Microchip Technology (WBO:MCHP) PB Ratio : 5.47 (As of Dec. 15, 2024)

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What is Microchip Technology PB Ratio?

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2024-12-15), Microchip Technology's share price is €57.57. Microchip Technology's Book Value per Share for the quarter that ended in Sep. 2024 was €10.53. Hence, Microchip Technology's PB Ratio of today is 5.47.

Good Sign:

Microchip Technology Inc stock PB Ratio (=5.13) is close to 3-year low of 5.07

The historical rank and industry rank for Microchip Technology's PB Ratio or its related term are showing as below:

WBO:MCHP' s PB Ratio Range Over the Past 10 Years
Min: 2.54 Med: 5.7 Max: 8.48
Current: 5.13

During the past 13 years, Microchip Technology's highest PB Ratio was 8.48. The lowest was 2.54. And the median was 5.70.

WBO:MCHP's PB Ratio is ranked worse than
79.55% of 978 companies
in the Semiconductors industry
Industry Median: 2.27 vs WBO:MCHP: 5.13

During the past 12 months, Microchip Technology's average Book Value Per Share Growth Rate was -9.30% per year. During the past 3 years, the average Book Value Per Share Growth Rate was 8.30% per year. During the past 5 years, the average Book Value Per Share Growth Rate was 2.20% per year. During the past 10 years, the average Book Value Per Share Growth Rate was 10.40% per year.

During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Microchip Technology was 59.40% per year. The lowest was -12.50% per year. And the median was 11.70% per year.

Back to Basics: PB Ratio

Microchip Technology PB Ratio Historical Data

The historical data trend for Microchip Technology's PB Ratio 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.

* Premium members only.

Microchip Technology PB Ratio Chart

Microchip Technology Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

PB Ratio

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3.07

8.00

7.17

6.89

7.26

Microchip Technology Quarterly Data
	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24
PB Ratio	Get a 7-Day Free Trial															6.15	6.82	7.26	7.70	6.80

Competitive Comparison of Microchip Technology's PB Ratio

For the Semiconductors subindustry, Microchip Technology's PB Ratio, along with its competitors' market caps and PB Ratio 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's PB Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Microchip Technology's PB Ratio distribution charts can be found below:

* The bar in red indicates where Microchip Technology's PB Ratio falls into.

Microchip Technology PB Ratio Calculation

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.

Microchip Technology's PB Ratio for today is calculated as follows:

PB Ratio	=	Share Price	/	Book Value per Share (Q: Sep. 2024)
	=	57.57	/	10.53
	=	5.47

It can also be calculated from the numbers for the whole company:

PB Ratio

Market Cap

(Total Stockholders Equity

Preferred Stock)

A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.

Microchip Technology (WBO:MCHP) PB Ratio Explanation

Unlike valuation ratios relative to the earning power such as PE Ratio, PE Ratio without NRI, PS Ratio, Price-to-Operating-Cash-Flow , or Price-to-Free-Cash-Flow, the PB Ratio measures the valuation of the stock relative to the underlying asset of the company.

The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.

Be Aware

Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.

Microchip Technology PB Ratio Related Terms

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Microchip Technology Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Semiconductors » Microchip Technology Inc (WBO:MCHP) » Definitions » PB Ratio

Comparable Companies

Traded in Other Exchanges

MCHP:USA MCHP:Mexico 1MCHP:Italy 0K19:UK MCP:Germany MCP:Germany MCP:Germany M1CH34:Brazil

Address

2355 West Chandler Boulevard, Chandler, AZ, USA, 85224-6199

Website

https://www.microchip.com

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.