Microchip TechnologyMCHP -6.58%75 EV-to-FCF is 60.80 as of Jun. 27, 2026, which is 177% above its 10-year median of 21.97. GuruFocus rates MCHP with a GF Score™ of 75/100 and a GF Value™ of $58.51 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 504 Semiconductors companies, Microchip Technology ranks worse than 57.54% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Microchip Technology's Enterprise Value is $52,960 Mil.
Microchip Technology's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $871 Mil. Therefore, Microchip Technology's EV-to-FCF for today is 60.80.
The historical rank and industry rank for Microchip Technology's EV-to-FCF or its related term are showing as below:
MCHP'
s EV-to-FCF Range Over the Past 10 Years
Min: 13.95 Med: 21.97 Max: 68.84
Current: 60.8
During the past 13 years, the highest EV-to-FCF of Microchip Technology was 68.84. The lowest was 13.95. And the median was 21.97.
MCHP's EV-to-FCF is ranked worse than 57.54% of 504
companies
in the Semiconductors industry
Industry Median: 51.995
vs MCHP: 60.80
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. 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.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. 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 $87.93.
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 $0.210.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Microchip Technology EV-to-FCF Related Terms
Microchip Technology EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Microchip Technology's EV-to-FCF 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.
For the Semiconductors subindustry, Microchip Technology's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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-FCF vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Microchip Technology's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Microchip Technology's EV-to-FCF falls into.
Microchip Technology's current Enterprise Value is $52,960 Mil.
Microchip Technology's Free Cash Flow 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 $871 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 (MCHP) has a EV-to-FCF of 60.80 as of Jun. 27, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Microchip Technology and its competitors. This is 177% above median its historical median of 21.97. Over the past decade, Microchip Technology's EV-to-FCF has ranged from 13.95 to 68.84. According to the industry distribution chart, Microchip Technology ranks #290 out of 504 companies in the Semiconductors industry, placing it in the top 57.5%.
Is Microchip Technology's EV-to-FCF too high?
Microchip Technology's current EV-to-FCF of 60.80 is 177% above median its 10-year median of 21.97. Over the past 10 years, this metric has ranged from a low of 13.95 to a high of 68.84. The Semiconductors industry median EV-to-FCF is 52.00. Microchip Technology's value of 60.80 is 16.9% above this industry median. Based on the distribution chart, Microchip Technology ranks #290 out of 504 companies in the Semiconductors industry, which is below the industry midpoint. Overall, Microchip Technology has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Microchip Technology's EV-to-FCF compare to CBRS and ON?
According to the Semiconductors industry distribution chart, Microchip Technology ranks #290 out of 504 companies for EV-to-FCF. This places Microchip Technology in the lower half of its industry. The industry median EV-to-FCF is 52.00. Microchip Technology's value of 60.80 is 16.9% above this benchmark. Historically, Microchip Technology's own EV-to-FCF has ranged from 13.95 to 68.84 over the past decade. While the company's 10-year median is 21.97 vs. the industry median of 52.00, 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-FCF for a Semiconductors company?
The median EV-to-FCF among Semiconductors companies is 52.00, based on 504 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Microchip Technology's current EV-to-FCF of 60.80 is 16.9% 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-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Microchip Technology and its competitors. For the Semiconductors industry, the median EV-to-FCF is 52.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Microchip Technology's current EV-to-FCF is 60.80, which is 177% above median its own 10-year median of 21.97. 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 (MCHP) is currently considered Significantly Overvalued. The stock's GF Value™ is $58.51, compared to a current price of $87.93 — trading 50.3% above its estimated fair value. The current EV-to-FCF is 60.80, which is 177% above median its 10-year median of 21.97 and 16.9% above the Semiconductors industry median of 52.00. Microchip Technology's overall GF Score™ is 75/100 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-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Microchip Technology (MCHP), the current EV-to-FCF is 60.80 as of Jun. 27, 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 (MCHP) Overvalued in 2026?
Based on GuruFocus' analysis, Microchip Technology stock appears to be overvalued.
The current stock price of $87.93 is trading 50.3% above its estimated GF Value™ of $58.51.
GuruFocus considers Microchip Technology to be Significantly Overvalued.
Key valuation signals for MCHP:
EV-to-FCF: 60.80 (177% above median its 10-year median of 21.97)
GF Value™: $58.51 vs. price of $87.93 (50.3% above fair value)
Industry Position: 16.9% above the Semiconductors median (#290 of 504)
No single metric tells the full story. See the MCHP 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.
75GF Score
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