
Microchip Technology (MCHP) Stock Forecast & Price Target
Microchip Technology (MCHP) Analyst Ratings
Bulls say
Microchip Technology's stock outlook appears positive due to significant revenue growth across key regions, particularly in the Americas and Asia, despite a flat performance in Europe. The company's robust microcontroller product line saw a quarter-over-quarter increase of 9.7%, while improved gross margins are anticipated to rise by 150 basis points to 58.2%, attributed to stronger shipments related to data centers and lower inventory charges. Additionally, the firm is expected to gain market share in the 32-bit MCU segment and benefit from strong booking trends, indicating a favorable demand environment and effective inventory management.
Bears say
The financial outlook for Microchip Technology appears negative due to a delayed recovery, as evidenced by the company's guidance for F3Q26 revenue, which is projected at $1.129 billion, representing a 1% quarter-over-quarter decline and falling short of analyst expectations. Additionally, there are concerns regarding market competition, particularly in the 32-bit MCU segment, where share losses could lead to significant revenue deceleration, compounded by broader macroeconomic pressures affecting gross margins. The anticipated growth for FY26 gross margin at 57.8% reflects underlying concerns about inventory management and competitive positioning, suggesting potential headwinds in the company's financial performance.
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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