Loading…
Makes microcontrollers, analog and mixed-signal chips used broadly across industrial, automotive, consumer and data-center products.
Makes microcontrollers, analog and mixed-signal chips used broadly across industrial, automotive, consumer and data-center products.
Sells microcontrollers and other chips, mostly through distributors, designed into customers' products that stay in production for many years, so a chip keeps selling for the life of the product. Revenue swings sharply when customers cut chip stocks, as in the 2023 to 2024 correction. It grew through acquisitions: Atmel in 2016 and Microsemi in 2018.
Moat: narrow (switching costs, installed base, scale). Broad, sticky design-in base across thousands of customers, though the industry is cyclical and competitive.
Headquarters: Chandler, Arizona, United States · Founded: 1989 · Employees: 17,900
Size Microchip Technology (MCHP) is a United States Information Technology company (Semiconductors) with a market value of $31.7B, the 349th largest of 3,117 United States companies the cockpit tracks. Shares closed at $58.35 on 6 Nov 2026.
Performance Over six months the shares fell 40.8%, against -20.5% for the median peer and -1.1% for the United States market (cap-weighted) — 5th lowest of 20 in its peer set.
Growth Revenue grew 20.9% over the last twelve months (peer median +24.4%); the operating margin is 16.2% (peer median 19.2%).
Valuation It trades at 14.5× forward earnings against a peer median of 29.7× (7th cheapest of 19).
Price implies For today's price to make sense, revenue must grow about 34% a year for seven years (Req g). Recent delivered growth is -3%, so the hurdle is +37 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 7.1 points below its cost of capital (12.8% WACC).
Credit Microchip Technology has 4 bonds outstanding ($4.25B), rated Baa2 by the agencies and trading like BBB at a weighted spread of 90 bp.
Short interest Short interest is 5.8% of the free float (15 Oct 2026).
Next results Next results expected around 4 Feb 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | $5.12B | $4.71B | $4.40B | $7.63B | $8.44B |
| Revenue growth | — | +7% | -42% | -10% | — |
| Gross profit | $2.43B | $2.05B | $1.90B | $4.32B | $4.96B |
| EBITDA | $1.51B | $1.22B | $1.13B | $3.44B | $4.11B |
| Net income | $478M | $230M | -$500,000 | $1.91B | $2.24B |
| Free cash flow | $1.11B | $871M | $772M | $2.61B | $3.13B |
| Capital expenditure | $212M | $202M | $291M | $398M | $600M |
| Total debt | $5.40B | $5.64B | $5.78B | $6.16B | $6.60B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Microchip Technology MCHP | $31.7B | -41% | +21% | 16% | 14.5× | 34.2% |
| Texas Instruments TXN | $253B | -4% | +20% | 41% | 24.6× | 23.3% |
| Analog Devices ADI | $176B | -13% | +34% | 36% | 22.4× | 27.8% |
| STM STM | $41.0B | -29% | +16% | 7% | 17.3× | 38.6% |
| Renesas Electronics 6723.T | $27.9B | -23% | +26% | 24% | 9.9× | 12.2% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | MCHP | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | -22.7% | -23.3% | 10th highest of 21 |
| 6-month return | -40.8% | -20.5% | 5th lowest of 20 |
| Distance from 52-week high | -44.6% | -54.0% | 5th highest of 21 |
| Revenue growth (TTM) | +20.9% | +24.4% | 8th lowest of 20 |
| Operating margin | 16.2% | 19.2% | 9th lowest of 18 |
| Forward P/E | 14.5× | 29.7× | 7th cheapest of 19 |
| Growth the price implies (Req g, 7 yrs) | 34.2% | 22.4% | 5th most demanding of 13 |
| Growth delivered (Del g) | -2.8% | +10.4% | lowest of 13 |
| Hurdle (Req g minus delivered) | +37.0 pp | +5.1 pp | most demanding of 13 |
| ROIC minus cost of capital | -7.1 pp | -0.2 pp | 6th lowest of 18 |
| EV / EBITDA | 24.4× | 12.5× | 4th most expensive of 10 |
| Net debt / EBITDA | 3.4× | -0.5× | most indebted of 11 |
| Bond spread | 90 bp | n/a | — |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Microchip Technology MCHP | United States | $31.7B | -41% | +21% | 16% | 14.5× | 34.2% | -2.8% |
| Astera Labs ALAB | United States | $33.1B | -5% | +115% | 26% | 28.0× | n/a | n/a |
| MetaX Integrated Circuits (Shanghai) 688802.SS | China | $29.5B | -35% | +84% | n/a | 469.5× | n/a | n/a |
| United Micro Electronics 2303.TW | Taiwan | $34.9B | +11% | +13% | 21% | 13.7× | 14.2% | +6.1% |
| Nanya Technology 2408.TW | Taiwan | $35.8B | +34% | +586% | 71% | 2.9× | 0.6% | +1.8% |
| Renesas Electronics 6723.T | Japan | $27.9B | -23% | +26% | 24% | 9.9× | 12.2% | +13.0% |
| STMicroelectronics STMPA.PA | France | $37.7B | -32% | +10% | 7% | 31.4× | 34.0% | +3.1% |
| Coherent COHR | United States | $38.0B | -42% | +23% | 14% | 16.6× | n/a | n/a |
| Hua Hong Grace Semiconductor 688347.SS | China | $25.5B | +23% | +18% | -2% | 234.7× | n/a | n/a |
| Montage Technology 688008.SS | China | $25.5B | -13% | +33% | 42% | 43.7× | 39.7% | +24.5% |
| Giga Device Semiconductor 603986.SS | China | $25.3B | -23% | +166% | 50% | 10.9× | 16.5% | +15.4% |
| Global Unichip 3443.TW | Taiwan | $25.1B | +29% | +104% | 13% | 50.1× | n/a | n/a |
| Moore Threads Technology 688795.SS | China | $25.1B | -53% | +226% | -9% | n/a | n/a | n/a |
| ON Semiconductor ON | United States | $24.6B | -39% | +3% | 19% | 14.3× | 20.0% | +2.7% |
| Shanghai Enflame Technology 688801.SS | China | $23.8B | n/a | n/a | n/a | n/a | n/a | n/a |
| SJ Semiconductor 688820.SS | China | $22.9B | -21% | +1% | n/a | 136.4× | n/a | n/a |
| Piotech 688072.SS | China | $21.7B | +23% | +24% | 14% | 55.5× | 43.5% | +71.7% |
| First Solar FSLR | United States | $21.6B | -9% | -1% | 39% | 9.2× | 12.4% | +14.0% |
| SamsungElecMech 009150.KS | South Korea | $47.2B | +5% | +22% | 12% | 38.7× | 42.8% | +7.9% |
| GlobalFoundries GFS | United States | $21.2B | -48% | +1% | 12% | 16.2× | 24.9% | +7.0% |
| Suzhou TFC Optical Communication 300394.SZ | China | $19.9B | -44% | +26% | 51% | 36.3× | 44.8% | +42.7% |
Microchip Technology has 4 bonds outstanding with $4.25B face value. The agencies rate it Baa2; its bonds trade like BBB. Weighted yield 5.37%, a spread of 90 bp over government bonds.