Norges Bank Makes New $664.56 Million Investment in Microchip Technology Incorporated $MCHP

Norges Bank bought a new position in shares of Microchip Technology Incorporated (NASDAQ:MCHP) in the fourth quarter, HoldingsChannel.com reports. The institutional investor bought 10,429,442 shares of the semiconductor company’s stock, valued at approximately $664,564,000.

A number of other large investors have also recently added to or reduced their stakes in MCHP. Winnow Wealth LLC bought a new stake in Microchip Technology during the 3rd quarter worth about $25,000. GoalVest Advisory LLC lifted its position in Microchip Technology by 174.0% during the 4th quarter. GoalVest Advisory LLC now owns 548 shares of the semiconductor company’s stock worth $35,000 after buying an additional 348 shares in the last quarter. Board of the Pension Protection Fund bought a new stake in Microchip Technology during the 4th quarter worth about $38,000. Kohmann Bosshard Financial Services LLC bought a new stake in Microchip Technology during the 4th quarter worth about $38,000. Finally, Strengthening Families & Communities LLC bought a new stake in Microchip Technology during the 3rd quarter worth about $42,000. Institutional investors own 91.51% of the company’s stock.

Microchip Technology Price Performance

Shares of MCHP stock opened at $94.65 on Monday. The company has a debt-to-equity ratio of 0.85, a quick ratio of 1.18 and a current ratio of 2.09. The firm’s 50-day moving average is $82.04 and its 200-day moving average is $72.93. The stock has a market cap of $51.31 billion, a price-to-earnings ratio of 450.74, a PEG ratio of 1.00 and a beta of 1.73. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91.

Microchip Technology (NASDAQ:MCHP) last issued its 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 company had revenue of $1.31 billion for the quarter, compared to analysts’ expectations of $1.26 billion. Microchip Technology had a net margin of 4.88% and a return on equity of 10.87%. Microchip Technology’s quarterly revenue was up 35.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Sell-side analysts predict that Microchip Technology Incorporated will post 2.58 EPS for the current year.

Microchip Technology Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Friday, May 22nd will be issued a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date of this dividend is Friday, May 22nd. Microchip Technology’s dividend payout ratio is presently 866.67%.

Analysts Set New Price Targets

Several equities research analysts have commented on the stock. Needham & Company LLC boosted their price target on shares of Microchip Technology from $84.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday, May 8th. Susquehanna boosted their price target on shares of Microchip Technology from $95.00 to $120.00 and gave the stock a “positive” rating in a research report on Friday, May 8th. Cantor Fitzgerald reissued an “overweight” rating and set a $125.00 price target on shares of Microchip Technology in a research report on Wednesday, May 13th. JPMorgan Chase & Co. boosted their price target on shares of Microchip Technology from $95.00 to $120.00 and gave the stock an “overweight” rating in a research report on Friday, May 8th. Finally, Wells Fargo & Company boosted their price target on shares of Microchip Technology from $75.00 to $95.00 and gave the stock an “equal weight” rating in a research report on Friday, May 8th. Four research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $97.52.

Insider Activity

In other news, CFO James Eric Bjornholt sold 3,667 shares of the company’s stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $90.87, for a total value of $333,220.29. Following the sale, the chief financial officer directly owned 28,573 shares of the company’s stock, valued at approximately $2,596,428.51. This represents a 11.37% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Richard J. Simoncic sold 5,000 shares of the company’s stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $93.44, for a total transaction of $467,200.00. Following the completion of the sale, the chief operating officer directly owned 135,508 shares in the company, valued at approximately $12,661,867.52. The trade was a 3.56% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 548,302 shares of company stock valued at $49,186,035 in the last 90 days. 1.94% of the stock is owned by company insiders.

Microchip Technology Profile

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.