
Microchip Technology (MCHP) Stock Forecast & Price Target
Microchip Technology (MCHP) Analyst Ratings
Bulls say
Microchip Technology's positive outlook is underpinned by strong bookings growth of 10% and a bookings-to-bill ratio exceeding parity at 1.06, signaling good future demand. The company is experiencing revenue growth across the Americas and Asia, with specific segments such as microcontrollers increasing 9.7% quarter-over-quarter, which reflects a robust performance despite flat revenue in Europe. Furthermore, management anticipates above-seasonal revenue growth for fiscal years 2026 and 2027, driven by stronger data center shipments and improved gross margin guidance, elevating expectations for financial performance in upcoming quarters.
Bears say
The analysis indicates a negative outlook for Microchip Technology primarily due to a delayed cyclical recovery and weakened revenue forecasts. The company has guided F3Q26 revenue at $1.129 billion, reflecting a 1% quarter-over-quarter decline and falling short of both internal estimates and market expectations, exacerbated by softer-than-anticipated demand. Additionally, concerns regarding increasing pressures on gross margins and potential inventory challenges raise further doubts about the company's profitability in the upcoming quarters.
This aggregate rating is based on analysts' research of Microchip Technology and is not a guaranteed prediction by Public.com or investment advice.
Microchip Technology (MCHP) Analyst Forecast & Price Prediction
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