Microchip Technology Incorporated (MCHP) Beta and Market Comparison: S&P500 vs MCHP

After finishing at $77.62 in the prior trading day, Microchip Technology Incorporated (NASDAQ: MCHP) closed at $73.62, down -5.15%. In other words, the price has decreased by -$4.00 from its previous closing price. On the day, 7793355 shares were traded. MCHP stock price reached its highest trading level at $75.50 during the session, while it also had its lowest trading level at $72.56.

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Our goal is to gain a better understanding of MCHP by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 140.36 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 16.02. For the most recent quarter (mrq), Quick Ratio is recorded 1.00 and its Current Ratio is at 1.80. In the meantime, Its Debt-to-Equity ratio is 0.00 whereas as Long-Term Debt/Eq ratio is at 1.04.

Upgrades & Downgrades

Insider Transactions:

The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on May 23 when Bjornholt James Eric sold 2,470 shares for $78.32 per share. The transaction valued at 193,450 led to the insider holds 32,004 shares of the business.

Bjornholt James Eric sold 2,777 shares of MCHP for $226,548 on Feb 23. The Senior VP and CFO now owns 30,582 shares after completing the transaction at $81.58 per share. On Feb 23, another insider, Johnson Karlton D, who serves as the Director of the company, sold 396 shares for $81.00 each. As a result, the insider received 32,076 and left with 973 shares of the company.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, MCHP now has a Market Capitalization of 41.18B and an Enterprise Value of 47.39B. As of this moment, Microchip’s Price-to-Earnings (P/E) ratio for their current fiscal year is 19.89, and their Forward P/E ratio for the next fiscal year is 11.35. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 1.44. For the stock, the TTM Price-to-Sale (P/S) ratio is 5.04 while its Price-to-Book (P/B) ratio in mrq is 6.41. Its current Enterprise Value per Revenue stands at 5.62 whereas that against EBITDA is 12.53.

Stock Price History:

Over the past 52 weeks, MCHP has reached a high of $87.76, while it has fallen to a 52-week low of $54.33. The 50-Day Moving Average of the stock is 78.02, while the 200-Day Moving Average is calculated to be 73.33.

Shares Statistics:

The stock has traded on average 4.60M shares per day over the past 3-months and 4.44M shares per day over the last 10 days, according to various share statistics. A total of 549.20M shares are outstanding, with a floating share count of 538.57M. Insiders hold about 2.09% of the company’s shares, while institutions hold 93.30% stake in the company. Shares short for MCHP as of Apr 27, 2023 were 18.9M with a Short Ratio of 18.90M, compared to 19.73M on Mar 30, 2023. Therefore, it implies a Short% of Shares Outstanding of 3.45% and a Short% of Float of 4.00%.

Dividends & Splits

In the trailing 12 months, MCHP’s forward annual dividend rate was 1.26, compared to 1.53 this year. Against a Trailing Annual Dividend Yield of 1.63%, it implies a Forward Annual Dividend Yield of 1.97%. The stock’s 5-year Average Dividend Yield is 1.46. The current Payout Ratio is 30.90% for MCHP, which recently paid a dividend on Jun 04, 2023 with an ex-dividend date of May 18, 2023. Stock splits for the company last occurred on May 08, 2002 when the company split stock in a 3:2 ratio.

Earnings Estimates

Its stock is currently analyzed by 18 different market analysts. On average, analysts expect EPS of $1.64 for the current quarter, with a high estimate of $1.66 and a low estimate of $1.63, while EPS last year was $1.37. The consensus estimate for the next quarter is $1.62, with high estimates of $1.75 and low estimates of $1.4.

Analysts are recommending an EPS of between $6.96 and $5.66 for the fiscal current year, implying an average EPS of $6.31. EPS for the following year is $6.49, with 19 analysts recommending between $7.94 and $5.56.

Revenue Estimates

18 analysts predict $2.29B in revenue for the current quarter. It ranges from a high estimate of $2.3B to a low estimate of $2.29B. As of the current estimate, Microchip Technology Incorporated’s year-ago sales were $1.96B, an estimated increase of 16.60% from the year-ago figure. For the next quarter, 18 analysts are estimating revenue of $2.28B, an increase of 10.30% less than the figure of $16.60% in the same quarter last year. There is a high estimate of $2.33B for the next quarter, whereas the lowest estimate is $2.06B.

A total of 21 analysts have provided revenue estimates for MCHP’s current fiscal year. The highest revenue estimate was $9.37B, while the lowest revenue estimate was $8.15B, resulting in an average revenue estimate of $8.92B. In the same quarter a year ago, actual revenue was $8.44B, up 5.70% from the average estimate. Based on 19 analysts’ estimates, the company’s revenue will be $9.05B in the next fiscal year. The high estimate is $9.92B and the low estimate is $7.9B. The average revenue growth estimate for next year is up 1.40% from the average revenue estimate for this year.