Microchip reported earnings after the close of trading on the 6th and the outlook for the quarter fell to the low end of the market forecast, causing the stock price to plunge on the 7. Microchip said Atmel acquired the problem in 2016 and the two companies are still in the process of merger. Usually 1 to 3 months will be substantially reduced, drag Microchip's test results. Microchip setback 9.80% on the 7th to close at 82.91 US dollars.
Barron's reported that the behemoth analysts think the problem goes beyond that and predict that the semiconductor slowdown will be faster than expected. "SunTrust Robinson Humphrey's William Stein said Microchip's testament to their warning in December last year that the semiconductor industry Growth will plummet Although Microchip said it is normal seasonality, the company increased inventory days to 10 days, orders-to-delivery lead time, book-to-bill ratio ) To 1.0. All the signs are confirming their worries, indicating that the industry cycle has come to a stage of 'slowing down' and that growth atrophy may be faster than expected.
KeyBank's Michael McConnell's view is less pessimistic, though both he and Stein look at order bookings and other data, but McConnell thinks it should be a soft landing without a dramatic drop, saying that although Microchip's October-December quarter pick The single-ship ratio dropped to 1.0, down from 1.05 in the previous quarter, but the order was not abolished. Meanwhile, the time between delivery and delivery accelerated to 4-14 weeks.
MoneyDJ News reported on the 7th, Microchip micro-controller announced after-hours earnings on the 6th, Outlook this quarter, Microchip estimates EPS is between 1.3-1.39 US dollars, revenues between 9.64-10 billion US dollars, according to FactSet survey estimated EPS For $ 1.37, revenue of $ 1.01 billion.