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ANET vs. MCHP: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ANET and MCHP, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ANET dwarfs MCHP in market cap, clocking in at 116.08 billion USD—about 3.64 times the 31.87 billion USD of its counterpart.

ANET at 1.39 and MCHP at 1.41 move in sync when it comes to market volatility.

SymbolANETMCHP
Company NameArista Networks, Inc.Microchip Technology Incorporated
CountryUSUS
SectorTechnologyTechnology
IndustryComputer HardwareSemiconductors
CEOMs. Jayshree V. UllalMr. Stephen Sanghi
Price92.43 USD59.25 USD
Market Cap116.08 billion USD31.87 billion USD
Beta1.3871.407
ExchangeNYSENASDAQ
IPO DateJune 6, 2014March 19, 1993
ADRNoNo

Performance Comparison

This chart compares the performance of ANET and MCHP over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ANET and MCHP based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • MCHP shows a negative P/E of -11792.94, highlighting a year of losses with no net profit generated. Meanwhile, ANET at 38.46 has sustained positive earnings, offering a more stable earnings foundation.
  • MCHP has a negative Forward PEG of -221.72, suggesting analysts predict either a drop in earnings or no profits at all in the near future—a red flag for its growth trajectory. Meanwhile, ANET at 2.11 avoids such a pessimistic forecast.
SymbolANETMCHP
Price-to-Earnings Ratio (P/E, TTM)38.46-11792.94
Forward PEG Ratio (TTM)2.11-221.72
Price-to-Sales Ratio (P/S, TTM)15.617.24
Price-to-Book Ratio (P/B, TTM)11.515.28
Price-to-Free Cash Flow Ratio (P/FCF, TTM)30.6734.11
EV-to-EBITDA (TTM)35.6644.38
EV-to-Sales (TTM)15.368.65
EV-to-Free Cash Flow (TTM)30.1840.74

Dividend Comparison

ANET pays no dividends, focusing all profits on growth, appealing to capital-gains investors. Meanwhile, MCHP’s 2.30% yield rewards shareholders, showing financial confidence while supporting objectives—a contrast to ANET’s growth-only approach.

SymbolANETMCHP
Dividend Yield (TTM)0.00%2.30%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ANET and MCHP, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ANET posts an interest coverage of “--”, hinting at interest costs so low they’re negligible—often from scant debt or dirt-cheap rates—while MCHP at 1.59 handles interest with solid earnings.
SymbolANETMCHP
Current Ratio (TTM)3.932.25
Quick Ratio (TTM)3.311.23
Debt-to-Equity Ratio (TTM)0.001.12
Debt-to-Assets Ratio (TTM)0.000.43
Interest Coverage Ratio (TTM)--1.59