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Microchip Technology Incorporated (MCHP) logo

Microchip Technology Incorporated

S&P 500

MCHP/Technology · Semiconductors/NASDAQ

Dividend Yield

1.77%

$1.82 · Annual Dividend

Stock Price$94.12P/E462.4MCap55.7BLast update: Jun 26, 2026 at 06:56

Dividend Safety Rating

51/ 100Caution

MCHP's dividend shows some areas that warrant monitoring. Strengths include a 2.1x current ratio & 87.7 debt-to-equity. Areas of concern: 827.3% earnings payout ratio & 125.4% fcf payout ratio. The dividend has been growing at a 19.87% 5-year CAGR.

Based on 15 of 15 metrics

Strengths

  • Current Ratio: 2.1xStrong short-term liquidity to meet obligations.
  • Gross Margin: 61.0%High gross margin signals strong pricing power.
  • Dividend Streak: 11+ yrsLong, uninterrupted dividend track record.

Risks

  • Earnings Payout Ratio: 827.3%High earnings payout ratio leaves little safety margin.
  • FCF Payout Ratio: 125.4%Free cash flow is tight relative to the dividend.
  • CFO Payout Ratio: 108.6%Operating cash flow leaves little room for the payout.

Payout & Coverage

Danger

Balance Sheet

Safe

Profitability

Caution
61.0%Very Safe

Dividend Track Record

Very Safe
11+ yrsVery Safe
NoneVery Safe
19.9%Very Safe
Mostly StableCaution

About Microchip Technology Incorporated

Microchip Technology is a leading provider of microcontroller, mixed-signal, analog, and Flash-IP integrated circuits serving global markets. The company manufactures 8, 16, and 32-bit microcontrollers including PIC and AVR platforms, along with analog power management and conversion devices, digital signal controllers, and memory products. Microchip's comprehensive portfolio also includes CAN and LIN serial communication interface devices, timing and real-time clock products, USB solutions, Power Management Integrated Circuits (PMICs), and networking products featuring Ethernet and wireless capabilities. Operating manufacturing facilities in Oregon and Colorado, with assembly and test operations in Thailand and the Philippines, Microchip delivers solutions across industrial, automotive, consumer, aerospace and defense, communications, and computing markets. The company's Total System Solutions strategy enables customers to integrate multiple products into streamlined offerings, while its development tools and technical support resources help customers move from concept through product completion. Headquartered in Chandler, Arizona since its founding in 1987, Microchip serves over 125,000 customers globally with approximately 100,000 products designed to address critical challenges in emerging technologies.

Dividend Overview

Dividend Yield

1.77%

Annual Dividend

$1.82

Frequency

Quarterly

Payout Ratio

827.27%

FCF Payout Ratio

125.43%

52-Week Range

$48.52 - $105.91

Dividend History (2016–2025)

MCHP annual dividend per share and yield history

Earnings & Profitability

MCHP earnings per share and net profit margin

Key Dates

Last Ex-Dividend Date

May 22, 2026

Last Payment Date

June 5, 2026

Dividend Growth

3-Year Dividend CAGR

16.27%

5-Year Dividend CAGR

19.87%

10-Year Dividend CAGR

9.79%

3-Year Total Growth

57.17%

5-Year Total Growth

147.45%

10-Year Total Growth

154.37%

Income Calculator

MCHP Dividend Calculator

Total Investment

$9,412.00

Annual Income

$182.00

Quarterly Income

$45.50

Monthly Income

$15.17

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Frequently Asked Questions

What is MCHP's current dividend yield?
Microchip Technology Incorporated (MCHP) currently has a dividend yield of 1.77%, based on a stock price of $94.12 and an annual dividend of $1.82.
When is MCHP's next dividend payment date?
MCHP's next ex-dividend date is 2026-05-22 and the next payment date is 2026-06-05. You must own the stock before the ex-dividend date to receive the upcoming payment.
How much does MCHP pay in dividends per year?
Microchip Technology Incorporated paid $1.82 per share in annual dividends in 2025. The dividends are paid quarterly.
Has MCHP been increasing its dividend?
Microchip Technology Incorporated has grown its dividend at a 5-year CAGR of 19.87% and a 10-year CAGR of 9.79%.
Is MCHP's dividend safe?
Microchip Technology Incorporated has a payout ratio of 827.27%. Its free cash flow payout ratio is 125.43%. The payout ratio is above 100%, which may indicate the company is paying more in dividends than it earns. This could be unsustainable long-term.
How is MCHP's Dividend Safety Rating calculated?
The Dividend Safety Rating evaluates Microchip Technology Incorporated's dividend sustainability across four categories: Payout & Coverage (30%), Balance Sheet (20%), Profitability (20%), and Dividend Track Record (30%). Each metric is rated from "Very Safe" to "Danger" based on industry-standard thresholds, with sector-specific adjustments for technology companies. The overall score ranges from 0 to 100.

Want to understand how we rate dividend safety? Read our full methodology

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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.

Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Safety Rating, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.

Market data provided by Twelve Data.