Morgan Stanley has adjusted its outlook for Microchip Technology Inc. (MCHP, Financial), with analyst Joseph Moore revising the firm's price target for the stock to $39, down from the previous $53. Despite maintaining an Equal Weight rating, Moore highlights the necessity of revenue growth to stimulate upward movement in the stock price.
The analyst indicates that by the end of March 2025, revenue is anticipated to decline by 58% compared to the quarter ending in June 2023. Moore believes that while certain market apprehensions may be overstated, the company needs a robust increase in revenue to enhance its performance.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 21 analysts, the average target price for Microchip Technology Inc (MCHP, Financial) is $61.62 with a high estimate of $75.00 and a low estimate of $35.00. The average target implies an upside of 59.79% from the current price of $38.56. More detailed estimate data can be found on the Microchip Technology Inc (MCHP) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, Microchip Technology Inc's (MCHP, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Microchip Technology Inc (MCHP, Financial) in one year is $47.54, suggesting a upside of 23.29% from the current price of $38.56. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Microchip Technology Inc (MCHP) Summary page.
