Microchip Technology Incorporated (MCHP) vs Teradyne, Inc. (TER)

TER leads on 11 of 15 compared metrics.

A side-by-side comparison of Microchip Technology Incorporated and Teradyne, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 15, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — MCHP vs TER

growth of $100 · last 30y
MCHP +4095.6%TER +4410.1%TER compounded faster
01k2k3k4k5kStart $100200120062011201620212026$4,196$4,510
MCHP TER

MCHP vs TER: by the numbers

  • TER is the larger company ($63.12B vs $51.63B market cap).
  • TER trades at the lower earnings multiple (74.67 vs 359.53 P/E).
  • TER converts more revenue to profit (22.55% vs 4.29% net margin).
  • TER grew revenue faster over the past five years (3.76% vs -2.82% CAGR).
  • MCHP pays the higher dividend yield (1.91% vs 0.12%).

Which is better, MCHP or TER?

Metric tally: MCHP 4 · TER 11

It depends on what you're optimizing for:

ValueTER(lower P/E)
GrowthTER(faster 5Y revenue CAGR)
IncomeMCHP(higher dividend yield)
QualityTER(higher ROIC)

Metrics side by side

Valuation

MetricMCHPTER
P/E ratio359.5374.67
Forward P/E54.71
P/S ratio11.0716.78
P/B ratio8.1120.22
PEG ratio519.4823.29
EV / EBITDA80.7957.36
FCF yield1.67%0.87%

Profitability

MetricMCHPTER
Gross margin57.73%58.79%
Operating margin10.40%26.92%
Net margin4.29%22.55%
ROE3.14%27.17%
ROIC3.11%18.45%

Dividends

MetricMCHPTER
Dividend yield1.91%0.12%
Payout ratio674.07%14.33%

Growth (annualized)

MetricMCHPTER
Revenue CAGR (5Y)-2.82%3.76%
EPS CAGR (5Y)-16.62%-5.86%
FCF CAGR (5Y)-13.74%-3.97%
Total return CAGR (5Y)6.56%26.28%

Frequently asked

Which is better, MCHP or TER?
It depends on your goal. value: TER (lower P/E); growth: TER (faster 5Y revenue CAGR); income: MCHP (higher dividend yield); quality: TER (higher ROIC). Across all compared metrics, TER leads 11 to 4.
Is MCHP or TER cheaper?
On trailing earnings, TER is cheaper: MCHP trades at a 359.53 P/E and TER at 74.67.
Which has grown faster, MCHP or TER?
Over the past five years, TER grew revenue faster — MCHP at a -2.82% CAGR versus TER at 3.76%.
Does MCHP or TER pay a bigger dividend?
MCHP yields 1.91% and TER yields 0.12% based on trailing dividends and the latest price.
Is MCHP or TER more profitable?
TER runs the higher net margin — MCHP at 4.29% versus TER at 22.55%.
Which has been the better investment, MCHP or TER?
Over the past 10-year, TER delivered the higher annualized total return — MCHP at 15.96% versus TER at 35.84%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 15, 2026.