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Microchip Technology (MCHP) Stock Dips While Market Gains: Key Facts
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Microchip Technology (MCHP - Free Report) closed the latest trading day at $79.43, indicating a -0.14% change from the previous session's end. The stock's change was less than the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, added 0.39%.
Heading into today, shares of the chipmaker had gained 0.96% over the past month, outpacing the Computer and Technology sector's loss of 2.3% and the S&P 500's loss of 3.39% in that time.
Market participants will be closely following the financial results of Microchip Technology in its upcoming release. In that report, analysts expect Microchip Technology to post earnings of $1.62 per share. This would mark year-over-year growth of 10.96%. Our most recent consensus estimate is calling for quarterly revenue of $2.26 billion, up 8.95% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.07 per share and a revenue of $8.69 billion, indicating changes of +0.83% and +8.01%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Microchip Technology. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Microchip Technology presently features a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Microchip Technology has a Forward P/E ratio of 13.11 right now. This valuation marks a discount compared to its industry's average Forward P/E of 17.6.
We can additionally observe that MCHP currently boasts a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Analog and Mixed was holding an average PEG ratio of 2 at yesterday's closing price.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 105, finds itself in the top 42% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Microchip Technology (MCHP) Stock Dips While Market Gains: Key Facts
Microchip Technology (MCHP - Free Report) closed the latest trading day at $79.43, indicating a -0.14% change from the previous session's end. The stock's change was less than the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, added 0.39%.
Heading into today, shares of the chipmaker had gained 0.96% over the past month, outpacing the Computer and Technology sector's loss of 2.3% and the S&P 500's loss of 3.39% in that time.
Market participants will be closely following the financial results of Microchip Technology in its upcoming release. In that report, analysts expect Microchip Technology to post earnings of $1.62 per share. This would mark year-over-year growth of 10.96%. Our most recent consensus estimate is calling for quarterly revenue of $2.26 billion, up 8.95% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.07 per share and a revenue of $8.69 billion, indicating changes of +0.83% and +8.01%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Microchip Technology. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Microchip Technology presently features a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Microchip Technology has a Forward P/E ratio of 13.11 right now. This valuation marks a discount compared to its industry's average Forward P/E of 17.6.
We can additionally observe that MCHP currently boasts a PEG ratio of 1.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Analog and Mixed was holding an average PEG ratio of 2 at yesterday's closing price.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 105, finds itself in the top 42% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.