Stock Analysis on Net

Microchip Technology Inc. (NASDAQ:MCHP)

This company has been moved to the archive! The financial data has not been updated since February 2, 2023.

Analysis of Liquidity Ratios

Microsoft Excel

Liquidity Ratios (Summary)

Microchip Technology Inc., liquidity ratios

Microsoft Excel
Mar 31, 2022 Mar 31, 2021 Mar 31, 2020 Mar 31, 2019 Mar 31, 2018 Mar 31, 2017
Current ratio 1.75 0.89 1.35 0.93 1.66 3.27
Quick ratio 0.99 0.53 0.82 0.55 1.37 2.53
Cash ratio 0.23 0.12 0.25 0.18 1.09 1.85

Based on: 10-K (reporting date: 2022-03-31), 10-K (reporting date: 2021-03-31), 10-K (reporting date: 2020-03-31), 10-K (reporting date: 2019-03-31), 10-K (reporting date: 2018-03-31), 10-K (reporting date: 2017-03-31).

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Microchip Technology Inc. current ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 exceeding 2020 level.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Microchip Technology Inc. quick ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 exceeding 2020 level.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Microchip Technology Inc. cash ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 not reaching 2020 level.

Current Ratio

Microchip Technology Inc., current ratio calculation, comparison to benchmarks

Microsoft Excel
Mar 31, 2022 Mar 31, 2021 Mar 31, 2020 Mar 31, 2019 Mar 31, 2018 Mar 31, 2017
Selected Financial Data (US$ in thousands)
Current assets 2,452,600 2,145,200 2,217,200 2,214,800 3,356,300 2,305,040
Current liabilities 1,399,000 2,409,600 1,637,400 2,374,500 2,017,400 704,450
Liquidity Ratio
Current ratio1 1.75 0.89 1.35 0.93 1.66 3.27
Benchmarks
Current Ratio, Competitors2
Advanced Micro Devices Inc. 2.36 2.02 2.54 1.95
Analog Devices Inc. 2.02 1.94 1.84 1.32 1.50
Applied Materials Inc. 2.16 2.54 3.00 2.30 2.64
Broadcom Inc. 2.62 2.64 1.87 1.44 3.90
Intel Corp. 1.57 2.10 1.91 1.40
KLA Corp. 2.50 2.71 2.78 2.44 3.73
Lam Research Corp. 2.69 3.30 3.43 3.61 2.90
Micron Technology Inc. 2.89 3.10 2.71 2.58 2.79
NVIDIA Corp. 6.65 4.09 7.67 7.94
ON Semiconductor Corp. 2.78 2.45 1.90 1.66
Qualcomm Inc. 1.75 1.68 2.14 1.88 1.55
Texas Instruments Inc. 4.70 5.33 4.28 4.13
Current Ratio, Sector
Semiconductors & Semiconductor Equipment 2.35 2.47 2.45 2.03
Current Ratio, Industry
Information Technology 1.44 1.64 1.85 1.77

Based on: 10-K (reporting date: 2022-03-31), 10-K (reporting date: 2021-03-31), 10-K (reporting date: 2020-03-31), 10-K (reporting date: 2019-03-31), 10-K (reporting date: 2018-03-31), 10-K (reporting date: 2017-03-31).

1 2022 Calculation
Current ratio = Current assets ÷ Current liabilities
= 2,452,600 ÷ 1,399,000 = 1.75

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Microchip Technology Inc. current ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 exceeding 2020 level.

Quick Ratio

Microchip Technology Inc., quick ratio calculation, comparison to benchmarks

Microsoft Excel
Mar 31, 2022 Mar 31, 2021 Mar 31, 2020 Mar 31, 2019 Mar 31, 2018 Mar 31, 2017
Selected Financial Data (US$ in thousands)
Cash and cash equivalents 317,400 280,000 401,000 428,600 901,300 908,684
Short-term investments 2,000 2,000 2,000 2,300 1,295,300 394,088
Accounts receivable, net 1,072,600 997,700 934,000 880,600 563,700 478,373
Total quick assets 1,392,000 1,279,700 1,337,000 1,311,500 2,760,300 1,781,145
 
Current liabilities 1,399,000 2,409,600 1,637,400 2,374,500 2,017,400 704,450
Liquidity Ratio
Quick ratio1 0.99 0.53 0.82 0.55 1.37 2.53
Benchmarks
Quick Ratio, Competitors2
Advanced Micro Devices Inc. 1.57 1.49 1.81 1.43
Analog Devices Inc. 1.34 1.24 1.31 0.85 1.04
Applied Materials Inc. 1.17 1.64 1.95 1.38 1.62
Broadcom Inc. 2.18 2.27 1.56 1.21 3.26
Intel Corp. 1.01 1.38 1.24 0.93
KLA Corp. 1.57 1.81 1.82 1.54 2.90
Lam Research Corp. 1.75 2.48 2.78 2.90 2.26
Micron Technology Inc. 1.92 2.17 1.82 1.74 2.13
NVIDIA Corp. 5.96 3.56 7.04 6.66
ON Semiconductor Corp. 1.82 1.40 1.05 0.88
Qualcomm Inc. 1.01 1.34 1.75 1.65 1.33
Texas Instruments Inc. 3.67 4.45 3.34 3.04
Quick Ratio, Sector
Semiconductors & Semiconductor Equipment 1.63 1.80 1.79 1.48
Quick Ratio, Industry
Information Technology 1.15 1.38 1.60 1.55

Based on: 10-K (reporting date: 2022-03-31), 10-K (reporting date: 2021-03-31), 10-K (reporting date: 2020-03-31), 10-K (reporting date: 2019-03-31), 10-K (reporting date: 2018-03-31), 10-K (reporting date: 2017-03-31).

1 2022 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 1,392,000 ÷ 1,399,000 = 0.99

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Microchip Technology Inc. quick ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 exceeding 2020 level.

Cash Ratio

Microchip Technology Inc., cash ratio calculation, comparison to benchmarks

Microsoft Excel
Mar 31, 2022 Mar 31, 2021 Mar 31, 2020 Mar 31, 2019 Mar 31, 2018 Mar 31, 2017
Selected Financial Data (US$ in thousands)
Cash and cash equivalents 317,400 280,000 401,000 428,600 901,300 908,684
Short-term investments 2,000 2,000 2,000 2,300 1,295,300 394,088
Total cash assets 319,400 282,000 403,000 430,900 2,196,600 1,302,772
 
Current liabilities 1,399,000 2,409,600 1,637,400 2,374,500 2,017,400 704,450
Liquidity Ratio
Cash ratio1 0.23 0.12 0.25 0.18 1.09 1.85
Benchmarks
Cash Ratio, Competitors2
Advanced Micro Devices Inc. 0.92 0.85 0.95 0.64
Analog Devices Inc. 0.60 0.71 0.77 0.43 0.58
Applied Materials Inc. 0.35 0.86 1.29 0.81 0.99
Broadcom Inc. 1.76 1.94 1.20 0.73 1.84
Intel Corp. 0.88 1.03 0.97 0.59
KLA Corp. 0.94 1.19 1.17 0.98 2.36
Lam Research Corp. 0.80 1.62 2.12 2.29 1.57
Micron Technology Inc. 1.24 1.34 1.23 1.24 1.18
NVIDIA Corp. 4.89 2.95 6.11 5.58
ON Semiconductor Corp. 1.42 0.88 0.65 0.49
Qualcomm Inc. 0.54 1.04 1.29 1.37 1.08
Texas Instruments Inc. 3.04 3.79 2.75 2.54
Cash Ratio, Sector
Semiconductors & Semiconductor Equipment 1.16 1.31 1.33 1.04
Cash Ratio, Industry
Information Technology 0.72 0.96 1.19 1.11

Based on: 10-K (reporting date: 2022-03-31), 10-K (reporting date: 2021-03-31), 10-K (reporting date: 2020-03-31), 10-K (reporting date: 2019-03-31), 10-K (reporting date: 2018-03-31), 10-K (reporting date: 2017-03-31).

1 2022 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 319,400 ÷ 1,399,000 = 0.23

2 Click competitor name to see calculations.

Liquidity ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Microchip Technology Inc. cash ratio deteriorated from 2020 to 2021 but then improved from 2021 to 2022 not reaching 2020 level.