The stock price of Microchip Technology, Inc (NASDAQ: MCHP) has plunged by -0.12 when compared to previous closing price of 58.11, but the company has seen a -0.02% decline in its stock price over the last five trading sessions. wsj.com reported 2025-05-29 that Microchip is performing better than management expected when it hosted its investor call on May 8, with higher-than-expected bookings, Chief Executive Steve Sanghi said.
Is It Worth Investing in Microchip Technology, Inc (NASDAQ: MCHP) Right Now?
The 36-month beta value for MCHP is at 1.47. Analysts have varying views on the stock, with 13 analysts rating it as a “buy,” 3 rating it as “overweight,” 8 as “hold,” and 0 as “sell.”
The public float for MCHP is 527.90M, and currently, shorts hold a 5.79% of that float. The average trading volume for MCHP on June 02, 2025 was 12.07M shares.
MCHP’s Market Performance
MCHP’s stock has seen a -0.02% decrease for the week, with a 25.95% rise in the past month and a -1.39% fall in the past quarter. The volatility ratio for the week is 2.70%, and the volatility levels for the past 30 days are at 3.93% for Microchip Technology, Inc The simple moving average for the past 20 days is 2.86% for MCHP’s stock, with a -6.91% simple moving average for the past 200 days.
Analysts’ Opinion of MCHP
Many brokerage firms have already submitted their reports for MCHP stocks, with BofA Securities repeating the rating for MCHP by listing it as a “Neutral.” The predicted price for MCHP in the upcoming period, according to BofA Securities is $56 based on the research report published on May 09, 2025 of the current year 2025.
UBS, on the other hand, stated in their research note that they expect to see MCHP reach a price target of $60, previously predicting the price at $55. The rating they have provided for MCHP stocks is “Buy” according to the report published on May 09th, 2025.
Truist gave a rating of “Hold” to MCHP, setting the target price at $52 in the report published on May 09th of the current year.
MCHP Trading at 17.84% 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 -40.84% of loss for the given period.
Volatility was left at 3.93%, however, over the last 30 days, the volatility rate increased by 2.70%, as shares surge +26.23% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +6.36% upper at present.
During the last 5 trading sessions, MCHP fell by -0.02%, which changed the moving average for the period of 200-days by -24.05% in comparison to the 20-day moving average, which settled at $56.43. In addition, Microchip Technology, Inc saw 1.20% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at MCHP starting from Bjornholt James Eric, who sale 2,015 shares at the price of $55.78 back on May 23 ’25. After this action, Bjornholt James Eric now owns 34,313 shares of Microchip Technology, Inc, valued at $112,397 using the latest closing price.
Bjornholt James Eric, the Officer of Microchip Technology, Inc, proposed sale 2,015 shares at $55.72 during a trade that took place back on May 23 ’25, which means that Bjornholt James Eric is holding shares at $112,276 based on the most recent closing price.
Stock Fundamentals for MCHP
Current profitability levels for the company are sitting at:
- 0.07 for the present operating margin
- 0.56 for the gross margin
The net margin for Microchip Technology, Inc stands at -0.0. The total capital return value is set at 0.02. Equity return is now at value -0.01, with -0.00 for asset returns.
Based on Microchip Technology, Inc (MCHP), the company’s capital structure generated 0.53 points at debt to capital in total, while cash flow to debt ratio is standing at 0.17. The debt to equity ratio resting at 1.12. The interest coverage ratio of the stock is 1.58.
Currently, EBITDA for the company is 296.3 million with net debt to EBITDA at 7.23. When we switch over and look at the enterprise to sales, we see a ratio of 8.52. The receivables turnover for the company is 5.13for trailing twelve months and the total asset turnover is 0.28. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.59.
Conclusion
In conclusion, Microchip Technology, Inc (MCHP) has had a mixed performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others 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.
