Microchip Technology (NASDAQ:MCHP) Stock Price Expected to Rise, Citigroup Analyst Says

Microchip Technology (NASDAQ:MCHP) had its target price lifted by Citigroup from $68.00 to $90.00 in a research note issued on Monday,Benzinga reports. The brokerage currently has a “buy” rating on the semiconductor company’s stock. Citigroup’s price objective indicates a potential upside of 25.82% from the stock’s previous close.

MCHP has been the subject of several other research reports. UBS Group increased their price target on Microchip Technology from $65.00 to $85.00 and gave the stock a “buy” rating in a research note on Monday. Wall Street Zen upgraded Microchip Technology from a “sell” rating to a “hold” rating in a research note on Friday, June 27th. Bank of America upgraded Microchip Technology from an “underperform” rating to a “neutral” rating and set a $56.00 target price for the company in a research note on Friday, May 9th. TD Cowen raised their target price on Microchip Technology from $35.00 to $55.00 and gave the stock a “hold” rating in a research note on Friday, May 9th. Finally, Raymond James Financial raised their target price on Microchip Technology from $60.00 to $65.00 and gave the stock a “strong-buy” rating in a research note on Friday, May 9th. Seven research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Microchip Technology currently has a consensus rating of “Moderate Buy” and a consensus price target of $72.25.

Microchip Technology Stock Performance

NASDAQ:MCHP traded down $1.53 during trading on Monday, reaching $71.53. The company’s stock had a trading volume of 5,132,178 shares, compared to its average volume of 8,906,536. The firm has a market cap of $38.58 billion, a price-to-earnings ratio of -7,153.00, a price-to-earnings-growth ratio of 2.17 and a beta of 1.52. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.47 and a current ratio of 2.59. The firm has a 50 day moving average of $61.61 and a 200-day moving average of $55.74. Microchip Technology has a 12 month low of $34.13 and a 12 month high of $96.98.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings data on Thursday, May 8th. The semiconductor company reported $0.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.10 by $0.01. The firm had revenue of $970.50 million during the quarter, compared to the consensus estimate of $962.86 million. Microchip Technology had a positive return on equity of 8.55% and a negative net margin of 0.01%. The business’s revenue for the quarter was down 26.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.57 EPS. Research analysts expect that Microchip Technology will post 1.03 EPS for the current fiscal year.

Insider Transactions at Microchip Technology

In other Microchip Technology news, Director Karlton D. Johnson sold 494 shares of Microchip Technology stock in a transaction that occurred on Tuesday, May 20th. The stock was sold at an average price of $60.69, for a total value of $29,980.86. Following the transaction, the director directly owned 3,468 shares of the company’s stock, valued at $210,472.92. The trade was a 12.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO James Eric Bjornholt sold 2,015 shares of Microchip Technology stock in a transaction that occurred on Friday, May 23rd. The shares were sold at an average price of $55.78, for a total value of $112,396.70. Following the sale, the chief financial officer owned 34,313 shares in the company, valued at $1,913,979.14. This represents a 5.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Microchip Technology

Institutional investors have recently modified their holdings of the stock. Rakuten Securities Inc. boosted its position in shares of Microchip Technology by 309.5% during the fourth quarter. Rakuten Securities Inc. now owns 475 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 359 shares during the last quarter. OFI Invest Asset Management purchased a new position in Microchip Technology in the fourth quarter worth about $29,000. Garde Capital Inc. purchased a new position in Microchip Technology in the first quarter worth about $30,000. Millstone Evans Group LLC purchased a new position in Microchip Technology in the fourth quarter worth about $34,000. Finally, WPG Advisers LLC purchased a new position in Microchip Technology in the first quarter worth about $40,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

About Microchip Technology

Microchip Technology Incorporated engages in the development, manufacture, and sale of 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 mixed-signal 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.