Microchip Technology Incorporated

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

In the fiscal year to Mar 2026, Mixed-signal Microcontrollers was 50% and Analog was 28% of revenue; Mixed-signal Microcontrollers fell from 56% in the fiscal year to Mar 2024.

Quarters: Microchip Technology Incorporated's SEC filings, named by the month they end. Fiscal years: Microchip Technology Incorporated's annual reports to the SEC.

How it makes money

Of every $100 in revenue, $4.9 ends up as net income. Net margin fell from 26.5% to 4.9% over the past 3 years.

Each margin is that line of the income statement divided by revenue. Fiscal year: Microchip Technology Incorporated's annual reports to the SEC; quarters: SEC filings.

Where it is in the chip cycle

Gross margin 65.9% and rising for 4 quarters; inventory at 190 days, down from 244 a year earlier; capital spending 1.3% of revenue over the last 4 quarters.

Gross margin by fiscal quarter, from SEC filings. Inventory days: year-end inventory over that year's cost of revenue, times 365.

Customers and suppliers

In its latest annual report Microchip Technology buys from SMIC; sells to Arrow Electronics.

Suppliers

SMIC 0981.HK

 

MMCHPMicrochip Technology

Customers

Arrow Electronics ARW 12%

Microchip Technology's 10-K for the year to Mar 2026 gives one customer's share of its revenue: Arrow Electronics (12%).

From Microchip Technology Incorporated's 10-Q and 10-K filings (XBRL): each customer whose share of revenue a filing tags, under the filing's own label, so “Customer A” in one filing can be another company in the next; a later filing's figures for a period replace an earlier one's.

Changes since the previous annual report (10-K filed May 23, 2025)

Arrow Electronics ARWCustomer, share of revenue10% → 12%

Only the companies Microchip Technology names in its 10-K filed May 21, 2026 (SEC). The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Hover a name for the filing's own words.

Is it expensive?

P/E of 46.7x, above the peer median of 21x, so it needs earnings to keep growing to hold up.

Priced 122% above the peer median of 21x.

At 46.7× trailing earnings MCHP is inside the middle of its five-year range; the five-year median is 27.1×.

Closing price over diluted earnings per share of the last four reported quarters, as known on each day (a quarter counts 35 days after it ends). From SEC filings; earnings per share adjusted for splits.

What analysts expect

The average analyst price target is $86.48, 39% above the current price; 81% of 26 analysts rate it a buy; earnings beat estimates in all of the last 4 quarters.

Buy or Strong Buy: 21 analysts (81%). Sell or Strong Sell: 0.

Over the past year the average of the analysts' latest price targets went from $75.29 to $89.65 (+19%), while MCHP went from $54.81 to $62.08 (+13%). In the past three months targets were cut 17 times and never raised. 1 upgrade and no downgrades over the year; the latest: Cantor Fitzgerald moved it to Overweight from Neutral on Dec 16, 2025.

The day after each of these reports the stock moved −2.8% (Dec 2025, beat); −3.7% (Mar 2026, beat); +8.9% (Jun 2026, beat); −22.6% (Sep 2026, beat).

For the quarter ending Dec 2026 (Microchip Technology reports on Feb 4, 2027), analysts expect adjusted earnings of $0.91 a share, 107% more than the $0.44 of a year earlier, and revenue of $1.6B, up 36% on a year earlier. For the fiscal year ending Mar 2027, they expect adjusted earnings of $3.63 a share, and revenue of $6.4B, up 35% on the year before.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $1.5B in free cash flow over the year, of which $990M went back to shareholders (dividends plus buybacks), leaving $470M in the company.

Microchip Technology had 551M diluted shares in the quarter ended Sep 2026, 1.0% more than a year earlier, and 0.6% fewer each year on average since Dec 2021.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter. Shares: each quarter's diluted weighted average as filed with the SEC, since the stock's listing and its latest split.

Financial health

Current ratio 2.1, no pressure to repay short-term debt; debt-to-equity 0.9, debt is moderate.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

In the filings of 1 member of Congress and 7 funds whose copy leaves MCHP out (not traded on the exchange): Mirae Asset Global Investments, Bridgewater Associates, Norges Bank, Swiss National Bank, Canada Pension Plan Investment Board, Rob Bresnahan and 2 more.

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 14 held MCHP at the end of their latest quarter (for most, Q2 2026). Over that quarter 6 added shares, 5 cut, 3 bought new and 1 sold all. The largest of them is Norges Bank, 9.08M shares worth $828M at Jun 30, 2026, 12.9% fewer than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of MCHP at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.

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