Microchip Technology Incorporated [MCHP] took an upward turn with a change of 0.34%, trading at the price of $111.21 during the trading session on . The price movement in correlation with percentage of the mentioned increase can allow a valuable insight to investors. During the last trading session 2.32 million shares changed hands being bought and sold, while Microchip Technology Incorporated shares have an average trading volume of 2.26M shares for that time period. MCHP monthly volatility recorded 1.85%, in the meanwhile having share price volatility for the week set at 2.06%. PS value for MCHP stocks is 4.93 with PB recorded at 4.94.
Microchip Technology Incorporated [NASDAQ:MCHP]: Analyst Rating and Earnings
Its stock price has been found in the range of 73.25 to 111.15. This is compared to its latest closing price of $110.83.
Pay attention to the next-scheduled financial results for this company to be released, which is slated for Tue 4 Feb (In 22 Days).
Fundamental Analysis of Microchip Technology Incorporated [MCHP]
Now let’s turn to look at profitability: with a current Operating Margin for Microchip Technology Incorporated [MCHP] sitting at +13.98 and its Gross Margin at +42.19, this company’s Net Margin is now 7.10%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 6.82, and its Return on Invested Capital has reached 5.60%. Its Return on Equity is 8.31, and its Return on Assets is 2.68. These metrics suggest that this Microchip Technology Incorporated does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Microchip Technology Incorporated [MCHP] has generated a Total Debt to Total Equity ratio of 194.93. Similarly, its Total Debt to Total Capital is 66.09, while its Total Debt to Total Assets stands at 56.17. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 1.49, and its Long-Term Debt to Total Capital is 169.20.
What about valuation? This company’s Enterprise Value to EBITDA is 21.56 and its Total Debt to EBITDA Value is 6.35. The Enterprise Value to Sales for this firm is now 6.53, and its Total Debt to Enterprise Value stands at 0.34. Microchip Technology Incorporated [MCHP] has a Price to Book Ratio of 3.73, a Price to Cash Flow Ratio of 12.38 and P/E Ratio of 72.85. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Microchip Technology Incorporated [MCHP] earns $292,546 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.41 and its Total Asset Turnover is 0.40. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.63 and its Current Ratio is 0.93. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Microchip Technology Incorporated [MCHP] has 237.88M shares outstanding, amounting to a total market cap of $26.45B. Its stock price has been found in the range of 73.25 to 111.15. At its current price, it has moved up by 0.05% from its 52-week high, and it has moved up 51.82% from its 52-week low.
This stock’s Beta value is currently 1.45, which indicates that it is 2.06% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 68.62. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Microchip Technology Incorporated [MCHP] a Reliable Buy?
Microchip Technology Incorporated [MCHP] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.