Wells Fargo & Company Lowers Microchip Technology (NASDAQ:MCHP) Price Target to $88.00

Microchip Technology (NASDAQ:MCHP) had its price target cut by stock analysts at Wells Fargo & Company from $95.00 to $88.00 in a research note issued to investors on Monday,Benzinga reports. The firm presently has an “equal weight” rating on the semiconductor company’s stock. Wells Fargo & Company‘s price target indicates a potential upside of 5.54% from the company’s previous close.

Several other research firms have also issued reports on MCHP. UBS Group reiterated a “buy” rating on shares of Microchip Technology in a research note on Tuesday, June 2nd. Weiss Ratings raised shares of Microchip Technology from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday, June 4th. Rosenblatt Securities lifted their price objective on shares of Microchip Technology from $115.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday, May 8th. JPMorgan Chase & Co. boosted their price objective on shares of Microchip Technology from $95.00 to $120.00 and gave the stock an “overweight” rating in a research note on Friday, May 8th. Finally, Needham & Company LLC increased their target price on shares of Microchip Technology from $84.00 to $120.00 and gave the company a “buy” rating in a research report on Friday, May 8th. Four analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $99.76.

Microchip Technology Stock Up 3.6%

Shares of NASDAQ MCHP opened at $83.38 on Monday. The company has a current ratio of 2.09, a quick ratio of 1.18 and a debt-to-equity ratio of 0.85. The stock has a market capitalization of $45.28 billion, a PE ratio of 397.07, a price-to-earnings-growth ratio of 0.81 and a beta of 1.74. The stock’s fifty day simple moving average is $91.49 and its two-hundred day simple moving average is $80.84. Microchip Technology has a 12-month low of $48.52 and a 12-month high of $105.91.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings results on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.50 by $0.07. The business had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The business’s revenue was up 35.1% compared to the same quarter last year. During the same period last year, the business posted $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. As a group, analysts expect that Microchip Technology will post 2.69 EPS for the current fiscal year.

Insiders Place Their Bets

In other Microchip Technology news, CEO Steve Sanghi sold 416,581 shares of the firm’s stock in a transaction on Thursday, April 23rd. The stock was sold at an average price of $88.53, for a total transaction of $36,879,915.93. Following the completion of the sale, the chief executive officer owned 9,495,805 shares of the company’s stock, valued at $840,663,616.65. This trade represents a 4.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Matthew W. Chapman sold 10,000 shares of Microchip Technology stock in a transaction on Friday, May 15th. The shares were sold at an average price of $95.48, for a total value of $954,800.00. Following the completion of the sale, the director owned 20,665 shares in the company, valued at $1,973,094.20. This represents a 32.61% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 553,302 shares of company stock valued at $49,673,635. 1.79% of the stock is currently owned by insiders.

Institutional Trading of Microchip Technology

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. EFG International AG acquired a new position in shares of Microchip Technology during the 4th quarter worth about $29,000. Miller Capital Partners Inc. acquired a new stake in shares of Microchip Technology during the 4th quarter worth about $29,000. Reflection Asset Management acquired a new stake in shares of Microchip Technology during the 4th quarter worth about $33,000. Garton & Associates Financial Advisors LLC purchased a new stake in Microchip Technology during the fourth quarter worth approximately $33,000. Finally, Caitong International Asset Management Co. Ltd lifted its stake in Microchip Technology by 4,663.6% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 524 shares of the semiconductor company’s stock worth $33,000 after purchasing an additional 513 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors and hedge funds.

About Microchip Technology

Microchip Technology Inc is a semiconductor company headquartered in Chandler, Arizona, that designs, develops and supplies a broad portfolio of embedded control and analog semiconductors. Its product lineup centers on microcontrollers (including the well-known PIC family), digital signal controllers and associated development tools and software, along with a range of mixed-signal and analog devices, nonvolatile memory, power management, timing, interface, wireless and security products. The company also provides integrated hardware and software solutions intended to simplify embedded design and accelerate time to market for OEMs and contract manufacturers.

Microchip’s products are used across a wide range of end markets, including automotive, industrial automation, consumer electronics, communications, aerospace and defense, and Internet of Things (IoT) applications.