Barclays has initiated coverage on Microchip Technology (NASDAQ:MCHP) with an Equalweight rating and an $80 price target, noting the stock is currently trading above this target. The firm highlighted Microchip’s moderate correlation with PMIs and its diversified sales across Data Center and Aerospace & Defense, while also expressing concerns about potential share loss in microcontrollers and elevated inventory levels. Despite these concerns, analysts predict profitability this year, and the company’s liquid assets exceed short-term obligations, suggesting financial stability.
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Barclays initiates Microchip Technology stock coverage with Equalweight rating
Barclays has initiated coverage on Microchip Technology (NASDAQ:MCHP) with an Equalweight rating and an $80 price target, noting the stock is currently trading above this target. The firm highlighted Microchip’s moderate correlation with PMIs and its diversified sales across Data Center and Aerospace & Defense, while also expressing concerns about potential share loss in microcontrollers and elevated inventory levels. Despite these concerns, analysts predict profitability this year, and the company’s liquid assets exceed short-term obligations, suggesting financial stability.