross ProfitGross ProfitOperating ExpensesOperating ExpensesOperating IncomeOperating IncomeOther ExpensesOther ExpensesNet IncomeNet Income
RATIOS
65.44% GROSS MARGIN
65.44%
33.68% OPERATING MARGIN
33.68%
24.98% NET MARGIN
24.98%
28.64% ROE
28.64%
12.01% ROA
12.01%
14.40% ROIC
14.40%
FREE CASH FLOW ANALYSIS
Free Cash Flow Analysis Microchip Technology Incorporated
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4b4b3b3b3b3b2b2b2b2b1b1b500m500m00201620162017201720182018201920192020202020212021202220222023202320242024
Net Income 1.91 B
Depreciation & Amortization 880 M
Capital Expenditures -285 M
Stock-Based Compensation 178 M
Change in Working Capital -76.7 M
Others -70 M
Free Cash Flow 2.61 B
3. WALL STREET ANALYSTS ESTIMATES
Wall Street Analysts Price Targets Microchip Technology Incorporated
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Wall Street analysts predict an average 1-year price target for MCHP of $87.8 , with forecasts ranging from a low of $58 to a high of $115 .
MCHP Lowest Price Target Wall Street Target
58 USD 52.27%
MCHP Average Price Target Wall Street Target
87.8 USD 130.38%
MCHP Highest Price Target Wall Street Target
115 USD 201.92%
Price
Max Price Target
Min Price Target
Average Price Target
1201201101101001009090808070706060505040403030May '24May '24Jul '24Jul '24Aug '24Aug '24Oct '24Oct '24Nov '24Nov '2420252025Feb '25Feb '25Apr '25Apr '25Jun '25Jun '25Jul '25Jul '25Aug '25Aug '25Oct '25Oct '25Nov '25Nov '2520262026Feb '26Feb '26Apr '26Apr '26
4. DIVIDEND ANALYSIS
0.79% DIVIDEND YIELD
0.455 USD DIVIDEND PER SHARE
Q1
Q2
Q3
Q4
2.000002.000001.800001.800001.600001.600001.400001.400001.200001.200001.000001.000000.800000.800000.600000.600000.400000.400000.200000.200000.000000.000000.17850.17950.18050.18150.18250.18350.1950.2530.3580.450.4550.178750.179750.180750.181750.182750.183750.20650.2760.3830.4520.1790.180.1810.1820.1830.1840.21850.3010.410.4540.17950.720.18050.720.18150.720.18250.730.18350.730.18450.740.2320.850.3281.160.4391.590.4551.810.462015201520162016201720172018201820192019202020202021202120222022202320232024202420252025
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5. COMPETITION
slide 2 of 11
6. Ownership
Insider Ownership Microchip Technology Incorporated
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Sold
0-3 MONTHS
227 K USD 1
3-6 MONTHS
318 K USD 1
6-9 MONTHS
176 K USD 1
9-12 MONTHS
2.25 M USD 4
Bought
0 USD 0
0-3 MONTHS
0 USD 0
3-6 MONTHS
0 USD 0
6-9 MONTHS
0 USD 0
9-12 MONTHS
7. News
11 Stocks Go Deeply On Sale Following Trump's Tariffs If there's a bright side to President Trump's tariffs, proponents say, it's that many S&P 500 stocks are now on sale. The post 11 Stocks Go Deeply On Sale Following Trump's Tariffs appeared first on Investor's Business Daily. investors.com - 1 week ago
New Preferred Stock IPOs, March 2025 We tracked six new preferred stock and exchange traded debt offerings with yields from 6.15% to 10%, highlighting their CDx3 Compliance Scores. Oxford Lane Capital Corp.'s new exchange notes (OXLCG) achieved a perfect CDx3 Compliance Score, offering a 7.95% fixed coupon and a BBB+ rating. Preferred stock IPOs often trade temporarily on the OTC, allowing investors to buy shares at wholesale prices before they move to retail exchanges. seekingalpha.com - 2 weeks ago
Microchip Technology's Fall From Grace: Can It Rebound? Microchip Technology faces significant challenges, including a 50% revenue drop, declining margins, and high debt levels, making current investment unattractive. The company's heavy reliance on the Asian market and lack of long-term distributor agreements add to its financial instability and market uncertainty. The sustainability of Microchip's dividend is questionable, with free cash flow insufficient to cover payouts, suggesting a potential cut. seekingalpha.com - 2 weeks ago
PolarFire® SoC FPGAs Achieve AEC-Q100 Qualification CHANDLER, Ariz., March 24, 2025 (GLOBE NEWSWIRE) -- Microchip Technology's (Nasdaq: MCHP) PolarFire® System on Chip (SoC) FPGAs have earned the Automotive Electronics Council (AEC)-Q100 qualification. globenewswire.com - 3 weeks ago
Microchip Technology Announces Pricing of Offering of Depositary Shares Representing Interests in Series A Mandatory Convertible Preferred Stock CHANDLER, Ariz., March 21, 2025 (GLOBE NEWSWIRE) -- (NASDAQ: MCHP) Microchip Technology Incorporated (“Microchip” or the “Company”), a leading provider of smart, connected, and secure embedded control solutions, today announced the pricing of its previously announced underwritten public offering of $1.35 billion of depositary shares (“depositary shares”), each representing a 1/20th interest in a share of newly issued 7.50% Series A Mandatory Convertible Preferred Stock, par value $0.001 per share (“preferred stock”) at a public offering price of $50.00 per depositary share (the “offering”). Microchip granted the underwriters in the offering a 13-day option to purchase up to an additional $135 million of depositary shares, solely to cover over-allotments, if any, at the public offering price less the underwriting discount. The offering is expected to close on March 25, 2025, subject to customary closing conditions. globenewswire.com - 3 weeks ago
JOYY, Akebia Therapeutics, Microchip Technology And Other Big Stocks Moving Lower In Thursday's Pre-Market Session U.S. stock futures were lower this morning, with the Dow futures falling around 200 points on Thursday. benzinga.com - 3 weeks ago
Microchip Technology Engages Macquarie Group to Facilitate Sale of Tempe Fab 2 Wafer Fabrication Facility CHANDLER, Ariz., March 20, 2025 (GLOBE NEWSWIRE) -- Microchip Technology (Nasdaq: MCHP) today announced it has engaged Macquarie Group to oversee the marketing and sale of its wafer fabrication facility (“Fab 2”) located in Tempe, Arizona. This decision is part of Microchip's previously announced manufacturing restructuring plan supporting its strategic goal of enhancing operational efficiency and profitability. globenewswire.com - 3 weeks ago
Microchip Technology shares fall after $1.35 billion convertible stock offering plan announced Shares of Microchip Technology fell more than 3% on Wednesday after the chipmaker announced plans to raise capital by offering $1.35 billion of convertible stock. reuters.com - 4 weeks ago
Microchip Technology Announces Launch of Offering of Depositary Shares Representing Interests in Series A Mandatory Convertible Preferred Stock CHANDLER, Ariz., March 19, 2025 (GLOBE NEWSWIRE) -- (NASDAQ: MCHP) Microchip Technology Incorporated (“Microchip” or the “Company”), a leading provider of smart, connected, and secure embedded control solutions, today announced the launch of an underwritten public offering (the “offering”) of $1.35 billion of depositary shares (“depositary shares”), each representing a 1/20th interest in a share of newly issued Series A Mandatory Convertible Preferred Stock, par value $0.001 per share (“preferred stock”), of the Company. Microchip expects to grant the underwriters of the offering a 13-day option to purchase up to an additional $135 million of depositary shares, solely to cover over-allotments, if any. Microchip intends to use a portion of the net proceeds from the offering to pay the cost of the capped call transactions described below. If the underwriters exercise their option to purchase additional depositary shares, Microchip expects to use a portion of the net proceeds from the sale of such additional depositary shares to enter into additional capped call transactions. Microchip intends to use the remaining net proceeds to repay existing debt, including notes outstanding under its commercial paper program. globenewswire.com - 4 weeks ago
Entry-Level Microcontrollers Reduce System Cost and Complexity in Safety-Critical Applications CHANDLER, Ariz., March 19, 2025 (GLOBE NEWSWIRE) -- To assist engineers in meeting stringent safety requirements while minimizing design costs and complexity, Microchip Technology (Nasdaq: MCHP) has launched the AVR® SD family of microcontrollers (MCUs). globenewswire.com - 4 weeks ago
Microchip Introduces Electric Two-Wheeler Ecosystem to Accelerate E-Mobility Innovation Scalable and flexible solutions to design diverse models of e-scooters and e-bikes Scalable and flexible solutions to design diverse models of e-scooters and e-bikes globenewswire.com - 1 month ago
Microchip Technology Unveils 32-bit MCU Family with Integrated High-Performance Analog Peripherals CHANDLER, Ariz., March 11, 2025 (GLOBE NEWSWIRE) -- To address the increasing demand for high-performance, math-intensive applications in a wide range of industries, Microchip Technology (Nasdaq: MCHP) has released the PIC32A family of MCUs. globenewswire.com - 1 month ago
8. Profile Summary

Microchip Technology Incorporated MCHP

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COUNTRY US
INDUSTRY Semiconductors
MARKET CAP $ 20.5 B
Dividend Yield 0.79%
Description Microchip Technology Incorporated develops, manufactures, and sells 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 microcontrollers; 32-bit embedded microprocessors markets; 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 development tools that enable system designers to program microcontroller and microprocessor products for specific applications; field-programmable gate array (FPGA) products; and 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. In addition, the company offers memory products consisting of 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 NVM 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. Microchip Technology Incorporated was incorporated in 1989 and is headquartered in Chandler, Arizona.
Contact 2355 West Chandler Boulevard, Chandler, AZ, 85224-6199 https://www.microchip.com
IPO Date March 19, 1993
Employees 22300
Officers Mr. Richard J. Simoncic Chief Operating Officer Mr. Patrick F. Johnson Senior Corporate Vice President, FPGA & Timing Business Units Mr. David Sadler Vice President of Finance & Corporate Controller Mr. Joseph R. Krawczyk II Senior Corporate Vice President of Worldwide Client Engagement Mr. James Eric Bjornholt Senior Corporate Vice President & Chief Financial Officer Ms. Lauren A. Carr Senior Corporate Vice President of Global Human Resources Mr. Sajid Daudi Head of Investor Relations Mr. Mathew B. Bunker Senior Corporate Vice President of Operations Mr. Stephen Sanghi Chief Executive Officer, President & Chair of the Board Mr. Michael A. Finley Senior Corporate Vice President of Operations