Valuation dashboard for Microchip Technology Incorporated (MCHP) with P/E 105.56, P/B 6.40, EV/EBITDA 27.6 and dividend yield 2.39%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Technology companies.
Microchip Technology Incorporated creates, produces, and sells intelligent, interconnected, and secure embedded control solutions to customers throughout the Americas, Europe, and Asia. The company's core offerings include a range of microcontrollers, such as general-purpose 8-bit, 16-bit, and 32-bit models, as well as 32-bit embedded microprocessors.
What would it be worth at its usual multiples?
Versus its usual multiples: fairly priced · 2027 est. P/E 20.9× · Multiples range: $114.97 · $185.37.
On those earnings: at the decade median (50.8×) $185 (+144 %); at its sector median (31.5×) $115 (+51 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.
Note: earnings per share over the last twelve months ($0.72) are far from the consensus for 2027 ($3.65); that is why this range uses expected earnings.
Analysis Summary
Microchip Technology Incorporated reported revenue of $4.71B in the most recent fiscal year, growing at a 5-year CAGR of -2.8%. Net income reached $202.2M, with a -10.4% 5-year CAGR.
Trailing-twelve-month margins: gross margin 60.2%, operating margin 15.5%, net margin 8.8%.
At $76.11 (closing price, November 2, 2026), MCHP trades at a P/E of 105.56 and an ROE of 6.90%. Market capitalisation stands at $41.3B, placing it among large-cap names.
Balance sheet quality for MCHP: debt-to-equity ratio of 0.84, current ratio of 1.92 over the last 12 months. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Valuation Ratios
| P/E Ratio | 105.56 |
| Price / Book | 6.40 |
| EV / EBITDA | 27.6 |
| Dividend Yield | 2.39% |
Peer Comparison
| Symbol | Company | Market Cap | P/E | P/B | ROE |
|---|---|---|---|---|---|
| MCHP | Microchip Technology Incorporated | $41.3B | 105.56 | 6.40 | 6.9% |
| TXN | Texas Instruments Incorporated | $276.0B | 39.12 | 14.39 | 40.5% |
| ADI | Analog Devices, Inc. | $200.1B | 48.97 | 6.06 | 12.3% |
| MPWR | Monolithic Power Systems, Inc. | $61.1B | 68.65 | 15.92 | 24.0% |
| NXPI | NXP Semiconductors N.V. | $64.8B | 20.22 | 5.61 | 29.2% |
| ON | ON Semiconductor Corporation | $27.3B | 40.76 | 3.61 | 9.3% |
| LSCC | Lattice Semiconductor Corporation | $13.6B | 303.85 | 9.64 | 4.9% |
| STM | STMicroelectronics N.V. | $42.1B | 84.23 | 2.33 | 3.0% |
Price
| Price | $76.11 (closing price, November 2, 2026) |
| Market Cap | $41.3B |
| Exchange | NASDAQ |
| Country | US |
Profitability
| Return on Equity | 6.90% |
| Return on Invested Capital | 4.99% |
| Return on Assets | 3.13% |
| Gross Margin | 60.19% |
| Operating Margin | 15.52% |
| Net Margin | 8.80% |
Related companies: TXN · ADI · MPWR · NXPI · ON · LSCC · STM · VSH
Explore sector: Technology · Semiconductors
More sections of MCHP: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events
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