On Monday, Microchip Technology (MCHP) stock experienced a positive adjustment to its Relative Strength (RS) Rating, moving from 67 to 76. This exclusive rating, given by Investor’s Business Daily, ranges from 1 to 99 and is used to track market leadership. The rating reflects a stock’s price performance over the past 52 weeks compared to all other stocks in the database.
Microchip Technology stock has recently fallen below its previous entry point of 94.19 from a flat base, which can be considered as a failed base if a stock surpasses a buy point but then drops 7% or more below that entry price. As such, investors should wait for the stock to form a new pattern and breakout before considering it again. Additionally, the most recent consolidation for the stock is a later-stage base, which typically carries higher risk.
In its most recent quarter, Microchip Technology saw negative growth in both sales and earnings. The company is expected to release its next quarterly report around May 6. With a No. 5 ranking among its industry peers in the Electronics-Semiconductor Manufacturing sector, Microchip Technology stock is closely watched. The top-ranked stock in this group is Taiwan Semiconductor ADR (TSM). For more industry news, investors can refer to “Chip Stocks To Watch And Semiconductor Industry News.”
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