---
title: "Microchip's NASA spaceflight computer passes radiation tests as insiders sell $71 million, buying none"
description: "Radiation milestones on a NASA-contracted spaceflight computer and the quiet purchase of radiation-hardened chipmaker VORAGO hand Microchip a second growth story. The stock's 115.6x trailing multiple already believes it; the November 5 earnings report is the first audit."
publisher: "The Inference"
section: "Chips"
published: 2026-10-31T18:03:43.469Z
modified: 2026-10-31T18:03:43.469Z
canonical: https://theinference.org/article/microchip-s-nasa-spaceflight-computer-passes-radiation-tests-as-insiders-sell-71-million-buying-none
language: en
keywords: "Microchip Technology, Semiconductors, Space, Insider Selling, Valuation"
---

# Microchip's NASA spaceflight computer passes radiation tests as insiders sell $71 million, buying none

> Radiation milestones on a NASA-contracted spaceflight computer and the quiet purchase of radiation-hardened chipmaker VORAGO hand Microchip a second growth story. The stock's 115.6x trailing multiple already believes it; the November 5 earnings report is the first audit.

## A NASA computer passes its radiation exam

On October 27, 2026 [Microchip](https://theinference.org/markets/companies/microchip-technology) reported [the first radiation results](https://finance.yahoo.com/technology/articles/microchip-achieves-key-program-milestones-120000215.html) for PIC64-HPSC, the 64-bit multicore RISC-V spaceflight computer that NASA and the Jet Propulsion Laboratory awarded it in 2022 [1]. The hardened variant, PIC64-HPSC1000-RH, absorbed a total ionizing dose of 200 krad(Si) and latch-up strikes to 78.2 MeV·cm²/mg with no uncorrected errors and no external resets in testing to date, and Early Access customers are already evaluating working silicon [1]. Microchip points to NASA's FY26 Civil Space Shortfall Prioritization, which ranks advanced onboard computing third among civil space technology gaps [1].

## October bought a whole space line

The milestone capped a month of assembly. On October 9 Microchip said it had acquired VORAGO Technologies, an Austin, Texas firm founded in 2004 that builds radiation-hardened microcontrollers rated for heat to 200°C; [the price was not disclosed and Microchip called the deal immaterial to consolidated results](https://uk.finance.yahoo.com/news/microchip-technology-acquires-vorago-technologies-130000027.html) [2].

VORAGO's patented HARDSIL process raises the radiation tolerance of existing chip designs without a full redesign, a shortcut for satellite integrators on tight schedules [2][5]. On October 22 came [the LX-820, a radiation-tolerant quartz oscillator for low Earth orbit](https://markets.businessinsider.com/news/stocks/microchip-adds-the-lx-820-quartz-oscillator-to-its-l-series-timing-portfolio-developed-for-low-earth-orbit-applications-1036654305), tested to 50 krad total ionizing dose and shipping in production quantities [3][4].

## The multiple is the complication

*Chart: **Five quarters of recovery, still a third below the 2023 peak** Line chart of Microchip Technology quarterly revenue from Q3 2023 to Q2 2026, falling from $2.25B to a $0.97B trough then recovering to $1.49B, still well below the 2023 peak.*

*Quarterly net revenue by calendar quarter, from Microchip's SEC filings; the latest point is the June 2026 quarter. Sources: [7]. [7]*

The core business is recovering, not recovered. Revenue has risen five straight quarters off a $0.971 billion trough to $1.485 billion in the June quarter, up 38% year over year [6][7], yet it sits about a third below the September 2023 peak [7]. The stock closed October 30 at $77.34 after a 4.7% drop, at [115.6 times trailing earnings](https://theinference.org/article/microchip-named-no-customer-for-its-new-ai-power-board-and-the-stock-trades-at-116-times-earnings) against a five-year median of 27.2, with [insiders selling $71.1 million of stock over 12 months and buying none](https://www.gurufocus.com/news/9160270/microchip-technology-inc-mchp-shares-fall-47-gf-value-says-still-overvalued) [8].

*Chart: **Margins are climbing but operating margin is still 17 points below the 2023 peak** Line chart of Microchip's gross, operating and net margins by calendar quarter from Q3 2023 to Q2 2026: gross margin falls from 67.8 percent to a 51.6 percent trough then recovers to 63.2 percent, operating margin falls from 39.3 percent to negative 10.3 percent and recovers to 22.7 percent, net margin dips negative at the trough and reaches 15.5 percent.*

*Quarterly margins as a percent of revenue, by calendar quarter, from Microchip's SEC filings; the latest point is the June 2026 quarter. Sources: [9]. [9]*

## November 5 prices the story

The bull case holds a Moderate Buy consensus and a $97.71 average price target [6]. But no space product carries a disclosed revenue figure and VORAGO is explicitly immaterial, so [Thursday's report](https://www.marketbeat.com/instant-alerts/upcoming-microchip-technology-mchp-expected-to-release-earnings-on-thursday-2026-10-29/) measures the old cycle, not the new one.

Consensus wants $0.936 of EPS on $1.61 billion of revenue for the September quarter, inside company guidance of $0.910–$0.950 [6]. The chip is rated to survive 200 krad of radiation; the shareholder is being asked to absorb 115 times trailing earnings [6]. The tell on the 5pm ET call is whether any space line gets a number attached [6].

## Takeaway

The radiation results and the VORAGO purchase give Microchip a space story, but no space revenue is disclosed, insiders sold $71 million without a single buy, and the 115.6x multiple waits on the November 5 report.

## Sources

1. [Yahoo Finance / GlobeNewswire, Microchip Achieves Key Program Milestones for its PIC64-HPSC Spaceflight Computing Series, 27 October 2026](https://finance.yahoo.com/technology/articles/microchip-achieves-key-program-milestones-120000215.html)
2. [Yahoo Finance UK / GlobeNewswire, Microchip Technology Acquires VORAGO Technologies, 9 October 2026](https://uk.finance.yahoo.com/news/microchip-technology-acquires-vorago-technologies-130000027.html)
3. [Markets Insider / GlobeNewswire, Microchip Adds the LX-820 Quartz Oscillator to its L-Series Timing Portfolio Developed for Low Earth Orbit Applications, 22 October 2026](https://markets.businessinsider.com/news/stocks/microchip-adds-the-lx-820-quartz-oscillator-to-its-l-series-timing-portfolio-developed-for-low-earth-orbit-applications-1036654305)
4. [EE World Online, Radiation-tolerant oscillator supports LEO satellites, 23 October 2026](https://www.eeworldonline.com/radiation-tolerant-oscillator-supports-leo-satellites/)
5. [Disrupts, Microchip Technology acquires VORAGO to harden space and defence chips, 28 October 2026](https://disrupts.disruptsmedia.com/space/microchip-technology-acquires-vorago-harden-space-and-defence-chips)
6. [MarketBeat, Microchip Technology (MCHP) Expected to Release Earnings on Thursday, 29 October 2026](https://www.marketbeat.com/instant-alerts/upcoming-microchip-technology-mchp-expected-to-release-earnings-on-thursday-2026-10-29/)
7. [Microchip Technology quarterly figures from its SEC filings, retrieved 31 October 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000827054)
8. [GuruFocus, Microchip Technology Inc (MCHP) Shares Fall 4.7%, GF Value Says Still Overvalued, 30 October 2026](https://www.gurufocus.com/news/9160270/microchip-technology-inc-mchp-shares-fall-47-gf-value-says-still-overvalued)
9. [Microchip Technology, quarterly figures from its SEC filings, retrieved 31 October 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000827054)


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Microchip's NASA spaceflight computer passes radiation tests as insiders sell $71 million, buying none — The Inference. Canonical: https://theinference.org/article/microchip-s-nasa-spaceflight-computer-passes-radiation-tests-as-insiders-sell-71-million-buying-none