We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Microchip Unveils New Development Board for Designing
Read MoreHide Full Article
Microchip Technology Inc. (MCHP - Free Report) recently launched the Explorer 16/32 Development Board, which has been developed for carrying out designing tasks with 16-bit as well as 32-bit microcontrollers.
Compared to the company’s leading Explorer 16 Development Board, the new motherboard costs less and features an in-built programmer/debugger along with new features that are in sync with the latest embedded systems design requirements.
Key Features
mikroBUS Interface: The new development board has a mikroBUS interface that makes the addition of new functionalities a seamless task.
Integrated USB: The new motherboard features an integrated USB for the purpose of powering the unit as well as communication. This eliminates the requirement of additional communication accessories and external power adapters.
Backwards Compatible: Notably, the new board is backwards compatible with the previous Explorer 16 Board meaning that customers will be able to use the existing libraries, codes, prototypes, PICtail Plus cards and PIMs interfaced with one another with the help of a side PICtail Plus connector.
Our Take
We believe the new motherboard is an important addition to Microchip’s product portfolio, which will drive its top-line growth in the long run. The company is one of the fastest-growing providers of 16-bit and 32-bit microcontrollers in the world. The microcontroller business of the company continued to outperform the industry and enabled it to gain significant market share.
Moreover, the company is increasingly expanding its touch business beyond handsets and tablets into areas such as automotive industrial applications. This is further expected to drive top-line growth through fiscal 2017.
Meanwhile, Microchip recently revised its sales and earnings guidance for the second quarter of fiscal 2017. The company now forecasts non-GAAP net sales to increase in the range of 1% to 3% compared with the earlier guidance range of flat to up 4% up.
However, the mid-point of the guidance remains unchanged at 2%. Further, non-GAAP earnings are now expected to be in the range of 85 to 89 cents per share compared with the previous guidance range of 83 to 91 cents per share.
The revised guidance reflects the impact of the recent acquisitions of Atmel and Micrel. The company stated that integration of both the businesses is almost complete.
Moreover, Microchip now anticipates operating expenses of the Atmel business, as a percentage of sales, to decline to 30% compared with 40% at the time of the acquisition. This will definitely help the company to report improved profitability in the second quarter.
At present, Microchip carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader technology space are Lantronix, Inc. (LTRX - Free Report) sporting a Zacks Rank #1 (Strong Buy) and NCR Corporation and VASCO Data Security International Inc. , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Interested in IPOs? Check out the special edition of Zacks Friday Finish Line below, where Editor Maddy Johnson and Content Writer Ryan McQueeney interview Kathleen Smith of Renaissance Capital about the IPO market in 2016 (see part two here).
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Microchip Unveils New Development Board for Designing
Microchip Technology Inc. (MCHP - Free Report) recently launched the Explorer 16/32 Development Board, which has been developed for carrying out designing tasks with 16-bit as well as 32-bit microcontrollers.
Compared to the company’s leading Explorer 16 Development Board, the new motherboard costs less and features an in-built programmer/debugger along with new features that are in sync with the latest embedded systems design requirements.
Key Features
mikroBUS Interface: The new development board has a mikroBUS interface that makes the addition of new functionalities a seamless task.
Integrated USB: The new motherboard features an integrated USB for the purpose of powering the unit as well as communication. This eliminates the requirement of additional communication accessories and external power adapters.
Backwards Compatible: Notably, the new board is backwards compatible with the previous Explorer 16 Board meaning that customers will be able to use the existing libraries, codes, prototypes, PICtail Plus cards and PIMs interfaced with one another with the help of a side PICtail Plus connector.
Our Take
We believe the new motherboard is an important addition to Microchip’s product portfolio, which will drive its top-line growth in the long run. The company is one of the fastest-growing providers of 16-bit and 32-bit microcontrollers in the world. The microcontroller business of the company continued to outperform the industry and enabled it to gain significant market share.
Moreover, the company is increasingly expanding its touch business beyond handsets and tablets into areas such as automotive industrial applications. This is further expected to drive top-line growth through fiscal 2017.
Meanwhile, Microchip recently revised its sales and earnings guidance for the second quarter of fiscal 2017. The company now forecasts non-GAAP net sales to increase in the range of 1% to 3% compared with the earlier guidance range of flat to up 4% up.
However, the mid-point of the guidance remains unchanged at 2%. Further, non-GAAP earnings are now expected to be in the range of 85 to 89 cents per share compared with the previous guidance range of 83 to 91 cents per share.
The revised guidance reflects the impact of the recent acquisitions of Atmel and Micrel. The company stated that integration of both the businesses is almost complete.
Moreover, Microchip now anticipates operating expenses of the Atmel business, as a percentage of sales, to decline to 30% compared with 40% at the time of the acquisition. This will definitely help the company to report improved profitability in the second quarter.
MICROCHIP TECH Price
MICROCHIP TECH Price | MICROCHIP TECH Quote
Zacks Rank & Key Picks
At present, Microchip carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader technology space are Lantronix, Inc. (LTRX - Free Report) sporting a Zacks Rank #1 (Strong Buy) and NCR Corporation and VASCO Data Security International Inc. , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Interested in IPOs? Check out the special edition of Zacks Friday Finish Line below, where Editor Maddy Johnson and Content Writer Ryan McQueeney interview Kathleen Smith of Renaissance Capital about the IPO market in 2016 (see part two here).
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>