Nuveen LLC Invests $74.11 Million in Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• Nuveen LLC has acquired 1,530,810 shares of Microchip Technology, valued at approximately $74.1 million, giving it a 0.28% ownership in the semiconductor company as of its recent SEC filing.
• Several institutional investors have significantly increased their stakes in Microchip Technology, with Invesco Ltd. acquiring a 63% increase and Goldman Sachs Group Inc. a 138.9% increase in the first quarter.
• Analysts have raised their target prices for Microchip Technology shares, with Morgan Stanley raising it from $39 to $50 and Mizuho from $78 to $85, reflecting a generally positive outlook for the stock.

Nuveen LLC purchased a new position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 1,530,810 shares of the semiconductor company's stock, valued at approximately $74,107,000. Nuveen LLC owned about 0.28% of Microchip Technology at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently made changes to their positions in the company. Garde Capital Inc. bought a new position in shares of Microchip Technology in the 1st quarter worth $30,000. Orion Capital Management LLC bought a new position in shares of Microchip Technology in the 4th quarter worth $41,000. Byrne Asset Management LLC bought a new position in shares of Microchip Technology in the 1st quarter worth $41,000. GW&K Investment Management LLC lifted its holdings in shares of Microchip Technology by 161.0% in the 1st quarter. GW&K Investment Management LLC now owns 937 shares of the semiconductor company's stock worth $45,000 after purchasing an additional 578 shares in the last quarter. Finally, American National Bank & Trust bought a new position in shares of Microchip Technology in the 1st quarter worth $48,000. 91.51% of the stock is currently owned by institutional investors.

Microchip Technology Stock Performance

Shares of Microchip Technology stock traded down $0.28 during trading hours on Friday, hitting $65.71. 7,744,425 shares of the company's stock traded hands, compared to its average volume of 10,186,693. The company has a fifty day simple moving average of $69.75 and a 200-day simple moving average of $58.36. Microchip Technology Incorporated has a 12-month low of $34.13 and a 12-month high of $82.87. The stock has a market capitalization of $35.46 billion, a price-to-earnings ratio of -193.26, a PEG ratio of 1.93 and a beta of 1.55. The company has a debt-to-equity ratio of 0.80, a current ratio of 2.31 and a quick ratio of 1.33.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share for the quarter, topping the consensus estimate of $0.24 by $0.03. Microchip Technology had a positive return on equity of 6.24% and a negative net margin of 3.50%. The company had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.05 billion. During the same quarter last year, the firm posted $0.53 EPS. The firm's revenue for the quarter was down 13.3% on a year-over-year basis. Equities research analysts anticipate that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 5th. Investors of record on Friday, August 22nd will be issued a $0.455 dividend. The ex-dividend date of this dividend is Friday, August 22nd. This represents a $1.82 annualized dividend and a yield of 2.8%. Microchip Technology's dividend payout ratio (DPR) is -535.29%.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on MCHP shares. B. Riley raised their price target on shares of Microchip Technology from $60.00 to $75.00 and gave the company a "buy" rating in a research report on Friday, May 9th. Morgan Stanley raised their price target on shares of Microchip Technology from $39.00 to $50.00 and gave the company an "equal weight" rating in a research report on Friday, May 9th. Piper Sandler increased their price target on Microchip Technology from $65.00 to $80.00 and gave the company an "overweight" rating in a research report on Friday, August 8th. Citigroup increased their price target on Microchip Technology from $68.00 to $90.00 and gave the company a "buy" rating in a research report on Monday, July 7th. Finally, Stifel Nicolaus increased their price target on Microchip Technology from $70.00 to $82.00 and gave the company a "buy" rating in a research report on Friday, July 18th. Six investment analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $76.58.

Insider Activity

In related news, CFO James Eric Bjornholt sold 2,015 shares of Microchip Technology stock in a transaction dated Friday, May 23rd. The stock was sold at an average price of $55.78, for a total value of $112,396.70. Following the completion of the sale, the chief financial officer owned 34,313 shares of the company's stock, valued at approximately $1,913,979.14. This trade represents a 5.55% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Karlton D. Johnson sold 494 shares of Microchip Technology stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $60.69, for a total value of $29,980.86. Following the completion of the sale, the director directly owned 3,468 shares of the company's stock, valued at approximately $210,472.92. This trade represents a 12.47% decrease in their position. The disclosure for this sale can be found here. Company insiders own 1.94% of the company's stock.

Microchip Technology Profile

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.