Should I Buy MCHP Stock in 2026?

Data-driven analysis and honest assessment for Microchip Technology Inc

Analysis Updated:
AVOIDSignificant risks outweigh potential rewards

Current Price: $74.64

Decision Score

3.9/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)5/10

P/E data not available

Growth (20%)3/10

Declining -0%

Profitability (20%)2/10

Currently unprofitable

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)4/10

Low FCF yield of 1.7%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$74.64

P/E Ratio

N/A

Revenue Growth

0.2%

Profit Margin

-0.0%

Market Cap

$40.6B

Dividend Yield

0.02%

How MCHP Compares to Competitors

Understanding how MCHP stacks up against peers helps inform your investment decision.

How MCHP Compares to Peers

Upcoming Events for MCHP

+5 Reasons TO Buy MCHP

1. High gross margins of 55%

moderate

Gross margins above 50% typically indicate strong brand value or intellectual property moats.

-5 Reasons NOT to Buy MCHP

1. Company is not profitable

high risk

Currently losing money. May need to raise capital or cut operations.

2. High PEG ratio of 5.7

high risk

PEG above 2 suggests expensive relative to growth rate.

3. Minimal revenue growth

low risk

Growth of 0.2% barely keeps pace with inflation.

4. Low free cash flow yield of 1.7%

low risk

Limited cash generation means most value comes from future growth expectations.

Who Should Buy MCHP?

Investment Profile

Risk Level

Very High

Recommended Holding Period

5+ years (turnaround required)

Best For:

    Not Suitable For:

    • Growth Investors

      Limited 0% growth may disappoint

    • Income-Focused Retirees

      Low 0.0% yield

    • Risk-Averse Investors

      Very High risk may cause uncomfortable volatility

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    Get the Full Picture

    Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for MCHP

    Frequently Asked Questions

    What is MCHP stock price today?

    MCHP (Microchip Technology Inc) stock is trading at $74.64 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

    Is MCHP stock going up or down today?

    MCHP stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

    Should I buy MCHP stock now?

    The decision to buy MCHP depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

    Is MCHP a buy, hold, or sell right now?

    Our AI-powered analysis provides buy/hold/sell recommendations for MCHP based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

    Is MCHP stock overvalued or undervalued?

    Use our DCF valuation calculator to determine if MCHP is overvalued or undervalued based on fundamental analysis and future cash flow projections.

    What is MCHP's P/E ratio?

    P/E ratio data for MCHP will be available after the company reports earnings. Visit our dashboard for the latest financial metrics.

    What is MCHP's market cap?

    MCHP (Microchip Technology Inc) has a market capitalization of $40.57 billion, making it a mid-cap stock.

    What is MCHP's price to book ratio?

    MCHP trades at a price-to-book (P/B) ratio of 5.20, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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    Disclaimer

    This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.