Microchip Technology Incorporated
Rank #356Capital ReturnMCHPP · Nasdaq · Technology
Microchip Technology Incorporated (MCHPP) — Rank #356 by gross profitability (GP/assets 0.19) · ROE 3.6% · Piotroski F-Score 6 / 9.
As-of 2026-09-28 · CIK 0000827054 · all metrics point-in-time as of the filing date.
About
Microchip Technology Incorporated develops, manufactures, and sells smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia.
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It operates in two segments, Semiconductor Products and Technology Licensing. The company offers general-purpose 8-bit, 16-bit, 32-bit, and 64-bit mixed-signal microcontrollers; 32-bit and 64-bit embedded mixed-signal microprocessors; and specialized mixed-signal microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human-machine interface, security, wired connectivity, and wireless connectivity applications. It also provides analog products, including power management, linear, mixed-signal, high voltage, thermal management, discrete diodes and MOSFETs, radio frequency (RF), gate drivers, safety, security, timing, application-specific standard products, USB, Ethernet, wireless, and other interface products; field-programmable gate array (FPGA) products; and application development tools that enable system designers to program mixed-signal microcontroller, FPGA, and microprocessor products. In addition, the company offers memory products consisting of serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, serial static random-access memory, and electrically erasable random-access memory for footprint devices. Further, it 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 arrays, RF, analog, and neuromorphic compute products. Additionally, the company offers engineering services; wafer foundry, assembly, and test subcontracting manufacturing services; and timing systems, application-specific integrated circuits, and products for aerospace applications.
The company was incorporated in 1989 and is headquartered in Chandler, Arizona.
- Industry
- Semiconductors
- Sector
- Technology
- State
- DE
- Filer Category
- Large accelerated filer
- Fiscal Year End
- March 31
- Website
- microchip.com
Company Snapshot
P/E and reverse DCF are the primary valuation lenses at this stage.
Market Cap
—
P/E (annual)
—
P/S (annual)
—
P/B
—
P/OCF (annual)
—
Shareholder Yield
—
Employees
17,900
Industry
Semiconductors
Exchange
Nasdaq
Signal Flags
Quality Profile
Profitability
1/1 passSafety
1/1 passCash Flow
3/3 passGrowth
2/2 passTerry Smith quality gate
Passes 2/5 Terry Smith thresholds1 of 5 threshold not computable from filed data.
FCF yield, shareholder yield, and buyback activity are the primary reads at this stage.
Profitability
Gross profitability (GP / assets)
0.19
Primary signal (Novy-Marx).
20th pctl of 21 SIC 3674 peers
Return on equity
3.6%
Gross margin
57.7%
85th pctl of 21 SIC 3674 peers
Revenue growth (YoY)
7.1%
Gross margin improving
Margin trend vs prior year.
Operating Leverage
| 2023 | 2024 | 2025 | 2026 | |
|---|---|---|---|---|
| Revenue vs COGS | ||||
| Revenue vs OpEx | ||||
| Op. Income vs Revenue |
Growth
Revenue CAGR (3Y)
-17.6%
Revenue CAGR (5Y)
-2.8%
Earnings CAGR (3Y)
-53.2%
FCF CAGR (3Y)
-36.9%
Anti-fragile safety
Balance-sheet safety
Composite anti-fragile check.
Debt / equity
1.23
21st pctl of 20 SIC 3674 peers (best = lowest)
Current ratio
1.92×
20th pctl of 21 SIC 3674 peers
Quick ratio
0.96×
Net cash
-$5.09B
Cash & equivalents minus total debt.
Recession resistance
Revenue through recessions
Worst single-year YoY revenue decline, 19 years of history
Cash-flow health
Free cash flow
$760.20M
Operating cash flow minus capex.
Positive free cash flow
FCF / net income
2.31
Cash-backing of earnings.
FCF/NI divergence
Unfavorable divergence (yellow flag).
Accruals healthy
Cash-backed earnings.
SBC / revenue
5.4%
Stock-based comp intensity.
Dividend safety
Composite score
0.8 / 5
Piotroski F-Score
F-Score
6 / 9
Fundamental-strength score (0-9).