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Microchip TechnologyFRA:MCP +1.55%77 EV-to-EBITDA is 39.11 as of Aug. 03, 2026, which is 94% above its 10-year median of 20.11. GuruFocus rates FRA:MCP with a GF Score™ of 77/100 and a GF Value™ of €49.23 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 750 Semiconductors companies, Microchip Technology ranks worse than 66.67% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Microchip Technology's enterprise value is €39,603 Mil.
Microchip Technology's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was €1,013 Mil. Therefore, Microchip Technology's EV-to-EBITDA for today is 39.11.
The historical rank and industry rank for Microchip Technology's EV-to-EBITDA or its related term are showing as below:
FRA:MCP'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 10.44 Med: 20.11 Max: 54.72
Current: 38.73
During the past 13 years, the highest EV-to-EBITDA of Microchip Technology was 54.72. The lowest was 10.44. And the median was 20.11.
FRA:MCP's EV-to-EBITDA is ranked worse than 66.67% of 750
companies
in the Semiconductors industry
Industry Median: 22.4
vs FRA:MCP: 38.73
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Microchip Technology's PE Ratio (TTM) for today is calculated as:
Microchip Technology's share price for today is €65.50.
Microchip Technology's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €0.181.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for Microchip Technology's EV-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:MCP vs CBRS, CRDO, ALAB: EV-to-EBITDA Comparison
For the Semiconductors subindustry, Microchip Technology's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Microchip Technology EV-to-EBITDA vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Microchip Technology's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Microchip Technology's EV-to-EBITDA falls into.
Microchip Technology's current Enterprise Value is €39,603 Mil.
Microchip Technology's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,013 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Microchip Technology (FRA:MCP) has a EV-to-EBITDA of 39.11 as of Aug. 03, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Microchip Technology. This is 94% above median its historical median of 20.11. Over the past decade, Microchip Technology's EV-to-EBITDA has ranged from 10.44 to 54.72. According to the industry distribution chart, Microchip Technology ranks #500 out of 750 companies in the Semiconductors industry, placing it in the top 66.7%.
Is Microchip Technology's EV-to-EBITDA too high?
Microchip Technology's current EV-to-EBITDA of 39.11 is 94% above median its 10-year median of 20.11. Over the past 10 years, this metric has ranged from a low of 10.44 to a high of 54.72. The Semiconductors industry median EV-to-EBITDA is 22.40. Microchip Technology's value of 39.11 is 74.6% above this industry median. Based on the distribution chart, Microchip Technology ranks #500 out of 750 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Microchip Technology has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Microchip Technology's EV-to-EBITDA compare to CBRS and CRDO?
According to the Semiconductors industry distribution chart, Microchip Technology ranks #500 out of 750 companies for EV-to-EBITDA. This places Microchip Technology in the lower half of its industry. The industry median EV-to-EBITDA is 22.40. Microchip Technology's value of 39.11 is 74.6% above this benchmark. Historically, Microchip Technology's own EV-to-EBITDA has ranged from 10.44 to 54.72 over the past decade. While the company's 10-year median is 20.11 vs. the industry median of 22.40, Microchip Technology has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Semiconductors company?
The median EV-to-EBITDA among Semiconductors companies is 22.40, based on 750 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Microchip Technology's current EV-to-EBITDA of 39.11 is 74.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Microchip Technology. For the Semiconductors industry, the median EV-to-EBITDA is 22.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Microchip Technology's current EV-to-EBITDA is 39.11, which is 94% above median its own 10-year median of 20.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Microchip Technology stock overvalued right now?
Based on GuruFocus' analysis, Microchip Technology (FRA:MCP) is currently considered Significantly Overvalued. The stock's GF Value™ is €49.23, compared to a current price of €65.50 — trading 33% above its estimated fair value. The current EV-to-EBITDA is 39.11, which is 94% above median its 10-year median of 20.11 and 74.6% above the Semiconductors industry median of 22.40. Microchip Technology's overall GF Score™ is 77/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Microchip Technology (FRA:MCP), the current EV-to-EBITDA is 39.11 as of Aug. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Microchip Technology (FRA:MCP) Overvalued in 2026?
Based on GuruFocus' analysis, Microchip Technology stock appears to be overvalued.
The current stock price of €65.50 is trading 33% above its estimated GF Value™ of €49.23.
GuruFocus considers Microchip Technology to be Significantly Overvalued.
Key valuation signals for FRA:MCP:
EV-to-EBITDA: 39.11 (94% above median its 10-year median of 20.11)
GF Value™: €49.23 vs. price of €65.50 (33% above fair value)
Industry Position: 74.6% above the Semiconductors median (#500 of 750)
No single metric tells the full story. See the FRA:MCP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Microchip Technology became an independent company in 1989 when it was spun off from General Instrument. More than half of revenue comes from MCUs, which are used in a wide array of electronic devices from remote controls to garage door openers to power windows in autos. The company's strength lies in lower-end 8-bit MCUs that are suitable for a wider range of less technologically advanced devices, but the firm has expanded its presence in higher-end MCUs and analog chips as well.
77GF Score
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