MICROCHIP TECHNOLOGY INC (MCHP) Financial Ratio Screen

NASDAQ Technology United States USD 41312M
RATIOS FAIL*
Automated financial screen · activity assessed separately
MICROCHIP TECHNOLOGY INC (MCHP) is potentially non-compliant in the automated ratio model. The company's debt ratio of 38.5% exceeds the 30% MSCI new-inclusion threshold relative to total assets. MICROCHIP TECHNOLOGY INC operates in the Technology sector.

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MSCI new-inclusion financial-ratio snapshot

MCHP financial screening at a glance

RATIOS FAIL*Financial ratios shown separately from business review — not a fatwa
Debt ratio
38.5%
Fail vs 30%
Cash ratio
1.7%
Pass vs 30%
Receivables + cash
7.9%
Pass vs 30%
Impermissible income
0.2%
Pass vs 5%

Calculation date: 2026-08-31. Financial period used: March 2026. The ratios are automated proxies inspired by published methodologies; they are not official index determinations.

Independent method comparison

What the available screens say

How MSCI, FTSE and S&P-style screens differ
Request this stock review
MSCI-styleFinancial criteria not metAt least one available ratio exceeds its threshold
FTSE/Yasaar-styleFinancial criteria not metAt least one available ratio exceeds its threshold
S&P-style provisionalNot yet availableRequired denominator or financial data is incomplete
Business activityAssessment pendingFinancial results do not determine business permissibility
Complete screening result: not yet completeA complete result requires both supported financial criteria and adequate activity evidence. This site does not issue a fatwa or official index decision.
Financial periodMarch 2026Calculation date2026-08-31S&P-style historynot availableLast activity reviewnot yet reviewed

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Business activity evidence

Activity assessment in progress

The supplied classification (Semiconductors) is only a starting point. Revenue evidence is being assessed before any complete screening conclusion.

Revenue segments: Not yet checked against an SEC annual filing.

Profile description reviewed: Microchip Technology Incorporated develops, manufactures, and sells smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. It operates in two segments, Semiconductor Products and Technology Licensing. The company offers general-purpose 8-bit, 16-bit, 32-bit, and 64-bit mixed-signal microcontrollers; 32-bit and 64-bit embedded mixed-signal microprocessors; and specialized mixed-signal microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human-machine interface, security, wired connectivity, and wireless connectivity applications. It also provides analog products, including power management, linear, mixed-signal, high voltage, thermal management, discrete diodes and MOSFETs, radio frequency (RF), gate drivers, safety, security, timing, application-specific standard products, USB, Ethernet, wireless, and other interface products; field-programmable gate array (FPGA) products; and application development tools that enable system designers to program mixed-signal microcontroller, FPGA, and microprocessor products. In addition, the company offers memory products consisting of serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, serial static random-access memory, and electrically erasable random-access memory for footprint devices. Further, it licenses its SuperFlash embedded flash and non-volatile memory technologies to foundries, integrated device manufacturers, and design partners for use in the manufacture of microcontroller products, gate arrays, RF, analog, and neuromorphic compute products. Additionally, the company offers engineering services; wafer foundry, assembly, and test subcontracting manufacturing services; and timing systems, application-specific integrated circuits, and products for aerospace applications. The company was incorporated in 1989 and is headquartered in Chandler, Arizona.

Sources to verify: Secondary company profile and classification · Issuer website · SEC issuer filings

A sector label or company description can flag a risk but cannot establish a compliant-revenue percentage. Only sourced segment disclosures may support that calculation.

Published-ratio reproductions (not certifications)

The table shows implemented MSCI and FTSE/Yasaar-style asset-based models plus a provisional S&P-style leverage reconstruction where a complete 36-month denominator exists. These are independent calculations, not official index results or Shariah determinations. See formulas, sources and limitations.

Based on financial data from March 2026

Standard Debt Ratio Cash Ratio Receivables Income Status
MSCI 38.5%
/ 30%
1.7%
/ 30%
7.9%
/ 30%
0.24%
/ 5%
RATIOS FAIL*
FTSE 38.5%
/ 33%
1.7%
/ 33%
7.9%
/ 50%
0.24%
/ 5%
RATIOS FAIL*

Financial Highlights

P/E Ratio
111.9
Forward: 16.7
EPS
$0.68
Dividend Yield
239.0%
Payout: 267.6%
P/B Ratio
6.4
EV/EBITDA
30.8
EV: $46.4B
Revenue
$4.7B
Growth: 38.0%
Beta
1.7
High volatility
Current Ratio
1.9

Profitability

Gross Margin 60.2%
Operating Margin 24.0%
Net Margin 9.3%
Return on Equity (ROE) 7.2%
Return on Assets (ROA) 3.5%

Cash Flow & Balance Sheet

Operating Cash Flow$962M
Free Cash Flow$871M
Total Debt$5.5B
Debt-to-Equity83.7
Current Ratio1.9
Total Assets$14.4B

Price & Trading

Last Close$75.81
50-Day MA$84.37
200-Day MA$76.51
Avg Volume11.7M
Beta1.7
52-Week Range
$48.52
$105.91

Financial data provenance and verification

The displayed fields were imported from yfinance on 2026-08-24 for the financial period March 2026. This is a secondary data feed and can differ from amended or newly filed statements.

Verification rule: check debt, cash, receivables, revenue and interest income against the latest primary filing before relying on an automated ratio.

About MICROCHIP TECHNOLOGY INC (MCHP)

CEO
Mr. Stephen Sanghi
Employees
17,900
Sector
Technology
Industry
Semiconductors
Country
United States
Exchange
NASDAQ
Market Cap (listing currency)
USD 41312M
Currency
USD

Microchip Technology Incorporated develops, manufactures, and sells smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. It operates in two segments, Semiconductor Products and Technology Licensing. The company offers general-purpose 8-bit, 16-bit, 32-bit, and 64-bit mixed-signal microcontrollers; 32-bit and 64-bit embedded mixed-signal microprocessors; and specialized mixed-signal microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human-machine interface, security, wired connectivity, and wireless connectivity applications. It also provides analog products, including power management, linear, mixed-signal, high voltage, thermal management, discrete diodes and MOSFETs, radio frequency (RF), gate drivers, safety, security, timing, application-specific standard products, USB, Ethernet, wireless, and other interface products; field-programmable gate array (FPGA) products; and application development tools that enable system designers to program mixed-signal microcontroller, FPGA, and microprocessor products. In addition, the company offers memory products consisting of serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, serial static random-access memory, and electrically erasable random-access memory for footprint devices. Further, it licenses its SuperFlash embedded flash and non-volatile memory technologies to foundries, integrated device manufacturers, and design partners for use in the manufacture of microcontroller products, gate arrays, RF, analog, and neuromorphic compute products. Additionally, the company offers engineering services; wafer foundry, assembly, and test subcontracting manufacturing services; and timing systems, application-specific integrated circuits, and products for aerospace applications. The company was incorporated in 1989 and is headquartered in Chandler, Arizona.

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Frequently Asked Questions

Is MICROCHIP TECHNOLOGY INC (MCHP) halal to invest in?

The current automated result is Financial criteria not met or an activity exclusion was detected. It uses available public financial fields and simplified methodology proxies. It is not a fatwa or an official determination by AAOIFI, DJIM, MSCI, S&P, or FTSE.

What is MICROCHIP TECHNOLOGY INC's debt ratio?

MICROCHIP TECHNOLOGY INC's debt ratio is 38.5% in the MSCI new-inclusion reproduction: total debt divided by total assets, against a 30% threshold. See the methodology page for the official source and limitations.

What are MICROCHIP TECHNOLOGY INC's key financial metrics?

MICROCHIP TECHNOLOGY INC has a market capitalization of USD 41312M in its listing currency, trailing P/E ratio of 111.9, and revenue of $4.7B. The company maintains a gross margin of 60.2% and a net margin of 9.3%. Return on equity stands at 7.2%.

How often is the screening data updated?

Calculation date: 2026-08-31. Financial period: March 2026. These dates are shown separately because regenerating this page does not refresh the underlying data.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.