Nvidia, AMD to pay 15% of China chip sales revenue to US govt- FT
Investing.com - Morgan Stanley (NYSE:MS) has raised its price target on Microchip Technology (NASDAQ:MCHP) to $63.00 from $61.00 while maintaining an Equalweight rating on the stock. The semiconductor company, currently trading at $66.22 with a market capitalization of $35.74 billion, appears overvalued according to InvestingPro analysis.
The firm noted that Microchip’s quarter-over-quarter June quarter revenue growth was the highest among its peers so far this earnings season, though September guidance was just in line with expectations. The stock has shown strong momentum, posting a 29.57% return over the past six months and a 17.23% gain year-to-date.
Morgan Stanley expressed encouragement regarding Microchip’s commentary on the progress of distributor inventory and end-market demand conditions.
Despite these positive developments, the research firm indicated that Microchip faces a higher revenue bar compared to its peers as the company grows into its multiple.
Morgan Stanley maintained its Equalweight rating on Microchip Technology stock, suggesting a neutral stance on the semiconductor manufacturer’s near-term prospects.
In other recent news, Microchip Technology Inc . reported its first-quarter fiscal year 2026 earnings, surpassing expectations. The company achieved an earnings per share (EPS) of $0.27, beating the forecasted $0.24. Additionally, Microchip Technology’s revenue reached $1.08 billion, exceeding the anticipated $1.05 billion. These results highlight the company’s strong performance in the latest quarter. Despite the positive earnings report, the stock experienced a premarket decline, which may be attributed to broader market trends or investor concerns. Analyst reactions to the earnings report have not been detailed in the recent updates. Investors may want to keep an eye on future developments and any potential changes in analyst ratings. These recent developments underscore the importance of closely monitoring the company’s financial health and market conditions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.