Microchip Technology (NASDAQ:MCHP) Updates Q3 2026 Earnings Guidance

Microchip Technology (NASDAQ:MCHP) updated its third quarter 2026 earnings guidance on Friday. The company provided earnings per share guidance of 0.400-0.400 for the period, compared to the consensus earnings per share estimate of 0.330. The company issued revenue guidance of $1.1 billion-$1.1 billion, compared to the consensus revenue estimate of $1.1 billion.

Microchip Technology Stock Performance

Shares of MCHP stock opened at $65.34 on Friday. The company has a market cap of $35.31 billion, a P/E ratio of -145.19, a PEG ratio of 2.04 and a beta of 1.47. The business has a 50 day moving average of $60.50 and a two-hundred day moving average of $65.17. Microchip Technology has a 52 week low of $34.13 and a 52 week high of $77.20. The company has a quick ratio of 1.20, a current ratio of 2.25 and a debt-to-equity ratio of 0.80.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings results on Thursday, November 6th. The semiconductor company reported $0.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.33 by $0.02. Microchip Technology had a positive return on equity of 5.21% and a negative net margin of 4.39%.The business had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.13 billion. During the same quarter last year, the business posted $0.46 EPS. The business’s revenue was down 2.0% on a year-over-year basis. Microchip Technology has set its Q3 2026 guidance at 0.340-0.400 EPS. As a group, analysts anticipate that Microchip Technology will post 1.03 EPS for the current year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 9th. Stockholders of record on Monday, November 24th were issued a dividend of $0.455 per share. The ex-dividend date of this dividend was Monday, November 24th. This represents a $1.82 annualized dividend and a dividend yield of 2.8%. Microchip Technology’s payout ratio is -404.44%.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on the stock. Truist Financial restated a “hold” rating and set a $60.00 price target (down previously from $64.00) on shares of Microchip Technology in a research report on Friday, November 7th. Citigroup decreased their target price on shares of Microchip Technology from $90.00 to $80.00 and set a “buy” rating for the company in a research report on Friday, November 7th. Needham & Company LLC raised their price target on shares of Microchip Technology from $73.00 to $75.00 and gave the company a “buy” rating in a research note on Thursday, December 4th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Microchip Technology in a research report on Wednesday, October 8th. Finally, KeyCorp reissued an “overweight” rating on shares of Microchip Technology in a report on Wednesday, December 3rd. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $76.00.

Insider Activity at Microchip Technology

In related news, CFO James Eric Bjornholt sold 4,292 shares of the stock in a transaction that occurred on Tuesday, November 25th. The shares were sold at an average price of $50.39, for a total transaction of $216,273.88. Following the completion of the sale, the chief financial officer directly owned 30,089 shares of the company’s stock, valued at $1,516,184.71. This represents a 12.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.94% of the stock is owned by insiders.

Institutional Trading of Microchip Technology

Several hedge funds and other institutional investors have recently modified their holdings of the business. AQR Capital Management LLC increased its position in Microchip Technology by 51.3% during the 1st quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock valued at $827,000 after purchasing an additional 5,835 shares during the period. Geneos Wealth Management Inc. lifted its position in shares of Microchip Technology by 101.8% in the 1st quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock worth $59,000 after purchasing an additional 616 shares during the period. Cresset Asset Management LLC boosted its stake in shares of Microchip Technology by 5.4% in the 2nd quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company’s stock valued at $805,000 after purchasing an additional 589 shares during the last quarter. AXA S.A. increased its position in shares of Microchip Technology by 21.3% during the second quarter. AXA S.A. now owns 51,552 shares of the semiconductor company’s stock worth $3,628,000 after buying an additional 9,043 shares during the period. Finally, Treasurer of the State of North Carolina increased its position in shares of Microchip Technology by 1.6% during the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company’s stock worth $17,348,000 after buying an additional 3,851 shares during the period. Institutional investors and hedge funds own 91.51% of the company’s stock.

About Microchip Technology

Microchip Technology Inc is a semiconductor company headquartered in Chandler, Arizona, that designs, develops and supplies a broad portfolio of embedded control and analog semiconductors. Its product lineup centers on microcontrollers (including the well-known PIC family), digital signal controllers and associated development tools and software, along with a range of mixed-signal and analog devices, nonvolatile memory, power management, timing, interface, wireless and security products. The company also provides integrated hardware and software solutions intended to simplify embedded design and accelerate time to market for OEMs and contract manufacturers.

Microchip’s products are used across a wide range of end markets, including automotive, industrial automation, consumer electronics, communications, aerospace and defense, and Internet of Things (IoT) applications.