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Microchip Technology Incorporated Dividends Banner

Microchip Technology Incorporated Dividends

MCHP Stock Analysis

Page title

Section title

Dividend Yield
2.90%
Payout Ratio
67.99%
Dividend Amount Per Share
$1.80
Last Ex-Dividend Date
Aug 22, 2024

MCHP Dividend Safety

MCHP paid out 67.99% of its $2B earnings as dividends over the last 12 months.

Unsafe

  1. Very Unsafe

  2. Unsafe

  3. Somewhat Safe

  4. Safe

  5. Very Safe

Dividend Payout Ratio

MCHP's Dividend Payout Ratio of 67.99% is considered high for the Technology sector, potentially restricting the funds available for reinvestment and threatening future growth.

Interest Rate Coverage

MCHP's Interest Coverage Ratio of 5.119 indicates strong financial health with easy coverage of interest expenses.

Income Quality

MCHP shows excellent income quality with a ratio of 1.517. This indicates high-quality earnings and low risk of dividend cuts.

MCHP Dividend Growth

Microchip Technology Incorporated(MCHP) offers a dividend yield of 2.90% and pays $1.80 in dividends per share. Explore the historical dividend growth of MCHP.

Dividend Stability

MCHP has maintained stable dividend payments over the past 10 years with no cuts over 5%.

Dividend Growth

MCHP's dividend payments have increased by 19.863% annually over the last 5 years.

Earnings Growth

MCHP's earnings have grown by 27.291% annually over the last 5 years. This strong earnings growth suggests a stable and increasing income stream, supporting the sustainability and potential growth of dividend payouts.

MCHP Dividend Yield Attractiveness

Microchip Technology Incorporated(MCHP) provides a dividend yield of 2.90%. Compare this with the averages of its peers, industry, and sector to see how it stacks up.

Yield %

Sector

Peers

Industry

MCHP

2.07%

2.11%

2.13%

2.90%

Dividend Yield

MCHP's dividend yield of 2.9% is considered good compared to the sector average of 2.07%, providing a strong safety margin for investors.

MCHP Cash Flow

Over the past 12 months, MCHP generated $5B in revenue, produced $1B in free cash flow, and distributed $966M in dividends.

100%75%50%25%0%

Free Cash Flow Growth

MCHP's free cash flow has grown by 12.052% annually over the last 5 years, indicating a strong ability to generate cash and support dividend payments.

MCHP Free Cash Flow and Dividends Paid

This chart shows the Free Cash Flow (FCF) and the portion of FCF used to pay dividends each year by Microchip Technology Incorporated. The filled portion of the bar represents the dividends paid, while the remaining portion represents the remaining FCF.