110,000 Shares of Microchip Technology Incorporated $MCHP Purchased by Viking Fund Management LLC

Key Points

• Viking Fund Management purchased 110,000 Microchip Technology shares worth approximately $8.6 million in the third quarter. Institutional investors collectively own 91.51% of the company.
• Microchip reported quarterly revenue of $1.48 billion and earnings of $0.76 per share, beating analyst expectations; revenue increased 38% year over year.
• The stock opened at $71.25 after declining 3.9%, while analysts maintained a “Moderate Buy” consensus with an average price target of $98.67. The company also pays a quarterly dividend of $0.455 per share, yielding about 2.6%.

Viking Fund Management LLC bought a new stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) during the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm bought 110,000 shares of the semiconductor company's stock, valued at approximately $8,555,000.

Several other large investors have also modified their holdings of the business. TOP Private Wealth LLC. bought a new position in shares of Microchip Technology during the second quarter valued at approximately $29,000. GK Wealth Management LLC purchased a new position in Microchip Technology during the third quarter valued at approximately $29,000. Continuum Advisory LLC bought a new position in Microchip Technology in the second quarter worth approximately $30,000. Johnson Financial Group Inc. bought a new position in Microchip Technology in the second quarter worth approximately $31,000. Finally, Reflection Asset Management bought a new position in Microchip Technology in the fourth quarter worth approximately $33,000. Institutional investors own 91.51% of the company's stock.

Insider Activity at Microchip Technology

In other news, CFO James Bjornholt sold 4,112 shares of the stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $75.32, for a total value of $309,715.84. Following the sale, the chief financial officer owned 28,573 shares in the company, valued at $2,152,118.36. This represents a 12.58% 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. 1.79% of the stock is owned by company insiders.

Microchip Technology Trading Down 3.9%

Shares of NASDAQ:MCHP opened at $71.25 on Thursday. The company has a quick ratio of 1.11, a current ratio of 1.92 and a debt-to-equity ratio of 0.83. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91. The stock has a market cap of $38.69 billion, a price-to-earnings ratio of 106.34, a PEG ratio of 0.52 and a beta of 1.77. The business has a 50-day moving average price of $75.76 and a 200-day moving average price of $82.41.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its earnings results on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, beating analysts' consensus estimates of $0.70 by $0.06. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%. The firm had revenue of $1.48 billion for the quarter, compared to analyst estimates of $1.46 billion. During the same quarter in the prior year, the firm earned $0.27 earnings per share. Microchip Technology's revenue for the quarter was up 38.0% on a year-over-year basis. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. Equities analysts predict that Microchip Technology Incorporated will post 3.16 EPS for the current year.

Microchip Technology Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th were issued a $0.4550 dividend. This represents a $1.82 annualized dividend and a dividend yield of 2.6%. The ex-dividend date of this dividend was Monday, August 24th. Microchip Technology's dividend payout ratio is 271.64%.

Analysts Set New Price Targets

A number of analysts have weighed in on MCHP shares. BMO Capital Markets began coverage on Microchip Technology in a report on Friday, August 21st. They set an "outperform" rating and a $95.00 target price for the company. Wells Fargo & Company decreased their price objective on Microchip Technology from $95.00 to $88.00 and set an "equal weight" rating for the company in a research note on Monday, July 20th. Zacks Research cut Microchip Technology from a "strong-buy" rating to a "hold" rating in a research note on Monday, August 17th. Weiss Ratings upgraded shares of Microchip Technology from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, August 11th. Finally, Truist Financial dropped their price target on Microchip Technology from $105.00 to $90.00 and set a "hold" rating on the stock in a research note on Friday, August 7th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eight have given a Hold rating to the company's stock. Based on data from MarketBeat.com, Microchip Technology has a consensus rating of "Moderate Buy" and an average target price of $98.67.

Microchip Technology Company Profile

Microchip Technology Inc is a semiconductor company that develops and manufactures embedded control solutions for automotive, industrial, aerospace and defense, communications, consumer, and computing applications. Its products are designed to help customers manage processing, connectivity, power, timing, security, and data storage within electronic systems.

The company's product portfolio includes microcontrollers, microprocessors, analog and mixed-signal devices, power-management products, timing and synchronization solutions, memory products, connectivity components, and field-programmable gate arrays.

Want to see what other hedge funds are holding MCHP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microchip Technology Incorporated (NASDAQ:MCHP - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.