Microchip Technology Incorporated (NASDAQ:MCHP) Receives Average Rating of “Moderate Buy” from Analysts

Microchip Technology Incorporated (NASDAQ:MCHP) has earned an average recommendation of “Moderate Buy” from the fifteen ratings firms that are covering the company, MarketBeat reports. Five analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average twelve-month target price among brokers that have updated their coverage on the stock in the last year is $91.33.

MCHP has been the topic of several research reports. Susquehanna decreased their price objective on shares of Microchip Technology from $105.00 to $100.00 and set a “positive” rating on the stock in a report on Friday, February 2nd. Needham & Company LLC boosted their target price on Microchip Technology from $85.00 to $90.00 and gave the stock a “buy” rating in a research note on Friday, February 2nd. TD Cowen upped their price objective on Microchip Technology from $75.00 to $80.00 and gave the company a “market perform” rating in a research note on Friday, February 2nd. Stifel Nicolaus reissued a “buy” rating and set a $94.00 target price on shares of Microchip Technology in a research report on Thursday, March 14th. Finally, StockNews.com cut Microchip Technology from a “buy” rating to a “hold” rating in a report on Friday, December 29th.

Insider Activity

In related news, Director Karlton D. Johnson sold 370 shares of Microchip Technology stock in a transaction dated Tuesday, February 6th. The stock was sold at an average price of $84.00, for a total value of $31,080.00. Following the completion of the sale, the director now owns 1,789 shares of the company’s stock, valued at approximately $150,276. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. In other news, CFO James Eric Bjornholt sold 1,970 shares of Microchip Technology stock in a transaction dated Friday, February 23rd. The stock was 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 filing with the SEC, which is accessible through this hyperlink. Also, Director Karlton D. Johnson sold 370 shares of Microchip Technology stock in a transaction dated Tuesday, February 6th. The shares were sold at an average price of $84.00, for a total value of $31,080.00. Following the sale, the director now owns 1,789 shares of the company’s stock, valued at approximately $150,276. The disclosure for this sale can be found here. Insiders own 2.07% of the company’s stock.

Institutional Trading of Microchip Technology

Hedge funds have recently bought and sold shares of the company. Bleakley Financial Group LLC grew its stake in Microchip Technology by 1.3% in the fourth quarter. Bleakley Financial Group LLC now owns 9,415 shares of the semiconductor company’s stock worth $849,000 after purchasing an additional 119 shares during the period. Aspire Private Capital LLC lifted its holdings in shares of Microchip Technology by 3.2% during the fourth quarter. Aspire Private Capital LLC now owns 3,904 shares of the semiconductor company’s stock valued at $274,266,959,000 after purchasing an additional 120 shares in the last quarter. Balentine LLC lifted its holdings in shares of Microchip Technology by 1.0% during the second quarter. Balentine LLC now owns 12,656 shares of the semiconductor company’s stock valued at $1,134,000 after purchasing an additional 122 shares in the last quarter. RFG Advisory LLC lifted its holdings in Microchip Technology by 3.2% in the fourth quarter. RFG Advisory LLC now owns 3,910 shares of the semiconductor company’s stock valued at $353,000 after acquiring an additional 123 shares during the period. Finally, Twelve Points Wealth Management LLC lifted its holdings in Microchip Technology by 1.0% in the fourth quarter. Twelve Points Wealth Management LLC now owns 12,229 shares of the semiconductor company’s stock valued at $1,103,000 after acquiring an additional 125 shares during the period. Institutional investors own 91.51% of the company’s stock.

Microchip Technology Stock Up 0.6 %

Microchip Technology stock opened at $89.71 on Monday. The company has a debt-to-equity ratio of 0.57, a current ratio of 0.98 and a quick ratio of 0.58. Microchip Technology has a fifty-two week low of $68.75 and a fifty-two week high of $94.30. The company’s 50 day simple moving average is $86.38 and its 200 day simple moving average is $83.22. The firm has a market capitalization of $48.48 billion, a price-to-earnings ratio of 20.96, a PEG ratio of 1.59 and a beta of 1.65.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings results on Thursday, February 1st. The semiconductor company reported $1.08 earnings per share for the quarter, beating analysts’ consensus estimates 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 quarter in the previous year, the firm posted $1.48 earnings per share. The business’s revenue was down 18.6% on a year-over-year basis. As a group, sell-side analysts anticipate that Microchip Technology will post 4.64 EPS for the current year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 8th. Stockholders of record on Friday, February 23rd were given a dividend of $0.45 per share. The ex-dividend date of this dividend was Thursday, February 22nd. This is a positive change from Microchip Technology’s previous quarterly dividend of $0.44. This represents a $1.80 annualized dividend and a dividend yield of 2.01%. Microchip Technology’s dividend payout ratio (DPR) 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.