MCHP
Microchip Technology Incorporated
MCHP has a slight edge over MSFT overall, supported by stronger modeled upside and stronger fundamentals.
MSFT
Microsoft Corporation
MSFT has slightly lower modeled downside risk, despite its lower overall score.
MCHP Fundamentals
| Metric | Status |
|---|---|
| Strong | |
| Strong | |
| Strong | |
| Stable |
MCHP's revenue, profitability and cash flow are currently strong, and its balance sheet is stable.
MSFT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Healthy | |
| Strong |
MSFT's revenue, profitability, cash flow and balance sheet are all currently healthy.
MCHP PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 15x | $62.08 | — |
| Cheap | 21x | $28.42 | -54% |
| Fair | 40x | $53.17 | -14% |
| Current | 47x | $62.08 | — |
| Expensive | 104x | $138 | +122% |
Historical ranges are pointers, not guarantees.
MCHP's PE is in its fair range at 47x. If earnings grow as analysts expect, today's price would be 15x next year's earnings, in its cheap range.
MSFT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 25x | $523 | — |
| Cheap | 27x | $525 | +0.4% |
| Current | 27x | $523 | — |
| Fair | 34x | $652 | +25% |
| Expensive | 37x | $711 | +36% |
Historical ranges are pointers, not guarantees.
MSFT has the edge over MCHP in the historical PE scenario, which offers more potential upside but is not a forecast.
MCHP Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Moderate | |
| Moderate |
MCHP has the edge over MSFT on the outlook, with more favorable profitability expectations.
MSFT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Strong growth | |
| Stable | |
| Moderate | |
| High |
Analysts expect strong earnings and revenue growth for MSFT, with profitability holding steady.
MCHP Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $4.02 | +202% |
| Q3 2026 | $1.33 | +$1.78 |
| Q2 2026 | $0.68 | +$1.02 |
| Q1 2026 | $0.22 | +$0.23 |
| Q4 2025 | -$0.29 | -151% |
| Q3 2025 | -$0.45 | -131% |
| Q2 2025 | -$0.34 | -114% |
| Q1 2025 | -$0.01 | -100% |
| Q4 2024 | $0.57 | -87% |
MCHP has returned to profit: it earned $1.33 per share over the past year, after losing money the year before.
MSFT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $20.79 | +8.6% |
| Q3 2026 | $19.15 | +36% |
| Q2 2026 | $17.95 | +32% |
| Q1 2026 | $16.80 | +30% |
| Q4 2025 | $15.99 | +29% |
| Q3 2025 | $14.06 | +16% |
| Q2 2025 | $13.64 | +16% |
| Q1 2025 | $12.93 | +12% |
| Q4 2024 | $12.41 | +12% |
MSFT has the edge over MCHP on earnings, with more consistent year-over-year improvement.
MCHP Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $1.6B | +42% |
| Q2 2026 | $1.5B | +38% |
| Q1 2026 | $1.3B | +35% |
| Q4 2025 | $1.2B | +16% |
| Q3 2025 | $1.1B | -2% |
| Q2 2025 | $1.1B | -13% |
| Q1 2025 | $970.5M | -27% |
| Q4 2024 | $1B | -42% |
MCHP's revenue is recovering but still below its 2023 peak: $1.6B last quarter, up 42% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 29% | +21 points |
| Q2 2026 | 23% | +20 points |
| Q1 2026 | 17% | +27 points |
| Q4 2025 | 13% | +9.8 points |
| Q3 2025 | 7.8% | -4.8 points |
| Q2 2025 | 3% | -15 points |
| Q1 2025 | -10% | -30 points |
| Q4 2024 | 3% | -27 points |
MCHP's operating margin was 29% last quarter, up 21 points from the same quarter a year ago.
MSFT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $92.3B | +19% |
| Q2 2026 | $90B | +18% |
| Q1 2026 | $82.9B | +18% |
| Q4 2025 | $81.3B | +17% |
| Q3 2025 | $77.7B | +18% |
| Q2 2025 | $76.4B | +18% |
| Q1 2025 | $70.1B | +13% |
| Q4 2024 | $69.6B | +12% |
MSFT has the edge over MCHP on sales, with more consistent year-over-year improvement.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 50% | +0.9 points |
| Q2 2026 | 45% | +0.2 points |
| Q1 2026 | 46% | +0.7 points |
| Q4 2025 | 47% | +1.6 points |
| Q3 2025 | 49% | +2.3 points |
| Q2 2025 | 45% | +1.8 points |
| Q1 2025 | 46% | +1.1 points |
| Q4 2024 | 45% | +1.9 points |
MSFT has the edge over MCHP on profitability, with a higher operating margin.
MCHP Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $396.1M | +668% |
| Q2 2026 | $497.6M | +93% |
| Q1 2026 | $242.8M | +27% |
| Q4 2025 | $318.9M | +26% |
| Q3 2025 | $51.6M | +126% |
| Q2 2025 | $257.7M | -15% |
| Q1 2025 | $191.7M | -51% |
| Q4 2024 | $253.4M | -68% |
MCHP has the edge over MSFT on cash flow, with more consistent year-over-year improvement.
MSFT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $18.6B | -27% |
| Q2 2026 | $19.6B | -23% |
| Q1 2026 | $15.8B | -22% |
| Q4 2025 | $5.9B | -9.3% |
| Q3 2025 | $25.7B | +33% |
| Q2 2025 | $25.6B | +9.6% |
| Q1 2025 | $20.3B | -3.2% |
| Q4 2024 | $6.5B | -29% |
MSFT's free cash flow has been positive every quarter for seven years: $60B over the past year, down 23% from the year before.
MCHP Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | 0% | +100K shares |
| 1 year | +1% | +5.6M shares |
| 3 years | +0.3% | +1.4M shares |
| 5 years | -2.7% | -15.3M shares |
| Available history | +6.6% | +34M shares |
MCHP has 551M diluted shares, up 1% from a year ago.
| Quarter | Spent |
|---|---|
| Q1 2026 | — |
| Q4 2025 | — |
| Q3 2025 | — |
| Q2 2025 | — |
| Q1 2025 | — |
| Q4 2024 | $6.5M |
| Q3 2024 | $17.3M |
| Q2 2024 | $72.7M |
MSFT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -7M shares |
| 1 year | -0.3% | -20M shares |
| 3 years | -0.2% | -16M shares |
| 5 years | -1.6% | -121M shares |
| Available history | -3.2% | -245M shares |
MSFT has the edge over MCHP on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $4.4B |
| Q2 2026 | $4.6B |
| Q1 2026 | $4.6B |
| Q4 2025 | $7.4B |
| Q3 2025 | $5.7B |
| Q2 2025 | $4.5B |
| Q1 2025 | $4.8B |
| Q4 2024 | $5B |
MSFT spent $21B buying back its own shares over the past year, up 5.2% from the year before.
MCHP Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 2.8x | Moderate |
| Q2 2026 | 3.5x | Elevated |
| Q1 2026 | 4.5x | High |
| Q4 2025 | 5.9x | High |
| Q3 2025 | 6.7x | High |
| Q2 2025 | 5.8x | High |
| Q1 2025 | 4.6x | High |
| Q4 2024 | 4.3x | High |
MCHP's net debt is about 2.8 years of its operating earnings (EBITDA), down from 6.7 years a year ago.
MSFT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.1x | Very low |
MSFT has the edge over MCHP on leverage, with a lower net debt burden relative to earnings.
MCHP Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 38.7 | Neutral |
| Stochastic | 28.2 | Neutral |
MCHP's weekly RSI is 39 (neutral) and its Stochastic is 28 (neutral).
MSFT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 62.1 | Neutral |
| Stochastic | 68.0 | Neutral |
MSFT's weekly RSI is 62 (neutral) and its Stochastic is 68 (neutral).
MCHP PE vs Technology Sector
| Metric | MCHP | Sector median | Relative |
|---|---|---|---|
| PE | 47x | 28x | 68% above |
| PE % | 61 | 35 | 26 pts above |
MCHP is trading at 47x earnings, a 68% premium to the Technology sector's median of 28x.
MSFT PE vs Technology Sector
| Metric | MSFT | Sector median | Relative |
|---|---|---|---|
| PE | 27x | 28x | 2% below |
| PE % | 16 | 35 | 19 pts below |
MSFT has the edge over MCHP on valuation relative to its sector.
MCHP Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $72.7 | 15% below |
| 20 week MA | $76.2 | 18% below |
| 50 week MA | $77.2 | 20% below |
| 100 week MA | $68.2 | 9% below |
| 200 week MA | $75.2 | 17% below |
MCHP is in a downtrend: it's below all five of its weekly moving averages, and 17% below its 200-week average.
MSFT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $524.7 | 0.3% below |
| 20 week MA | $484.8 | 7.9% above |
| 50 week MA | $446.9 | 17% above |
| 100 week MA | $453.8 | 15% above |
| 200 week MA | $411.5 | 27% above |
MSFT has the edge over MCHP on trend strength, trading above more of its moving averages.
MCHP Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $52.7 | $68.4 | +30% |
| 2021 | $68.4 | $86.9 | +27% |
| 2022 | $86.9 | $69.9 | -20% |
| 2023 | $69.9 | $90.2 | +29% |
| 2024 | $90.2 | $58.3 | -35% |
| 2025 | $58.3 | $64.9 | +11% |
| 2026 YTD | $64.9 | $62.1 | -4.4% |
MCHP has finished higher in four of the last six years. It's down 4.4% so far in 2026.
MSFT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $159.0 | $222.8 | +40% |
| 2021 | $222.8 | $334.7 | +50% |
| 2022 | $334.7 | $238.7 | -29% |
| 2023 | $238.7 | $376.0 | +58% |
| 2024 | $376.0 | $430.5 | +14% |
| 2025 | $430.5 | $487.7 | +13% |
| 2026 YTD | $487.7 | $523.0 | +7.2% |
MSFT has the edge over MCHP on returns for 2026, with the stronger performance.