Microchip Technology Stock Price To Sales
MCHP Stock | USD 93.60 1.39 1.51% |
Microchip Technology fundamentals help investors to digest information that contributes to Microchip Technology's financial success or failures. It also enables traders to predict the movement of Microchip Stock. The fundamental analysis module provides a way to measure Microchip Technology's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Microchip Technology stock.
Last Reported | Projected for Next Year | ||
Price To Sales Ratio | 4.92 | 4.30 |
Microchip | Price To Sales |
Microchip Technology Company Price To Sales Analysis
Microchip Technology's Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Current Microchip Technology Price To Sales | 5.42 X |
Most of Microchip Technology's fundamental indicators, such as Price To Sales, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Microchip Technology is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Microchip Price To Sales Driver Correlations
Understanding the fundamental principles of building solid financial models for Microchip Technology is extremely important. It helps to project a fair market value of Microchip Stock properly, considering its historical fundamentals such as Price To Sales. Since Microchip Technology's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Microchip Technology's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Microchip Technology's interrelated accounts and indicators.
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Microchip Price To Sales Historical Pattern
Today, most investors in Microchip Technology Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Microchip Technology's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's price to sales growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Microchip Technology price to sales as a starting point in their analysis.
Microchip Technology Price To Sales |
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The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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Microchip Price To Sales Ratio
Price To Sales Ratio |
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Based on the latest financial disclosure, Microchip Technology has a Price To Sales of 5.4182 times. This is 13.59% higher than that of the Semiconductors & Semiconductor Equipment sector and 23.42% higher than that of the Information Technology industry. The price to sales for all United States stocks is 52.56% higher than that of the company.
Microchip Price To Sales Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Microchip Technology's direct or indirect competition against its Price To Sales to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Microchip Technology could also be used in its relative valuation, which is a method of valuing Microchip Technology by comparing valuation metrics of similar companies.Microchip Technology is currently under evaluation in price to sales category among related companies.
Microchip Technology ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Microchip Technology's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Microchip Technology's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Microchip Fundamentals
Return On Equity | 0.35 | ||||
Return On Asset | 0.12 | ||||
Profit Margin | 0.28 % | ||||
Operating Margin | 0.30 % | ||||
Current Valuation | 56.03 B | ||||
Shares Outstanding | 540.39 M | ||||
Shares Owned By Insiders | 2.08 % | ||||
Shares Owned By Institutions | 95.58 % | ||||
Number Of Shares Shorted | 24.68 M | ||||
Price To Earning | 59.00 X | ||||
Price To Book | 6.54 X | ||||
Price To Sales | 5.42 X | ||||
Revenue | 8.44 B | ||||
Gross Profit | 4.45 B | ||||
EBITDA | 3.78 B | ||||
Net Income | 2.24 B | ||||
Cash And Equivalents | 379.1 M | ||||
Cash Per Share | 0.69 X | ||||
Total Debt | 6.44 B | ||||
Debt To Equity | 1.27 % | ||||
Current Ratio | 1.78 X | ||||
Book Value Per Share | 13.10 X | ||||
Cash Flow From Operations | 3.62 B | ||||
Short Ratio | 5.14 X | ||||
Earnings Per Share | 4.28 X | ||||
Price To Earnings To Growth | 8.47 X | ||||
Target Price | 93.94 | ||||
Number Of Employees | 22.6 K | ||||
Beta | 1.63 | ||||
Market Capitalization | 50.58 B | ||||
Total Asset | 16.37 B | ||||
Retained Earnings | 5.76 B | ||||
Working Capital | (49.3 M) | ||||
Current Asset | 3.1 B | ||||
Current Liabilities | 382.01 M | ||||
Annual Yield | 0.02 % | ||||
Five Year Return | 1.46 % | ||||
Net Asset | 16.37 B | ||||
Last Dividend Paid | 1.59 |
About Microchip Technology Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Microchip Technology's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Microchip Technology using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Microchip Technology based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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Try AI Portfolio ArchitectCheck out Microchip Technology Piotroski F Score and Microchip Technology Altman Z Score analysis. To learn how to invest in Microchip Stock, please use our How to Invest in Microchip Technology guide.Note that the Microchip Technology information on this page should be used as a complementary analysis to other Microchip Technology's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
Complementary Tools for Microchip Stock analysis
When running Microchip Technology's price analysis, check to measure Microchip Technology's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Microchip Technology is operating at the current time. Most of Microchip Technology's value examination focuses on studying past and present price action to predict the probability of Microchip Technology's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Microchip Technology's price. Additionally, you may evaluate how the addition of Microchip Technology to your portfolios can decrease your overall portfolio volatility.
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Is Microchip Technology's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Microchip Technology. If investors know Microchip will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Microchip Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.26) | Dividend Share 1.59 | Earnings Share 4.28 | Revenue Per Share 15.7 | Quarterly Revenue Growth (0.19) |
The market value of Microchip Technology is measured differently than its book value, which is the value of Microchip that is recorded on the company's balance sheet. Investors also form their own opinion of Microchip Technology's value that differs from its market value or its book value, called intrinsic value, which is Microchip Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Microchip Technology's market value can be influenced by many factors that don't directly affect Microchip Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Microchip Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if Microchip Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Microchip Technology's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.