The price-to-earnings ratio for Microchip Technology, Inc. (NASDAQ: MCHP) is above average at 30.04x. The 36-month beta value for MCHP is also noteworthy at 1.51. There are mixed opinions on the stock, with 6 analysts rating it as a “buy,” 6 rating it as “overweight,” 5 rating it as “hold,” and 0 rating it as “sell.”
The public float for MCHP is 525.13M, and at present, short sellers hold a 5.10% of that float. The average trading volume of MCHP on October 22, 2024 was 6.51M shares.
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MCHP) stock’s latest price update
The stock price of Microchip Technology, Inc. (NASDAQ: MCHP) has dropped by -2.79 compared to previous close of 77.34. Despite this, the company has seen a fall of -4.82% in its stock price over the last five trading days. globenewswire.com reported 2024-10-21 that CHANDLER, Ariz., Oct. 21, 2024 (GLOBE NEWSWIRE) — The global edge computing market is expected to grow by more than 30 percent in the next five years, serving mission-critical applications in the aerospace, defense, military, industrial and medical sectors.
MCHP’s Market Performance
MCHP’s stock has fallen by -4.82% in the past week, with a monthly drop of -2.38% and a quarterly drop of -16.20%. The volatility ratio for the week is 3.04% while the volatility levels for the last 30 days are 2.57% for Microchip Technology, Inc. The simple moving average for the last 20 days is -3.12% for MCHP’s stock, with a simple moving average of -12.63% for the last 200 days.
Analysts’ Opinion of MCHP
Many brokerage firms have already submitted their reports for MCHP stocks, with Truist repeating the rating for MCHP by listing it as a “Hold.” The predicted price for MCHP in the upcoming period, according to Truist is $80 based on the research report published on September 23, 2024 of the current year 2024.
Piper Sandler, on the other hand, stated in their research note that they expect to see MCHP reach a price target of $100, previously predicting the price at $90. The rating they have provided for MCHP stocks is “Overweight” according to the report published on August 16th, 2024.
TD Cowen gave a rating of “Hold” to MCHP, setting the target price at $80 in the report published on August 02nd of the current year.
MCHP Trading at -3.80% from the 50-Day Moving Average
After a stumble in the market that brought MCHP to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -25.24% of loss for the given period.
Volatility was left at 2.57%, however, over the last 30 days, the volatility rate increased by 3.04%, as shares sank -2.44% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -1.20% lower at present.
During the last 5 trading sessions, MCHP fell by -4.82%, which changed the moving average for the period of 200-days by -9.86% in comparison to the 20-day moving average, which settled at $77.60. In addition, Microchip Technology, Inc. saw -16.63% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at MCHP starting from Bjornholt James Eric, who sale 2,154 shares at the price of $81.50 back on Aug 23 ’24. After this action, Bjornholt James Eric now owns 33,257 shares of Microchip Technology, Inc., valued at $175,551 using the latest closing price.
Bjornholt James Eric, the Officer of Microchip Technology, Inc., proposed sale 2,154 shares at $81.44 during a trade that took place back on Aug 23 ’24, which means that Bjornholt James Eric is holding shares at $175,412 based on the most recent closing price.
Stock Fundamentals for MCHP
Current profitability levels for the company are sitting at:
- 0.28 for the present operating margin
- 0.62 for the gross margin
The net margin for Microchip Technology, Inc. stands at 0.21. The total capital return value is set at 0.13. Equity return is now at value 20.70, with 8.47 for asset returns.
Based on Microchip Technology, Inc. (MCHP), the company’s capital structure generated 0.49 points at debt to capital in total, while cash flow to debt ratio is standing at 0.37. The debt to equity ratio resting at 0.97. The interest coverage ratio of the stock is 108.25.
Currently, EBITDA for the company is 3.44 billion with net debt to EBITDA at 2.58. When we switch over and look at the enterprise to sales, we see a ratio of 7.02. The receivables turnover for the company is 6.01for trailing twelve months and the total asset turnover is 0.42. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.94.
Conclusion
In summary, Microchip Technology, Inc. (MCHP) has had a bad performance as of late. Analysts have bullish opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
