What Analysts Are Saying About Microchip Technology Stock
In the last three months, 27 analysts have published ratings on Microchip Technology (NASDAQ:MCHP), offering a diverse range of perspectives from bullish to bearish.
The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 11 | 9 | 7 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 6 | 6 | 3 | 0 | 0 |
| 2M Ago | 3 | 3 | 2 | 0 | 0 |
| 3M Ago | 2 | 0 | 1 | 0 | 0 |
Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $84.11, along with a high estimate of $115.00 and a low estimate of $68.00. Witnessing a positive shift, the current average has risen by 9.55% from the previous average price target of $76.78.
Diving into Analyst Ratings: An In-Depth Exploration
The standing of Microchip Technology among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| William Stein | Truist Securities | Raises | Hold | $69.00 | $68.00 |
| Harlan Sur | JP Morgan | Raises | Overweight | $95.00 | $85.00 |
| Christopher Danely | Citigroup | Lowers | Buy | $91.00 | $92.00 |
| Joe Quatrochi | Wells Fargo | Raises | Equal-Weight | $70.00 | $68.00 |
| William Stein | Truist Securities | Raises | Hold | $68.00 | $60.00 |
| Matthew Prisco | Cantor Fitzgerald | Maintains | Overweight | $100.00 | $100.00 |
| Vijay Rakesh | Mizuho | Raises | Outperform | $90.00 | $83.00 |
| Kevin Cassidy | Rosenblatt | Raises | Buy | $115.00 | $80.00 |
| N. Quinn Bolton | Needham | Raises | Buy | $84.00 | $77.00 |
| C.J. Muse | Cantor Fitzgerald | Raises | Overweight | $100.00 | $85.00 |
| Pradeep Ramani | UBS | Raises | Buy | $95.00 | $85.00 |
| Christopher Rolland | Susquehanna | Raises | Positive | $90.00 | $75.00 |
| Vivek Arya | B of A Securities | Raises | Neutral | $78.00 | $72.00 |
| Christopher Danely | Citigroup | Raises | Buy | $92.00 | $80.00 |
| Harsh Kumar | Piper Sandler | Raises | Overweight | $85.00 | $80.00 |
| Craig Ellis | B. Riley Securities | Raises | Buy | $95.00 | $85.00 |
| Vijay Rakesh | Mizuho | Raises | Outperform | $83.00 | $80.00 |
| Joe Quatrochi | Wells Fargo | Raises | Equal-Weight | $68.00 | $58.00 |
| Harlan Sur | JP Morgan | Raises | Overweight | $85.00 | $77.00 |
| Joseph Moore | Morgan Stanley | Raises | Equal-Weight | $69.00 | $68.00 |
| Kevin Cassidy | Rosenblatt | Maintains | Buy | $80.00 | $80.00 |
| Tore Svanberg | Stifel | Raises | Buy | $80.00 | $75.00 |
| N. Quinn Bolton | Needham | Raises | Buy | $77.00 | $75.00 |
| C.J. Muse | Cantor Fitzgerald | Raises | Overweight | $85.00 | $65.00 |
| Vivek Arya | B of A Securities | Raises | Neutral | $72.00 | $67.00 |
| N. Quinn Bolton | Needham | Raises | Buy | $75.00 | $73.00 |
| Kevin Cassidy | Rosenblatt | Maintains | Buy | $80.00 | $80.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Microchip Technology. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Microchip Technology compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Microchip Technology's stock. This comparison reveals trends in analysts' expectations over time.
For valuable insights into Microchip Technology's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Microchip Technology analyst ratings.
About Microchip Technology
Microchip Technology became an independent company in 1989 when it was spun off from General Instrument. More than half of revenue comes from MCUs, which are used in a wide array of electronic devices from remote controls to garage door openers to power windows in autos. The company's strength lies in lower-end 8-bit MCUs that are suitable for a wider range of less technologically advanced devices, but the firm has expanded its presence in higher-end MCUs and analog chips as well.
Financial Insights: Microchip Technology
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Microchip Technology displayed positive results in 3M. As of 31 December, 2025, the company achieved a solid revenue growth rate of approximately 15.59%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Information Technology sector.
Net Margin: Microchip Technology's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 2.94%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Microchip Technology's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 0.53%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Microchip Technology's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.24%, the company may face hurdles in generating optimal returns from its assets.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 0.82, caution is advised due to increased financial risk.
Analyst Ratings: What Are They?
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.