Microchip Technology Incorporated (NASDAQ:MCHP) Given Consensus Rating of “Moderate Buy” by Brokerages

Shares of Microchip Technology Incorporated (NASDAQ:MCHP) have earned a consensus recommendation of “Moderate Buy” from the sixteen research firms that are presently covering the company, MarketBeat.com reports. Five analysts have rated the stock with a hold rating and eleven have given a buy rating to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $92.50.

MCHP has been the topic of a number of research analyst reports. Piper Sandler downgraded shares of Microchip Technology from an “overweight” rating to a “neutral” rating and set a $80.00 price target on the stock. in a research note on Thursday, January 4th. Susquehanna restated a “positive” rating and issued a $100.00 price target on shares of Microchip Technology in a research note on Monday, April 8th. Stifel Nicolaus raised their price target on shares of Microchip Technology from $94.00 to $98.00 and gave the company a “buy” rating in a research note on Thursday. Rosenblatt Securities restated a “buy” rating and issued a $100.00 price target on shares of Microchip Technology in a research note on Tuesday, January 30th. Finally, UBS Group reduced their price target on shares of Microchip Technology from $105.00 to $95.00 and set a “buy” rating on the stock in a research note on Friday, February 2nd.

Insider Activity

In other Microchip Technology news, CFO James Eric Bjornholt sold 1,970 shares of the business’s stock in a transaction on Friday, February 23rd. The shares were sold at an average price of $83.90, for a total transaction of $165,283.00. Following the completion of the sale, the chief financial officer now owns 32,893 shares in the company, valued at approximately $2,759,722.70. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In other Microchip Technology news, Director Karlton D. Johnson sold 370 shares of the business’s stock in a transaction on Tuesday, February 6th. The shares were sold at an average price of $84.00, for a total transaction of $31,080.00. Following the completion of the sale, the director now owns 1,789 shares in the company, valued at approximately $150,276. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO James Eric Bjornholt sold 1,970 shares of the business’s stock in a transaction on Friday, February 23rd. The shares were sold at an average price of $83.90, for a total transaction of $165,283.00. Following the sale, the chief financial officer now owns 32,893 shares of the company’s stock, valued at approximately $2,759,722.70. The disclosure for this sale can be found here. 2.07% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Microchip Technology

A number of hedge funds and other institutional investors have recently made changes to their positions in MCHP. Vanguard Group Inc. lifted its holdings in Microchip Technology by 0.6% during the fourth quarter. Vanguard Group Inc. now owns 66,662,226 shares of the semiconductor company’s stock valued at $6,011,600,000 after purchasing an additional 408,835 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Microchip Technology by 1.9% during the first quarter. Geode Capital Management LLC now owns 11,714,851 shares of the semiconductor company’s stock valued at $979,918,000 after buying an additional 217,223 shares during the period. Principal Financial Group Inc. increased its position in shares of Microchip Technology by 0.9% during the fourth quarter. Principal Financial Group Inc. now owns 9,279,166 shares of the semiconductor company’s stock valued at $836,795,000 after buying an additional 87,203 shares during the period. Northern Trust Corp increased its position in shares of Microchip Technology by 1.7% during the first quarter. Northern Trust Corp now owns 7,553,578 shares of the semiconductor company’s stock valued at $567,576,000 after buying an additional 123,806 shares during the period. Finally, Norges Bank bought a new stake in shares of Microchip Technology during the fourth quarter valued at about $672,196,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

Microchip Technology Price Performance

MCHP stock opened at $84.21 on Friday. The company has a quick ratio of 0.58, a current ratio of 0.98 and a debt-to-equity ratio of 0.57. Microchip Technology has a 12 month low of $68.75 and a 12 month high of $94.30. The firm has a market cap of $45.51 billion, a P/E ratio of 19.68, a P/E/G ratio of 2.62 and a beta of 1.65. The company’s 50-day moving average price is $86.58 and its two-hundred day moving average price is $84.24.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Thursday, February 1st. The semiconductor company reported $1.08 EPS for the quarter, beating the consensus estimate of $1.04 by $0.04. Microchip Technology had a net margin of 27.59% and a return on equity of 45.59%. The firm had revenue of $1.77 billion for the quarter, compared to analyst estimates of $1.77 billion. During the same period last year, the firm earned $1.48 EPS. The business’s quarterly revenue was down 18.6% compared to the same quarter last year. On average, analysts anticipate that Microchip Technology will post 4.64 earnings per share for the current fiscal year.

Microchip Technology Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 8th. Stockholders of record on Friday, February 23rd were paid a $0.45 dividend. The ex-dividend date was Thursday, February 22nd. This represents a $1.80 annualized dividend and a dividend yield of 2.14%. This is a positive change from Microchip Technology’s previous quarterly dividend of $0.44. Microchip Technology’s payout ratio is currently 42.06%.

About Microchip Technology

Microchip Technology Incorporated develops, manufactures, and sells smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. The company offers general purpose 8-bit, 16-bit, and 32-bit microcontrollers; 32-bit embedded mixed-signal microprocessors; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications.