Microchip Technology Investors Should Focus on This

By Naomi Wentworth • Wednesday, November 01 12:29 • Permanent Link

More and more people are talking about Microchip Technology over the last few weeks. Is it worth buying the Semiconductors stock at a price of $69.84? Only time will tell. The information below will give you a basic idea of what this investment may entail:

Microchip Technology has moved 16.0% over the last year, and the S&P 500 logged a change of 13.0%
MCHP has an average analyst rating of buy and is -28.1% away from its mean target price of $97.14 per share
Its trailing earnings per share (EPS) is $4.33
Microchip Technology has a trailing 12 month Price to Earnings (P/E) ratio of 16.1 while the S&P 500 average is 15.97
Its forward earnings per share (EPS) is $6.11 and its forward P/E ratio is 11.4
The company has a Price to Book (P/B) ratio of 5.56 in contrast to the S&P 500's average ratio of 2.95
Microchip Technology is part of the Technology sector, which has an average P/E ratio of 27.16 and an average P/B of 6.23
MCHP has reported YOY quarterly earnings growth of 34.4% and gross profit margins of 0.7%
The company has a free cash flow of $2.24 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter
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 mixed-signal microprocessors; 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 application development tools that enable system designers to program microcontroller, FPGA, 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 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 non-volatile memory 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.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.