Seek Returns logo

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

Updated on

Here’s a clear look at MCHP and NTES, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

MCHP is a standard domestic listing, while NTES trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolMCHPNTES
Company NameMicrochip Technology IncorporatedNetEase, Inc.
CountryUnited StatesChina
GICS SectorInformation TechnologyCommunication Services
GICS IndustrySemiconductors & Semiconductor EquipmentEntertainment
Market Capitalization35.48 billion USD86.89 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateMarch 19, 1993June 30, 2000
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of MCHP and NTES by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

MCHP vs. NTES: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolMCHPNTES
5-Day Price Return-0.71%3.04%
13-Week Price Return7.86%26.29%
26-Week Price Return23.80%30.71%
52-Week Price Return-13.96%50.64%
Month-to-Date Return-2.72%3.53%
Year-to-Date Return14.65%51.22%
10-Day Avg. Volume11.68M0.87M
3-Month Avg. Volume10.69M1.16M
3-Month Volatility44.06%37.46%
Beta1.570.66

Profitability

Return on Equity (TTM)

MCHP

-0.01%

Semiconductors & Semiconductor Equipment Industry

Max
52.74%
Q3
23.49%
Median
11.60%
Q1
3.23%
Min
-20.69%

MCHP has a negative Return on Equity of -0.01%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

NTES

23.73%

Entertainment Industry

Max
42.50%
Q3
22.75%
Median
12.88%
Q1
7.15%
Min
-6.84%

In the upper quartile for the Entertainment industry, NTES’s Return on Equity of 23.73% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

MCHP vs. NTES: A comparison of their Return on Equity (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Net Profit Margin (TTM)

MCHP

-0.01%

Semiconductors & Semiconductor Equipment Industry

Max
44.17%
Q3
22.38%
Median
11.95%
Q1
3.21%
Min
-25.16%

MCHP has a negative Net Profit Margin of -0.01%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

NTES

30.17%

Entertainment Industry

Max
45.25%
Q3
23.93%
Median
14.60%
Q1
4.89%
Min
-22.94%

A Net Profit Margin of 30.17% places NTES in the upper quartile for the Entertainment industry, signifying strong profitability and more effective cost management than most of its peers.

MCHP vs. NTES: A comparison of their Net Profit Margin (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

MCHP

6.69%

Semiconductors & Semiconductor Equipment Industry

Max
58.03%
Q3
27.84%
Median
12.45%
Q1
5.15%
Min
-28.61%

MCHP’s Operating Profit Margin of 6.69% is around the midpoint for the Semiconductors & Semiconductor Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

NTES

30.21%

Entertainment Industry

Max
46.83%
Q3
28.87%
Median
15.26%
Q1
8.95%
Min
-5.53%

An Operating Profit Margin of 30.21% places NTES in the upper quartile for the Entertainment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

MCHP vs. NTES: A comparison of their Operating Profit Margin (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Profitability at a Glance

SymbolMCHPNTES
Return on Equity (TTM)-0.01%23.73%
Return on Assets (TTM)0.00%16.92%
Net Profit Margin (TTM)-0.01%30.17%
Operating Profit Margin (TTM)6.69%30.21%
Gross Profit Margin (TTM)56.07%62.71%

Financial Strength

Current Ratio (MRQ)

MCHP

2.59

Semiconductors & Semiconductor Equipment Industry

Max
8.42
Q3
4.70
Median
2.75
Q1
2.07
Min
1.04

MCHP’s Current Ratio of 2.59 aligns with the median group of the Semiconductors & Semiconductor Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

NTES

3.21

Entertainment Industry

Max
6.80
Q3
3.77
Median
1.87
Q1
0.86
Min
0.39

NTES’s Current Ratio of 3.21 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

MCHP vs. NTES: A comparison of their Current Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

MCHP

0.80

Semiconductors & Semiconductor Equipment Industry

Max
1.09
Q3
0.45
Median
0.22
Q1
0.01
Min
0.00

MCHP’s leverage is in the upper quartile of the Semiconductors & Semiconductor Equipment industry, with a Debt-to-Equity Ratio of 0.80. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

NTES

0.07

Entertainment Industry

Max
1.65
Q3
0.71
Median
0.14
Q1
0.04
Min
0.00

NTES’s Debt-to-Equity Ratio of 0.07 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

MCHP vs. NTES: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

MCHP

1.16

Semiconductors & Semiconductor Equipment Industry

Max
174.00
Q3
81.10
Median
27.22
Q1
7.28
Min
-4.26

In the lower quartile for the Semiconductors & Semiconductor Equipment industry, MCHP’s Interest Coverage Ratio of 1.16 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

NTES

161.13

Entertainment Industry

Max
62.11
Q3
31.19
Median
7.50
Q1
2.02
Min
-6.33

With an Interest Coverage Ratio of 161.13, NTES demonstrates a superior capacity to service its debt, placing it well above the typical range for the Entertainment industry. This stems from either robust earnings or a conservative debt load.

MCHP vs. NTES: A comparison of their Interest Coverage Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolMCHPNTES
Current Ratio (MRQ)2.593.21
Quick Ratio (MRQ)1.473.06
Debt-to-Equity Ratio (MRQ)0.800.07
Interest Coverage Ratio (TTM)1.16161.13

Growth

Revenue Growth

MCHP vs. NTES: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

MCHP vs. NTES: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

MCHP

2.78%

Semiconductors & Semiconductor Equipment Industry

Max
4.16%
Q3
1.78%
Median
0.74%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.78%, MCHP offers a more attractive income stream than most of its peers in the Semiconductors & Semiconductor Equipment industry, signaling a strong commitment to shareholder returns.

NTES

2.02%

Entertainment Industry

Max
2.54%
Q3
1.29%
Median
0.61%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.02%, NTES offers a more attractive income stream than most of its peers in the Entertainment industry, signaling a strong commitment to shareholder returns.

MCHP vs. NTES: A comparison of their Dividend Yield (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

MCHP

123.62%

Semiconductors & Semiconductor Equipment Industry

Max
196.12%
Q3
87.72%
Median
26.57%
Q1
0.00%
Min
0.00%

MCHP’s Dividend Payout Ratio of 123.62% is in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

NTES

36.47%

Entertainment Industry

Max
82.30%
Q3
45.76%
Median
29.16%
Q1
0.00%
Min
0.00%

NTES’s Dividend Payout Ratio of 36.47% is within the typical range for the Entertainment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

MCHP vs. NTES: A comparison of their Dividend Payout Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Dividend at a Glance

SymbolMCHPNTES
Dividend Yield (TTM)2.78%2.02%
Dividend Payout Ratio (TTM)123.62%36.47%

Valuation

Price-to-Earnings Ratio (TTM)

MCHP

--

Semiconductors & Semiconductor Equipment Industry

Max
109.37
Q3
57.11
Median
28.95
Q1
22.13
Min
11.14

P/E Ratio data for MCHP is currently unavailable.

NTES

18.03

Entertainment Industry

Max
53.51
Q3
45.31
Median
33.16
Q1
18.21
Min
3.89

In the lower quartile for the Entertainment industry, NTES’s P/E Ratio of 18.03 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

MCHP vs. NTES: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

MCHP

7.99

Semiconductors & Semiconductor Equipment Industry

Max
16.09
Q3
10.10
Median
4.82
Q1
2.60
Min
0.93

MCHP’s P/S Ratio of 7.99 aligns with the market consensus for the Semiconductors & Semiconductor Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NTES

5.44

Entertainment Industry

Max
12.81
Q3
7.20
Median
4.68
Q1
3.32
Min
0.79

NTES’s P/S Ratio of 5.44 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

MCHP vs. NTES: A comparison of their Price-to-Sales Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

MCHP

3.68

Semiconductors & Semiconductor Equipment Industry

Max
13.56
Q3
6.75
Median
3.68
Q1
1.89
Min
0.60

MCHP’s P/B Ratio of 3.68 is within the conventional range for the Semiconductors & Semiconductor Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NTES

3.25

Entertainment Industry

Max
17.11
Q3
8.38
Median
5.24
Q1
2.18
Min
0.67

NTES’s P/B Ratio of 3.25 is within the conventional range for the Entertainment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

MCHP vs. NTES: A comparison of their Price-to-Book Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Entertainment industry benchmarks.

Valuation at a Glance

SymbolMCHPNTES
Price-to-Earnings Ratio (TTM)--18.03
Price-to-Sales Ratio (TTM)7.995.44
Price-to-Book Ratio (MRQ)3.683.25
Price-to-Free Cash Flow Ratio (TTM)45.5314.64