MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP) Fundamental Analysis & Valuation

NASDAQ:MCHPP • US5950173022

Current stock price

57.35 USD
+0.08 (+0.14%)
At close:
57.6411 USD
+0.29 (+0.51%)
After Hours:

This MCHPP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

4

1. MCHPP Profitability Analysis

1.1 Basic Checks

  • In the past year MCHPP was profitable.
  • In the past year MCHPP had a positive cash flow from operations.
  • MCHPP had positive earnings in 4 of the past 5 years.
  • Each year in the past 5 years MCHPP had a positive operating cash flow.
MCHPP Yearly Net Income VS EBIT VS OCF VS FCFMCHPP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

1.2 Ratios

  • MCHPP has a Return On Assets of -1.09%. This is comparable to the rest of the industry: MCHPP outperforms 44.35% of its industry peers.
  • With a Return On Equity value of -2.39%, MCHPP perfoms like the industry average, outperforming 44.35% of the companies in the same industry.
  • With a Return On Invested Capital value of 1.65%, MCHPP perfoms like the industry average, outperforming 53.04% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for MCHPP is in line with the industry average of 10.52%.
  • The 3 year average ROIC (11.93%) for MCHPP is well above the current ROIC(1.65%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA -1.09%
ROE -2.39%
ROIC 1.65%
ROA(3y)8.56%
ROA(5y)7.14%
ROE(3y)20.99%
ROE(5y)18.26%
ROIC(3y)11.93%
ROIC(5y)10.28%
MCHPP Yearly ROA, ROE, ROICMCHPP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20 30

1.3 Margins

  • Looking at the Operating Margin, with a value of 6.34%, MCHPP is in line with its industry, outperforming 57.39% of the companies in the same industry.
  • In the last couple of years the Operating Margin of MCHPP has declined.
  • MCHPP has a better Gross Margin (55.41%) than 77.39% of its industry peers.
  • MCHPP's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 6.34%
PM (TTM) N/A
GM 55.41%
OM growth 3Y-32.35%
OM growth 5Y-8.3%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.92%
GM growth 5Y-1.82%
MCHPP Yearly Profit, Operating, Gross MarginsMCHPP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. MCHPP Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MCHPP is creating some value.
  • MCHPP has more shares outstanding than it did 1 year ago.
  • The number of shares outstanding for MCHPP has been increased compared to 5 years ago.
  • MCHPP has a better debt/assets ratio than last year.
MCHPP Yearly Shares OutstandingMCHPP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M 500M
MCHPP Yearly Total Debt VS Total AssetsMCHPP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • An Altman-Z score of 3.36 indicates that MCHPP is not in any danger for bankruptcy at the moment.
  • MCHPP has a Altman-Z score of 3.36. This is comparable to the rest of the industry: MCHPP outperforms 44.35% of its industry peers.
  • MCHPP has a debt to FCF ratio of 6.54. This is a slightly negative value and a sign of low solvency as MCHPP would need 6.54 years to pay back of all of its debts.
  • MCHPP has a Debt to FCF ratio of 6.54. This is comparable to the rest of the industry: MCHPP outperforms 52.17% of its industry peers.
  • MCHPP has a Debt/Equity ratio of 0.82. This is a neutral value indicating MCHPP is somewhat dependend on debt financing.
  • MCHPP's Debt to Equity ratio of 0.82 is on the low side compared to the rest of the industry. MCHPP is outperformed by 79.13% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.82
Debt/FCF 6.54
Altman-Z 3.36
ROIC/WACC0.15
WACC11%
MCHPP Yearly LT Debt VS Equity VS FCFMCHPP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 2.16 indicates that MCHPP has no problem at all paying its short term obligations.
  • Looking at the Current ratio, with a value of 2.16, MCHPP is doing worse than 72.17% of the companies in the same industry.
  • A Quick Ratio of 1.16 indicates that MCHPP should not have too much problems paying its short term obligations.
  • MCHPP has a worse Quick ratio (1.16) than 80.87% of its industry peers.
Industry RankSector Rank
Current Ratio 2.16
Quick Ratio 1.16
MCHPP Yearly Current Assets VS Current LiabilitesMCHPP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. MCHPP Growth Analysis

3.1 Past

  • The earnings per share for MCHPP have decreased strongly by -33.52% in the last year.
  • Measured over the past years, MCHPP shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.29% on average per year.
  • The Revenue has decreased by -8.08% in the past year.
  • Measured over the past years, MCHPP shows a decrease in Revenue. The Revenue has been decreasing by -3.55% on average per year.
EPS 1Y (TTM)-33.52%
EPS 3Y-34.42%
EPS 5Y-14.29%
EPS Q2Q%120%
Revenue 1Y (TTM)-8.08%
Revenue growth 3Y-13.58%
Revenue growth 5Y-3.55%
Sales Q2Q%15.59%

3.2 Future

  • The Earnings Per Share is expected to grow by 32.12% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 13.84% on average over the next years. This is quite good.
EPS Next Y23.2%
EPS Next 2Y44.89%
EPS Next 3Y42.88%
EPS Next 5Y32.12%
Revenue Next Year6.11%
Revenue Next 2Y13.95%
Revenue Next 3Y15.31%
Revenue Next 5Y13.84%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
MCHPP Yearly Revenue VS EstimatesMCHPP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B
MCHPP Yearly EPS VS EstimatesMCHPP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6

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Find the best growth stocksShow best growing peers

4

4. MCHPP Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 49.02, MCHPP can be considered very expensive at the moment.
  • Based on the Price/Earnings ratio, MCHPP is valued a bit cheaper than the industry average as 61.74% of the companies are valued more expensively.
  • The average S&P500 Price/Earnings ratio is at 25.79. MCHPP is valued rather expensively when compared to this.
  • Based on the Price/Forward Earnings ratio of 21.01, the valuation of MCHPP can be described as rather expensive.
  • 81.74% of the companies in the same industry are more expensive than MCHPP, based on the Price/Forward Earnings ratio.
  • When comparing the Price/Forward Earnings ratio of MCHPP to the average of the S&P500 Index (23.80), we can say MCHPP is valued inline with the index average.
Industry RankSector Rank
PE 49.02
Fwd PE 21.01
MCHPP Price Earnings VS Forward Price EarningsMCHPP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

  • 64.35% of the companies in the same industry are more expensive than MCHPP, based on the Enterprise Value to EBITDA ratio.
  • 77.39% of the companies in the same industry are more expensive than MCHPP, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 37.85
EV/EBITDA 36.85
MCHPP Per share dataMCHPP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MCHPP does not grow enough to justify the current Price/Earnings ratio.
  • A more expensive valuation may be justified as MCHPP's earnings are expected to grow with 42.88% in the coming years.
PEG (NY)2.11
PEG (5Y)N/A
EPS Next 2Y44.89%
EPS Next 3Y42.88%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. MCHPP Dividend Analysis

5.1 Amount

  • MCHPP has a Yearly Dividend Yield of 2.90%.
  • MCHPP's Dividend Yield is rather good when compared to the industry average which is at 0.49. MCHPP pays more dividend than 94.78% of the companies in the same industry.
  • MCHPP's Dividend Yield is rather good when compared to the S&P500 average which is at 1.91.
Industry RankSector Rank
Dividend Yield 2.9%

5.2 History

  • The dividend of MCHPP is nicely growing with an annual growth rate of 20.15%!
  • MCHPP does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)20.15%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

  • MCHPP has negative earnings and hence a negative payout ratio. The dividend may be in danger.
  • The dividend of MCHPP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-678.74%
EPS Next 2Y44.89%
EPS Next 3Y42.88%
MCHPP Yearly Income VS Free CF VS DividendMCHPP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

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Find the best dividend stocksShow peers with best dividend

MCHPP Fundamentals: All Metrics, Ratios and Statistics

MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28

NASDAQ:MCHPP (3/18/2026, 8:21:48 PM)

After market: 57.6411 +0.29 (+0.51%)

57.35

+0.08 (+0.14%)

Chartmill FA Rating
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)02-05
Earnings (Next)05-06
Inst Owners99.68%
Inst Owner ChangeN/A
Ins Owners1.92%
Ins Owner ChangeN/A
Market Cap31.03B
Revenue(TTM)4.37B
Net Income(TTM)-156.60M
Analysts81.82
Price Target78.12 (36.22%)
Short Float %0.02%
Short Ratio0.2
Dividend
Industry RankSector Rank
Dividend Yield 2.9%
Yearly Dividend1.81
Dividend Growth(5Y)20.15%
DP-678.74%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.66%
Min EPS beat(2)2.58%
Max EPS beat(2)4.75%
EPS beat(4)4
Avg EPS beat(4)5.43%
Min EPS beat(4)2.58%
Max EPS beat(4)11.8%
EPS beat(8)5
Avg EPS beat(8)-0.47%
EPS beat(12)6
Avg EPS beat(12)-0.53%
EPS beat(16)7
Avg EPS beat(16)-0.18%
Revenue beat(2)0
Avg Revenue beat(2)-1.55%
Min Revenue beat(2)-1.6%
Max Revenue beat(2)-1.5%
Revenue beat(4)0
Avg Revenue beat(4)-1.08%
Min Revenue beat(4)-1.6%
Max Revenue beat(4)-0.05%
Revenue beat(8)0
Avg Revenue beat(8)-1.78%
Revenue beat(12)0
Avg Revenue beat(12)-1.89%
Revenue beat(16)0
Avg Revenue beat(16)-1.68%
PT rev (1m)6.22%
PT rev (3m)13.25%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)13.38%
EPS NY rev (1m)1.64%
EPS NY rev (3m)9.24%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)5.57%
Revenue NY rev (1m)0.7%
Revenue NY rev (3m)2.81%
Valuation
Industry RankSector Rank
PE 49.02
Fwd PE 21.01
P/S 7.1
P/FCF 37.85
P/OCF 34.07
P/B 4.73
P/tB N/A
EV/EBITDA 36.85
EPS(TTM)1.17
EY2.04%
EPS(NY)2.73
Fwd EY4.76%
FCF(TTM)1.52
FCFY2.64%
OCF(TTM)1.68
OCFY2.94%
SpS8.08
BVpS12.12
TBVpS-4.13
PEG (NY)2.11
PEG (5Y)N/A
Graham Number17.86
Profitability
Industry RankSector Rank
ROA -1.09%
ROE -2.39%
ROCE 2.09%
ROIC 1.65%
ROICexc 1.68%
ROICexgc 5.19%
OM 6.34%
PM (TTM) N/A
GM 55.41%
FCFM 18.75%
ROA(3y)8.56%
ROA(5y)7.14%
ROE(3y)20.99%
ROE(5y)18.26%
ROIC(3y)11.93%
ROIC(5y)10.28%
ROICexc(3y)12.2%
ROICexc(5y)10.52%
ROICexgc(3y)48.65%
ROICexgc(5y)43.88%
ROCE(3y)15.1%
ROCE(5y)13.02%
ROICexgc growth 3Y-44.39%
ROICexgc growth 5Y-17.88%
ROICexc growth 3Y-40.07%
ROICexc growth 5Y-9.14%
OM growth 3Y-32.35%
OM growth 5Y-8.3%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.92%
GM growth 5Y-1.82%
F-Score4
Asset Turnover0.31
Health
Industry RankSector Rank
Debt/Equity 0.82
Debt/FCF 6.54
Debt/EBITDA 5.48
Cap/Depr 12.97%
Cap/Sales 2.08%
Interest Coverage 250
Cash Conversion 92.97%
Profit Quality N/A
Current Ratio 2.16
Quick Ratio 1.16
Altman-Z 3.36
F-Score4
WACC11%
ROIC/WACC0.15
Cap/Depr(3y)32.64%
Cap/Depr(5y)27.66%
Cap/Sales(3y)4.12%
Cap/Sales(5y)3.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-33.52%
EPS 3Y-34.42%
EPS 5Y-14.29%
EPS Q2Q%120%
EPS Next Y23.2%
EPS Next 2Y44.89%
EPS Next 3Y42.88%
EPS Next 5Y32.12%
Revenue 1Y (TTM)-8.08%
Revenue growth 3Y-13.58%
Revenue growth 5Y-3.55%
Sales Q2Q%15.59%
Revenue Next Year6.11%
Revenue Next 2Y13.95%
Revenue Next 3Y15.31%
Revenue Next 5Y13.84%
EBIT growth 1Y-56.73%
EBIT growth 3Y-41.54%
EBIT growth 5Y-11.55%
EBIT Next Year61.19%
EBIT Next 3Y43.22%
EBIT Next 5Y25.08%
FCF growth 1Y-70.87%
FCF growth 3Y-32.16%
FCF growth 5Y-12.16%
OCF growth 1Y-71.28%
OCF growth 3Y-31.89%
OCF growth 5Y-10.27%

MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 / MCHPP Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28?

ChartMill assigns a fundamental rating of 4 / 10 to MCHPP.


Can you provide the valuation status for MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28?

ChartMill assigns a valuation rating of 4 / 10 to MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP). This can be considered as Fairly Valued.


How profitable is MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP) stock?

MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP) has a profitability rating of 4 / 10.


What is the earnings growth outlook for MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28?

The Earnings per Share (EPS) of MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP) is expected to grow by 23.2% in the next year.


Can you provide the dividend sustainability for MCHPP stock?

The dividend rating of MICROCHIP TECHNOLOGY INC - MCHP 7 1/2 03/15/28 (MCHPP) is 5 / 10 and the dividend payout ratio is -678.74%.