Will Wall Street Analysts Anticipate Rise or Fall in Microchip Technology Stock Values?
Dive into the world of Microchip Technology Incorporated (MCHP), a powerhouse company with a whopping market cap of $25.7 billion. Based in the heart of Chandler, Arizona, MCHP specializes in crafting smart, connected, and secure embedded control solutions, delivering its innovative creations across the Americas and beyond.
Remember, this tech titan offers more than just mixed-signal microcontrollers, microprocessors, and specialized microcontrollers. It's the 21st-century Jack of all trades!
The stock market can be a rollercoaster, and shares of MCHP have experienced their fair share of ups and downs. Over the past year, MCHP stock has taken a nosedive, plummeting 47.7% and slipping 16.7% year-to-date. In contrast, the broader market, as represented by the S&P 500 Index ($SPX), has posted an impressive 10.2% return over the same period but has lost 3.9% in 2025.
But what about the semiconductor market as a whole? MCHP may have underperformed the SPDR S&P Semiconductor ETF (XSD)'s 10.7% yearly decline, but it has outshone the ETF's 18.7% loss in 2025.
Following the release of its Q3 earnings on Feb. 6, MCHP stock marginally declined, with the company missing revenue and EPS estimates. Despite this, analysts predict MCHP's EPS will decline a staggering 78.3% year over year to $1.00 for the current fiscal year that ended in March 2025.
Fear not! MCHP has beaten or met analysts' consensus estimates in three out of the past four quarters.
As of now, 21 analysts have their eyes on MCHP, with a consensus rating of a "Strong Buy". This rating consists of 15 "Strong Buys," one "Moderate Buy," four "Holds," and one "Moderate Sell."
Recent moves by analysts have been relatively mixed, with Truist Financial Corporation (TFC) analyst William Stein lowering the price target on Microchip Technology to $43 from $56 while keeping a "Hold" rating on April 21.
Despite the stock's current position, analysts' mean price target of $58.76 points to a potential 23% upside from the current market price. Moreover, the Street-high target of $75 indicates a promising 57% upward momentum!
As with any investment, it's essential to do your homework. Kritika Sarmah did not have any positions in MCHP at the time of publication. For more insights, check out our website's Active Investor newsletter. Happy investing! 🤩🎉⚡️📈📊🚀🔥🔥🔥🚀📈📊🎉🤩🤩🤩!
Microchip Technology Incorporated (MCHP) isn't just about mixed-signal microcontrollers, microprocessors, and specialized microcontrollers; it's also a significant player in finance, given its $25.7 billion market cap. For those interested in investing, MCHP's current stock price presents an opportunity, with analysts predicting a 23% upside from the current market price, as indicated by their mean price target of $58.76.
