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CEOPayWatch

Is the Microchip Technology CEO Overpaid?

On pay-for-performance, Microchip Technology scores A (95/100) on the CEOPay rubric: Ganesh Moorthy earned $8.0M in 2025 while the company posted a 36.4% three-year total shareholder return — meaning pay is broadly aligned with shareholder returns. "Overpaid" is ultimately a judgment, but the grade puts the pay package next to the results it was meant to reward.

This page answers a common executive-compensation question: Is the Microchip Technology CEO Overpaid?. The answer draws on SEC DEF 14A proxy statements, the public disclosure mechanism for U.S. public-company executive pay. Every public company must file an annual proxy statement disclosing CEO and named-executive-officer compensation in detail. Why this matters for shareholders: executive compensation is the single most-disclosed governance metric at U.S. public companies, and the Dodd-Frank-mandated say-on-pay vote gives shareholders an explicit channel to express approval or dissent. Reading pay data well — including pay-versus-performance, peer-group selection, and time-vesting structures — is a basic part of stock-by-stock fundamental analysis.

The detailed answer below uses the actual proxy-statement filings, explains how to read them, and translates the executive-compensation accounting into the shareholder-relevant interpretation.

Microchip Technology Pay-for-Performance Scorecard

Pay-for-Performance grade
A (95/100)
3-yr shareholder return
36.4%
3-yr revenue growth
25.3%
Say-on-pay approval
96.0%
CEO total comp
$8.0M
CEO-to-worker ratio
57:1

Source: Microchip Technology SEC DEF 14A proxy statement. Pay-for-Performance grade is CEOPay's proprietary score (TSR alignment 40%, revenue-vs-pay growth 30%, say-on-pay 20%, pay ratio vs peers 10%).

The CEOPay Pay-for-Performance Score grades Microchip Technology a A (95/100). It weighs four factors pulled from the company's SEC filings: three-year total shareholder return alignment (86/100), revenue growth versus compensation growth (100/100), say-on-pay vote support (100/100), and CEO-to-worker pay ratio versus peers (100/100). Ganesh Moorthy's $8,000,000 package is the number those factors judge.

Over the trailing three years, Microchip Technology delivered 36.4% total shareholder return on 25.3% revenue growth, and 96.0% of shareholders approved the pay plan in the most recent say-on-pay vote. Returns at that level make the package defensible on the numbers — the pay broadly tracked what shareholders earned.

There is no single threshold for "overpaid." The package only pays out in full if performance and vesting conditions are met, and equity dominates it: $4,000,000 of Ganesh Moorthy's 2025 pay came from stock awards versus $800,000 in base salary. Reasonable shareholders weigh the grade, the say-on-pay vote, and the peer-group context together rather than the headline number alone.

Pay & Performance Data

ComponentAmount
Total Compensation$8,000,000
Base Salary$800,000
Stock Awards$4,000,000
Option Awards$960,000
Non-Equity Incentive$1,200,000
CEO-to-Worker Pay Ratio57:1
Pay-Performance GradeA

Frequently Asked Questions

On pay-for-performance, Microchip Technology scores A (95/100) on the CEOPay rubric: Ganesh Moorthy earned $8.0M in 2025 while the company posted a 36.4% three-year total shareholder return — meaning pay is broadly aligned with shareholder returns. "Overpaid" is ultimately a judgment, but the grade puts the pay package next to the results it was meant to reward.

Our Pay-for-Performance Score rates Microchip Technology as A (95/100), based on three-year total shareholder return of 36.4%, revenue growth of 25.3%, and shareholder say-on-pay vote approval.

Ganesh Moorthy, CEO of Microchip Technology, earned $8.0M in total compensation in 2025, including $4.0M in stock awards and $800,000 in base salary.

Microchip Technology's CEO-to-worker pay ratio is 57:1. CEO Ganesh Moorthy earns approximately 57 times the median worker's pay of $140,000, as disclosed in the company's SEC DEF 14A proxy statement.

Ganesh Moorthy is the chief executive officer of Microchip Technology (MCHP).

On pay-for-performance, Microchip Technology scores A (95/100) on the CEOPay rubric: Ganesh Moorthy earned $8.0M in 2025 while the company posted a 36.4% three-year total shareholder return — meaning pay is broadly aligned with shareholder returns. "Overpaid" is ultimately a judgment, but the grade puts the pay package next to the results it was meant to reward.

Source: SEC EDGAR DEF 14A proxy statements, 2026.