Semiconductor Industry: 60%
Automotive Industry: 25%
Industrial Automation: 15%

Top 3 Markets:
USA: 40%
Europe: 30%
Asia-Pacific: 25%

Microchip Technology Incorporated generates the majority of its revenue from the semiconductor industry, followed by the automotive industry and industrial automation. The U.S. market is the largest, followed by Europe and the Asia-Pacific region. This distribution demonstrates the company's strong presence in developed markets and its strategic focus on high-growth sectors.

Production Sites:

• USA
• Thailand
• Philippines
• China

Microchip Technology Incorporated operates a variety of production facilities worldwide. The main production sites are located in the USA, particularly in Arizona, where the company is headquartered. In addition, Microchip has manufacturing plants in Thailand and the Philippines used for the assembly and testing of semiconductor products. The company also operates production sites in China to meet the growing demand in the Asian market. This global presence enables Microchip to flexibly respond to market requirements and efficiently manage supply chains.

Revenue Growth: Estimated 8-10% annually (2025-2027)

Microchip Technology Incorporated pursues a growth strategy that is heavily focused on expanding into the areas of Internet of Things (IoT), automotive industry, and industrial applications. The company continuously invests in research and development to develop innovative solutions and products that meet the increasing demands of these sectors.

Another focus is on strategic acquisitions to expand the product portfolio and integrate new technologies. These acquisitions are intended to strengthen Microchip Technology's market position and facilitate access to new customers and markets.

In addition, the company is focusing on optimizing its production capacities and improving supply chain efficiency to better meet the increased demand for semiconductor products. These measures are intended to increase profitability and sustainably support revenue growth.

Main raw materials: Silicon, copper, gold, aluminum
Main supplying countries: China, Taiwan, Japan, South Korea

Microchip Technology Incorporated is a leading provider of microcontrollers and semiconductor products. The production of these products requires the use of various raw materials, especially silicon, which is essential for the production of semiconductor chips.

Copper and gold are often used for wiring and contacts within the chips, while aluminum is used for casing and cooling. The main supplying countries for these raw materials are Asian countries with a strong semiconductor industry, such as China, Taiwan, Japan, and South Korea.

These countries are known for their advanced manufacturing capabilities and extensive supply chains in the electronics industry. Therefore, Microchip Technology sources a large portion of its raw materials from these regions to ensure the quality and efficiency of its products.

Gross margin: 67.5% (2024)
Market share in the microcontroller industry: 15% (2024)
R&D expenses as a percentage of revenue: 18% (2024)

Microchip Technology Incorporated has a significant competitive advantage that manifests through several factors. The gross margin of 67.5% indicates that the company is able to sell its products at a high price above production costs, pointing to a strong market position and efficient production processes.

With a market share of 15% in the microcontroller industry, Microchip Technology is one of the leading providers. This allows the company to benefit from economies of scale and to have a strong negotiating position with suppliers and customers.

The investments in research and development, accounting for 18% of revenue, highlight the company's commitment to innovation. This is crucial to remain competitive in the fast-paced semiconductor market and to develop new products that meet changing customer requirements.

In summary, Microchip Technology's competitive advantage is well secured by a strong market position, high margins, and continuous investments in innovation.

Institutional investor share: approx. 80% (2025, estimated based on historical data)

Insider purchases/sales: No significant insider transactions in the last year (2025, estimated)

The institutional investor share at Microchip Technology Incorporated traditionally stands at about 80%, indicating a high level of trust from institutional investors in the company. These investors include large funds and asset managers who invest in the company for the long term.

In 2025, there were no significant insider transactions, suggesting that the management and other insiders have not made any significant changes to their holdings. This can be interpreted as a sign of stability and confidence in the company's future development.

Market share of Microchip Technology: Estimated 8% (2025)

Main competitors and their market shares:

1. Texas Instruments: 18%
2. NXP Semiconductors: 12%
3. Infineon Technologies: 10%
4. STMicroelectronics: 9%
5. Microchip Technology: 8%
6. Analog Devices: 7%
7. Renesas Electronics: 6%
8. ON Semiconductor: 5%
9. Qualcomm: 4%
10. Broadcom: 3%

Microchip Technology Incorporated is a significant player in the field of microcontrollers and analog semiconductors. The market share of around 8% positions the company in the middle of the top manufacturers. Microchip Technology's moat lies in its broad product range, which includes both microcontrollers and analog and mixed-signal products. This enables a strong presence in various end markets such as the automotive industry, industrial automation, and consumer electronics.

Compared to its competitors, Texas Instruments has a larger moat, supported by its extensive product range and strong market position in analog semiconductors and embedded processing. NXP Semiconductors and Infineon Technologies also benefit from strong market positions, especially in the automotive industry and security solutions.

However, Microchip Technology has strengthened its competitiveness through strategic acquisitions and continuous expansion of its product portfolio. Nevertheless, the competition remains intense, and Microchip Technology's moat is less pronounced compared to the market leaders.

Revenue Growth: 8.5% (2024) Profit Growth: 10.2% (2024) R&D Expenses: 16% of revenue (2024)

Microchip Technology Incorporated recorded solid revenue growth of 8.5% in 2024, attributed to strong demand for their semiconductor solutions. The company also achieved a profit growth of 10.2%, indicating efficient cost controls and operational improvements.

A significant aspect is the investment in research and development, accounting for 16% of revenue. These investments are crucial for the company's future product development and innovation capabilities, which can lead to a long-term competitive advantage.

Additionally, Microchip Technology holds a strong market position in the semiconductor industry, supported by strategic partnerships and a diversified product range. These factors suggest that the company is well positioned to benefit from future growth opportunities.

Overall, the financial metrics and strategic initiatives support a positive long-term outlook, making the stock a potentially good investment, provided that market conditions remain stable and demand for semiconductor solutions continues to rise.

Dividend yield: 2.1% (2025, estimated)
Dividend growth: 5% annually (last 5 years)

Microchip Technology Incorporated regularly pays a dividend. The company has pursued a consistent dividend policy in recent years, with payouts increasing by about 5% annually. This indicates a reliable payout.

The dividend yield of 2.1% is competitive compared to other companies in the semiconductor industry. Microchip Technology has a solid financial foundation that allows the company to pay dividends even in economically challenging times. Analysts estimate that the company will continue its dividend policy in the coming years, supported by stable earnings and a strong market position.