Microchip Technology Incorporated (MCHP) Stock Analysis
Last updated Sep 8, 2026
Health Check
Last analyzed Sep 7, 2026
- Financial Health 50
- Profitability 40
- Business Quality 75
- Balance Sheet 40
- Cash Flow 45
Why this rating?
Health 52/100 — Acceptable
Worth tracking, but timing is mixed — not a clear setup yet.
Company overview
Microchip Technology Incorporated (MCHP) is a Semiconductors company in the Technology sector. Compound Radar rates Microchip Technology Incorporated 52/100 (Acceptable) due to high business quality, strong revenue growth, and elevated leverage.
Investment profile
- Quality High
- Growth Strong
- Balance Sheet Stretched
- Valuation Attractive
Financial highlights
Valuation
- P/E 107.91
- Forward P/E 16.07
- PEG 0.22
- EV/Revenue 8.86
Profitability
- Revenue Growth 38.0%
- Gross Margin 60.2%
- Operating Margin 24.0%
- Net Margin 9.3%
- ROE 7.2%
Financial strength
- Cash $272.30M
- Debt $5.40B
- Net Cash $-5.13B
- Free Cash Flow $871.00M
- Current Ratio 1.92
Similar companies
Peers in Semiconductors, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- NVIDIA Corporation Semiconductors NVDA$225.73 91 Health 91 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- Micron Technology, Inc. Semiconductors MU$1,000.26 88 Health 88 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Astera Labs, Inc. Semiconductors ALAB$288.85 88 Health 88 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- Broadcom Inc. Semiconductors AVGO$368.56 86 Health 86 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Monolithic Power Systems, Inc. Semiconductors MPWR$1,218.50 83 Health 83 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Rambus Inc. Semiconductors RMBS$86.89 83 Health 83 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Good Entry Good EntryA usable setup — not as clean as Strong Entry, but timing is not mixed or weak.
- Advanced Micro Devices, Inc. Semiconductors AMD$505.74 82 Health 82 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Watch WatchWorth tracking, but timing is mixed — not a clear setup yet.
- Credo Technology Group Holding Ltd Semiconductors CRDO$167.75 82 Health 82 / 100
Strong business quality across profitability, growth, balance sheet, and cash flow.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks Microchip Technology Incorporated (MCHP).