New York, January 25, 2026, 17:43 EST — Markets have closed for the day.
Shares of Microchip Technology Incorporated closed Friday roughly 1% lower at $74.71, swinging between $73.42 and $76.21 throughout the session. Roughly 7.5 million shares changed hands.
The stock remains near the peak of its 52-week range, which tops out at $79.50. After Friday’s close, Microchip sits about 6% shy of that high — a range tight enough that any new demand could send the price surging. (Investing)
The signal is coming soon. On Jan. 5, Microchip projected fiscal third-quarter net sales (ending Dec. 31, 2025) around $1.185 billion, beating its earlier forecast. CEO Steve Sanghi pointed to a “fairly broad-based recovery” and noted, “Our bookings activity was very strong” during the quarter. (Microchip Technology Incorporated)
Bookings reflect the orders a chipmaker secures; backlog shows the orders still awaiting shipment. Traders will monitor if Microchip’s strong orders translate into smooth shipments and if factory utilization picks up as the company heads into the March quarter.
Microchip’s update highlighted efforts to cut internal inventory and trim costs linked to underused factories. That’s key since low utilization can squeeze margins, even as sales begin to rebound.
Rival companies’ earnings could shake things up this week. Texas Instruments, a key player in analog chips, plans to webcast its quarterly and full-year earnings call on Tuesday, Jan. 27, at 3:30 p.m. Central time. (Texas Instruments)
NXP Semiconductors, a major supplier to the automotive and industrial sectors, announced it will report earnings after the market closes on Monday, Feb. 2. A conference call is scheduled for Tuesday morning. (NXP)
The catch for Microchip shareholders is clear: demand might falter, and clients could delay or cut orders following inventory adjustments. A slowdown in industrial or automotive tape would challenge the upbeat tone from recent booking reports.
Microchip often moves in line with the broader semiconductor sector, where earnings beats or cautious forecasts tend to ripple through stocks, even if there’s no direct news on the company itself.
Microchip’s upcoming quarterly report and management commentary will be the next major trigger. According to the company’s IR calendar, the Q3 FY26 earnings call is set for Thursday, Feb. 5, at 5:00 p.m. Eastern (2:00 p.m. Pacific). (Microchip Technology Incorporated)
