Microchip Technology (Germany) Performance
| MCP Stock | EUR 68.12 4.63 7.29% |
On a scale of 0 to 100, Microchip Technology holds a performance score of 9. The company secures a Beta (Market Risk) of 0.55, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Microchip Technology's returns are expected to increase less than the market. However, during the bear market, the loss of holding Microchip Technology is expected to be smaller as well. Please check Microchip Technology's total risk alpha, value at risk, and the relationship between the standard deviation and treynor ratio , to make a quick decision on whether Microchip Technology's current price movements will revert.
Risk-Adjusted Performance
Fair
Weak | Strong |
Compared to the overall equity markets, risk-adjusted returns on investments in Microchip Technology Incorporated are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Despite nearly unsteady basic indicators, Microchip Technology reported solid returns over the last few months and may actually be approaching a breakup point. ...more
| Begin Period Cash Flow | 280 M | |
| Total Cashflows From Investing Activities | -477.7 M |
Microchip |
Microchip Technology Relative Risk vs. Return Landscape
If you would invest 5,367 in Microchip Technology Incorporated on November 1, 2025 and sell it today you would earn a total of 1,445 from holding Microchip Technology Incorporated or generate 26.92% return on investment over 90 days. Microchip Technology Incorporated is currently producing 0.472% returns and takes up 3.7556% volatility of returns over 90 trading days. Put another way, 33% of traded stocks are less volatile than Microchip, and 91% of all traded equity instruments are likely to generate higher returns over the next 90 trading days. Expected Return |
| Risk |
Microchip Technology Target Price Odds to finish over Current Price
The tendency of Microchip Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to move above the current price in 90 days |
| 68.12 | 90 days | 68.12 | roughly 2.61 |
Based on a normal probability distribution, the odds of Microchip Technology to move above the current price in 90 days from now is roughly 2.61 (This Microchip Technology Incorporated probability density function shows the probability of Microchip Stock to fall within a particular range of prices over 90 days) .
Assuming the 90 days horizon Microchip Technology has a beta of 0.55. This indicates as returns on the market go up, Microchip Technology average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Microchip Technology Incorporated will be expected to be much smaller as well. Additionally Microchip Technology Incorporated has an alpha of 0.32, implying that it can generate a 0.32 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Microchip Technology Price Density |
| Price |
Predictive Modules for Microchip Technology
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Microchip Technology. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Microchip Technology Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Microchip Technology is not an exception. The market had few large corrections towards the Microchip Technology's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Microchip Technology Incorporated, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Microchip Technology within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | 0.32 | |
β | Beta against Dow Jones | 0.55 | |
σ | Overall volatility | 6.91 | |
Ir | Information ratio | 0.08 |
Microchip Technology Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Microchip Technology for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Microchip Technology can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Microchip Technology had very high historical volatility over the last 90 days | |
| Microchip Technology has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Microchip Technology Incorporated has accumulated 7.69 B in total debt with debt to equity ratio (D/E) of 194.9, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Microchip Technology has a current ratio of 0.91, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Microchip Technology until it has trouble settling it off, either with new capital or with free cash flow. So, Microchip Technology's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Microchip Technology sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Microchip to invest in growth at high rates of return. When we think about Microchip Technology's use of debt, we should always consider it together with cash and equity. | |
| Over 93.0% of Microchip Technology shares are owned by institutional investors |
Microchip Technology Fundamentals Growth
Microchip Stock prices reflect investors' perceptions of the future prospects and financial health of Microchip Technology, and Microchip Technology fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Microchip Stock performance.
| Return On Equity | 0.34 | |||
| Return On Asset | 0.11 | |||
| Profit Margin | 0.26 % | |||
| Operating Margin | 0.35 % | |||
| Current Valuation | 46.19 B | |||
| Shares Outstanding | 547.8 M | |||
| Price To Earning | 62.58 X | |||
| Price To Book | 6.92 X | |||
| Price To Sales | 5.27 X | |||
| Revenue | 6.82 B | |||
| EBITDA | 2.74 B | |||
| Cash And Equivalents | 430.9 M | |||
| Cash Per Share | 1.81 X | |||
| Total Debt | 7.69 B | |||
| Debt To Equity | 194.90 % | |||
| Book Value Per Share | 11.52 X | |||
| Cash Flow From Operations | 2.84 B | |||
| Earnings Per Share | 3.49 X | |||
| Total Asset | 16.2 B | |||
About Microchip Technology Performance
By analyzing Microchip Technology's fundamental ratios, stakeholders can gain valuable insights into Microchip Technology's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Microchip Technology has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Microchip Technology has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Microchip Technology Incorporated develops, manufactures, and sells semiconductor products for various embedded control applications in the Americas, Europe, and Asia. Microchip Technology Incorporated was founded in 1989 and is headquartered in Chandler, Arizona. MICROCHIP TECH operates under Semiconductors classification in Germany and is traded on Frankfurt Stock Exchange. It employs 18286 people.Things to note about Microchip Technology performance evaluation
Checking the ongoing alerts about Microchip Technology for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Microchip Technology help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Microchip Technology had very high historical volatility over the last 90 days | |
| Microchip Technology has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Microchip Technology Incorporated has accumulated 7.69 B in total debt with debt to equity ratio (D/E) of 194.9, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Microchip Technology has a current ratio of 0.91, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Microchip Technology until it has trouble settling it off, either with new capital or with free cash flow. So, Microchip Technology's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Microchip Technology sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Microchip to invest in growth at high rates of return. When we think about Microchip Technology's use of debt, we should always consider it together with cash and equity. | |
| Over 93.0% of Microchip Technology shares are owned by institutional investors |
- Analyzing Microchip Technology's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Microchip Technology's stock is overvalued or undervalued compared to its peers.
- Examining Microchip Technology's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Microchip Technology's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Microchip Technology's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Microchip Technology's stock. These opinions can provide insight into Microchip Technology's potential for growth and whether the stock is currently undervalued or overvalued.
Complementary Tools for Microchip Stock analysis
When running Microchip Technology's price analysis, check to measure Microchip Technology's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Microchip Technology is operating at the current time. Most of Microchip Technology's value examination focuses on studying past and present price action to predict the probability of Microchip Technology's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Microchip Technology's price. Additionally, you may evaluate how the addition of Microchip Technology to your portfolios can decrease your overall portfolio volatility.
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