Microchip Technology Inc

MCHP remains in a Stage 4 decline with sequential lower highs and lower lows, trading below declining EMAs. Extreme oversold conditions raise the risk of relief bounces, so we maintain a bearish medium-term bias but defer new selling, trimming into rallies near EMA resistance zones while preserving long-term structural integrity.

• ↑Q4 FY26 revenue $1.311B (+35.1% YoY), inventory levels bottoming
• ↑Bookings in July highest in three years, backlog up QoQ
• ↓Stock trades at $87 vs $59.52 fair value (~46% premium)