Tag Archives: Microchip Technology

Business, Finance, Occupation & Industry

Can Microchip Technology Meet These Numbers?

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By Seth Jayson, The Motley Fool

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Microchip Technology (NAS: MCHP) is expected to report Q4 earnings around May 1. Here’s what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Microchip Technology‘s revenues will grow 26.0% and EPS will grow 2.2%.

The average estimate for revenue is $427.0 million. On the bottom line, the average EPS estimate is $0.47.

Revenue details
 Last quarter, Microchip Technology logged revenue of $416.0 million. GAAP reported sales were 26% higher than the prior-year quarter’s $329.2 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, non-GAAP EPS came in at $0.41. GAAP EPS of $0.05 for Q3 were 87% lower than the prior-year quarter’s $0.38 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 58.1%, 60 basis points better than the prior-year quarter. Operating margin was 14.7%, much worse than the prior-year quarter. Net margin was 2.4%, much worse than the prior-year quarter.

Looking ahead

The full year’s average estimate for revenue is $1.60 billion. The average EPS estimate is $1.84.

Investor sentiment
 The stock has a five-star rating (out of five) at Motley Fool CAPS, with 306 members out of 325 rating the stock outperform, and 19 members rating it underperform. Among 96 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 95 give Microchip Technology a green thumbs-up, and one give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Microchip Technology is outperform, with an average price target of $34.89.

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The article Can Microchip Technology Meet These Numbers? originally appeared on Fool.com.


Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may

Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

Don't Get Too Worked Up Over Microchip Technology's Earnings

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By Seth Jayson, The Motley Fool

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It takes money to make money. Most investors know that, but with business media so focused on the “how much,” very few investors bother to ask, “How fast?”

When judging a company’s prospects, how quickly it turns cash outflows into cash inflows can be just as important as how much profit it’s booking in the accounting fantasy world we call “earnings.” This is one of the first metrics I check when I’m hunting for the market’s best stocks. Today, we’ll see how it applies to Microchip Technology (NAS: MCHP) .

Let’s break this down
 In this series, we measure how swiftly a company turns cash into goods or services and back into cash. We’ll use a quick, relatively foolproof tool known as the cash conversion cycle, or CCC for short.

Why does the CCC matter? The less time it takes a firm to convert outgoing cash into incoming cash, the more powerful and flexible its profit engine is. The less money tied up in inventory and accounts receivable, the more available to grow the company, pay investors, or both.

To calculate the cash conversion cycle, add days inventory outstanding to days sales outstanding, then subtract days payable outstanding. Like golf, the lower your score here, the better. The CCC figure for Microchip Technology for the trailing 12 months is 152.4.

For younger, fast-growth companies, the CCC can give you valuable insight into the sustainability of that growth. A company that’s taking longer to make cash may need to tap financing to keep its momentum. For older, mature companies, the CCC can tell you how well the company is managed. Firms that begin to lose control of the CCC may be losing their clout with their suppliers (who might be demanding stricter payment terms) and customers (who might be demanding more generous terms). This can sometimes be an important signal of future distress — one most investors are likely to miss.

In this series, I’m most interested in comparing a company’s CCC to its prior performance. Here’s where I believe all investors need to become trend-watchers. Sure, there may be legitimate reasons for an increase in the CCC, but all things being equal, I want to see this number stay steady or move downward over time.

Source: S&P Capital IQ. Dollar amounts in millions. FY = fiscal year. TTM = trailing 12 months.

Because of the seasonality in some businesses, the CCC for the TTM period may not be strictly comparable to the fiscal-year periods shown in the chart. Even the steadiest-looking businesses on an annual basis will experience some quarterly fluctuations

From: http://www.dailyfinance.com/2013/04/18/dont-get-too-worked-up-over-microchip-technologys/

Business, Finance, Occupation & Industry

Microchip Announces Results of 2013 FIRST® Robotics Competition Arizona Regional

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By Business Wirevia The Motley Fool

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Microchip Announces Results of 2013 FIRST ® Robotics Competition Arizona Regional

50 Teams Participated, Including 44 from Arizona; Any Student Participating on a FIRST Team Eligible to Apply for Over $16M in Scholarships

CHANDLER, Ariz.–(BUSINESS WIRE)– Microchip Technology Inc. (NAS: MCHP) , a leading provider of microcontroller, mixed-signal, analog and Flash-IP solutions, today announced the resultsof the 2013 FIRST® Robotics Competition (FRC) Arizona Regional, held March 22-23, 2013 in Chandler. Phoenix’s Carl Hayden High School; Tempe Preparatory Academy, Tempe; and Buena High School, Sierra Vista qualified to compete in the 2013 FIRST Robotics Competition Championship, April 25-27, 2013 in St. Louis, MO. Kingman High School/Kingman Academy of Learning, Kingman; Yuma High School, Yuma; and Rockwell-Collins & Escondido Charter High School, Escondido, Calif. were Regional Finalists. Students had six weeks to build a robot capable of competing in this year’s competition, the game called Ultimate AscentSM, where teams joined forces to fling saucer-like discs through various slots during several two-minute and fifteen-second matches. Extra points were scored for robots that could hang from a 10-foot tower in the final seconds of the match. Any student participating on a FIRST team is eligible to apply for more than $16 million in scholarships.

“The engineering challenge presented by FIRST to build a functioning robot that must accomplish specific tasks inspires students to find creative solutions using math, science and engineering, while adhering to strict deadlines. Working with industry mentors, students learn marketable skills such as working on a team, critical thinking, marketing and problem solving, while having fun at the same time,” said Steve Sanghi, president and CEO of Microchip Technology, co-chair of the FIRST Arizona Regional Planning Committee, FIRST sponsor and member of the FIRST Board of Directors.

Chandler, Ariz.-based Microchip Technology is the organizing sponsor of the FRC Arizona Regional. Fifty high-school robotics teams competed in the 2013 FRC AZ Regional, including 44 teams from Arizona, three from New Mexico, two from California and one from Mexico. AZFirst, a non-profit organization, awarded the Steve Sanghi Scholarship to Bianca Rodriquez, a senior at Carl Hayden High School, Phoenix, AZ. Funded by Steve and Maria Sanghi, this scholarship totals $16,000 over four years, and is awarded to an outstanding FIRST participant who intends to pursue a college degree in science, technology, engineering or math. Coconino High School won the Regional Chairman’s Award, which recognizes the team that best represents a model for other teams to emulate, and embodies the purpose and goals of FIRST. Christine …read more
Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

The Media Are Invited to Attend the FIRST® Robotics Competition Arizona Regional

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By Business Wirevia The Motley Fool

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The Media Are Invited to Attend the FIRST ® Robotics Competition Arizona Regional

–(BUSINESS WIRE)– Microchip Technology Inc. (NAS: MCHP) :

The Media Are Invited to Attend the

FIRST ® Robotics Competition Arizona Regional
March 22-23, 2013
8:30 a.m.-5:30 p.m.
Hamilton High School
3700 South Arizona Ave.
Chandler, AZ 85248

Key Facts:

  • High-school robotics competition
  • Any student participating on a FIRST team is eligible to apply for $16 million in scholarships

  • 50 teams
     participating, including 44 from Arizona, one from Mexico, three from New Mexico and two from California
  • Teams had six weeks to build a robot that can throw Frisbees to score points. Teams can score extra points if their robots climb towers in the final seconds of a two-minute and fifteen-second match. Three teams are grouped into “alliances” for each match.
  • Winners are eligible to attend the FRC World Championship in St. Louis, Apr. 24-27, 2013
  • Free and open to the public

*** INTERVIEW/PHOTO OPPORTUNITIES ***

  • Still and video photography permitted
  • Media interview opportunities with FIRST students and their mentors from the community

Chandler, Ariz.-based Microchip Technology is the organizing sponsor of the FRC Arizona Regional. For more information and to schedule interviews, contact:

Terri Thorson, Public Relations Specialist
Microchip Technology Inc.
480-792-4386
terri.thorson@microchip.com

On-site media contact:

Carol Popovich, Regional Director, Cell 480-335-2091

…read more
Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

IHS Larger Than S&P 500 Component Microchip Technology

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By DividendChannel.com

In the latest look at stocks ordered by largest market capitalization, Russell 3000 component IHS Inc (NYSE: IHS) was identified as having a larger market cap than the smaller end of the S&P 500, for example Microchip Technology, Inc. (NASD: MCHP), according to The Online Investor. Click here to find out the top S&P 500 components ordered by average analyst rating » …read more
Source: FULL ARTICLE at Forbes Markets

Business, Finance, Occupation & Industry

MCHP Makes Bullish Cross Above Critical Moving Average

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By DividendChannel.com In trading on Wednesday, shares of Microchip Technology, Inc. (NASD: MCHP) crossed above their 200 day moving average of $33.07, changing hands as high as $33.65 per share. Microchip Technology, Inc. shares are currently trading up about 2.9% on the day. The chart below shows the one year performance of MCHP shares, versus its 200 day moving average:
Source: FULL ARTICLE at Forbes Markets