Zacks: Brokerages Expect Microchip Technology Inc. (MCHP) to Post $1.35 EPS

Equities research analysts predict that Microchip Technology Inc. (NASDAQ:MCHP) will report earnings of $1.35 per share for the current fiscal quarter, Zacks Investment Research reports. Seven analysts have issued estimates for Microchip Technology’s earnings. The lowest EPS estimate is $1.35 and the highest is $1.37. Microchip Technology reported earnings of $1.05 per share in the same quarter last year, which would indicate a positive year over year growth rate of 28.6%. The firm is expected to issue its next quarterly earnings results on Tuesday, February 6th.

On average, analysts expect that Microchip Technology will report full-year earnings of $5.45 per share for the current year, with EPS estimates ranging from $5.39 to $5.51. For the next year, analysts anticipate that the business will post earnings of $5.87 per share, with EPS estimates ranging from $5.56 to $6.16. Zacks’ earnings per share calculations are an average based on a survey of research analysts that that provide coverage for Microchip Technology.

Microchip Technology (NASDAQ:MCHP) last posted its earnings results on Monday, November 6th. The semiconductor company reported $1.41 EPS for the quarter, beating the consensus estimate of $1.27 by $0.14. Microchip Technology had a return on equity of 35.48% and a net margin of 16.23%. The company had revenue of $1.01 billion for the quarter, compared to the consensus estimate of $1 billion. During the same quarter in the prior year, the business earned $0.94 earnings per share. The firm’s revenue for the quarter was up 16.2% on a year-over-year basis.

A number of equities research analysts recently issued reports on MCHP shares. Needham & Company LLC reissued a “buy” rating and set a $120.00 price target on shares of Microchip Technology in a research report on Tuesday, September 19th. Stifel Nicolaus restated a “buy” rating and set a $94.00 target price on shares of Microchip Technology in a research note on Thursday, September 28th. Argus started coverage on Microchip Technology in a research note on Friday, October 6th. They set a “buy” rating and a $106.00 target price for the company. Jefferies Group restated a “buy” rating and set a $106.00 target price on shares of Microchip Technology in a research note on Thursday, October 19th. Finally, B. Riley reiterated a “buy” rating and issued a $123.00 price target (up from $120.00) on shares of Microchip Technology in a research note on Tuesday, November 7th. Six research analysts have rated the stock with a hold rating, thirteen have given a buy rating and one has given a strong buy rating to the stock. The company presently has a consensus rating of “Buy” and an average price target of $101.18.

Microchip Technology (MCHP) traded up $0.22 during trading on Thursday, hitting $91.99. The stock had a trading volume of 1,645,300 shares, compared to its average volume of 1,936,400. Microchip Technology has a 52 week low of $62.21 and a 52 week high of $95.92. The company has a quick ratio of 2.71, a current ratio of 3.33 and a debt-to-equity ratio of 0.85. The firm has a market capitalization of $21,360.00, a P/E ratio of 36.80, a price-to-earnings-growth ratio of 1.45 and a beta of 1.00.

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 5th. Shareholders of record on Tuesday, November 21st were issued a dividend of $0.3625 per share. This is an increase from Microchip Technology’s previous quarterly dividend of $0.36. This represents a $1.45 dividend on an annualized basis and a yield of 1.58%. The ex-dividend date of this dividend was Monday, November 20th. Microchip Technology’s dividend payout ratio (DPR) is presently 58.00%.

In other news, CFO James Eric Bjornholt sold 1,801 shares of the firm’s stock in a transaction dated Wednesday, November 22nd. The stock was sold at an average price of $91.66, for a total value of $165,079.66. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, VP Stephen V. Drehobl sold 2,852 shares of the firm’s stock in a transaction dated Wednesday, November 22nd. The shares were sold at an average price of $91.66, for a total transaction of $261,414.32. Following the completion of the transaction, the vice president now directly owns 15,767 shares in the company, valued at approximately $1,445,203.22. The disclosure for this sale can be found here. Company insiders own 2.13% of the company’s stock.

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Commonwealth Bank of Australia lifted its position in shares of Microchip Technology by 1.4% during the 2nd quarter. Commonwealth Bank of Australia now owns 2,124 shares of the semiconductor company’s stock worth $163,000 after buying an additional 29 shares in the last quarter. Keel Point LLC lifted its position in shares of Microchip Technology by 3.3% during the 2nd quarter. Keel Point LLC now owns 3,694 shares of the semiconductor company’s stock worth $285,000 after buying an additional 119 shares in the last quarter. QS Investors LLC lifted its position in shares of Microchip Technology by 6.5% during the 2nd quarter. QS Investors LLC now owns 2,999 shares of the semiconductor company’s stock worth $231,000 after buying an additional 182 shares in the last quarter. Trust Co. of Virginia VA raised its holdings in shares of Microchip Technology by 0.3% in the 2nd quarter. Trust Co. of Virginia VA now owns 130,555 shares of the semiconductor company’s stock worth $10,076,000 after purchasing an additional 330 shares during the period. Finally, Veritable L.P. raised its holdings in shares of Microchip Technology by 15.6% in the 2nd quarter. Veritable L.P. now owns 3,883 shares of the semiconductor company’s stock worth $300,000 after purchasing an additional 524 shares during the period.

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About Microchip Technology

Microchip Technology Incorporated is engaged in developing, manufacturing and selling specialized semiconductor products used by its customers for a range of embedded control applications. The Company operates through two segments: semiconductor products and technology licensing. In the semiconductor products segment, the Company designs, develops, manufactures and markets microcontrollers, development tools and analog, interface, mixed signal and timing products.

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Earnings History and Estimates for Microchip Technology (NASDAQ:MCHP)

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