Advisors Preferred LLC Acquires New Position in Microchip Technology Incorporated $MCHP

Advisors Preferred LLC bought a new position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) in the 2nd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 29,540 shares of the semiconductor company's stock, valued at approximately $2,500,000.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its stake in Microchip Technology by 2.0% during the 4th quarter. Vanguard Group Inc. now owns 73,506,339 shares of the semiconductor company's stock valued at $4,683,824,000 after purchasing an additional 1,430,781 shares during the period. State Street Corp grew its holdings in Microchip Technology by 2.8% during the 4th quarter. State Street Corp now owns 28,863,048 shares of the semiconductor company's stock valued at $1,839,153,000 after buying an additional 783,157 shares in the last quarter. Boston Partners raised its position in shares of Microchip Technology by 9.5% during the third quarter. Boston Partners now owns 16,234,332 shares of the semiconductor company's stock valued at $1,044,024,000 after buying an additional 1,406,885 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of Microchip Technology by 1.4% in the fourth quarter. Geode Capital Management LLC now owns 15,394,985 shares of the semiconductor company's stock worth $977,638,000 after buying an additional 213,188 shares in the last quarter. Finally, Invesco Ltd. boosted its position in shares of Microchip Technology by 4.8% during the fourth quarter. Invesco Ltd. now owns 14,992,128 shares of the semiconductor company's stock worth $955,298,000 after acquiring an additional 684,561 shares during the last quarter. Institutional investors own 91.51% of the company's stock.

Insider Buying and Selling

In related news, Director Matthew W. Chapman sold 3,000 shares of the stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $97.52, for a total transaction of $292,560.00. Following the completion of the sale, the director owned 17,665 shares of the company's stock, valued at $1,722,690.80. This represents a 14.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO James Eric Bjornholt sold 837 shares of the firm's stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $80.26, for a total transaction of $67,177.62. Following the completion of the sale, the chief financial officer owned 30,960 shares of the company's stock, valued at approximately $2,484,849.60. This trade represents a 2.63% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 8,837 shares of company stock worth $847,338 in the last 90 days. 1.79% of the stock is owned by corporate insiders.

Trending Headlines about Microchip Technology

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Technical commentary suggests the recently weakened stock could make a contrarian rebound toward $85, based on historical recovery patterns. Deflated Microchip Technology Stock Could Target a Contrarian Move to $85
• Positive Sentiment: Microchip’s AI and data-center opportunities could support a recovery. Recent results also showed strong momentum, with revenue up 38% year over year and earnings exceeding analysts’ expectations; management’s next-quarter EPS guidance of $0.91 to $0.95 is another potential catalyst.
• Positive Sentiment: Cantor Fitzgerald reiterated an Overweight rating, while the broader analyst consensus remains Moderate Buy with an average price target of $98.85, implying meaningful upside from recent levels. Cantor Fitzgerald Reiterates Overweight Rating for Microchip Technology
• Positive Sentiment: The company’s quarterly dividend of $0.455 per share, representing a 2.4% annualized yield, may provide support for income-oriented investors.
• Neutral Sentiment: Former Microchip chief operating officer Richard Simoncic was appointed CEO of Menlo Microsystems. The move highlights the value of Microchip’s executive talent but does not directly change MCHP’s operations or outlook. Menlo Microsystems Appoints Richard Simoncic as Chief Executive Officer
• Negative Sentiment: Zacks Research downgraded MCHP from Strong Buy to Hold, reflecting limited near-term conviction after the recent decline.
• Negative Sentiment: Analysts caution that supply constraints, competitive pressure and MCHP’s elevated valuation could limit near-term gains despite its long-term AI growth prospects. Microchip Stock Drops 9% in a Month: Should You Buy, Sell or Hold it?
• Negative Sentiment: CFO James Eric Bjornholt sold 837 shares for approximately $67,178 at $80.26 each, reducing his direct stake by 2.63%. Although relatively small, the insider sale adds a modest negative signal. Microchip Technology CFO Sells 837 Shares

Microchip Technology Trading Down 1.6%

NASDAQ MCHP opened at $75.81 on Friday. The company has a current ratio of 1.92, a quick ratio of 1.11 and a debt-to-equity ratio of 0.83. The stock has a market cap of $41.17 billion, a PE ratio of 113.15, a PEG ratio of 0.54 and a beta of 1.76. The company's 50-day moving average price is $84.67 and its 200-day moving average price is $81.53. Microchip Technology Incorporated has a 12 month low of $48.52 and a 12 month high of $105.91.

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

Microchip Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 9th. Investors of record on Monday, August 24th will be paid a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a dividend yield of 2.4%. The ex-dividend date is Monday, August 24th. Microchip Technology's payout ratio is 271.64%.

Analyst Ratings Changes

Several analysts have commented on the stock. Truist Financial decreased their price target on shares of Microchip Technology from $105.00 to $90.00 and set a "hold" rating on the stock in a research note on Friday, August 7th. Barclays boosted their target price on Microchip Technology from $80.00 to $105.00 and gave the stock an "equal weight" rating in a research report on Monday, May 11th. Zacks Research cut Microchip Technology from a "strong-buy" rating to a "hold" rating in a report on Monday. Weiss Ratings raised Microchip Technology from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, August 11th. Finally, Susquehanna increased their target price on Microchip Technology from $95.00 to $120.00 and gave the company a "positive" rating in a research report on Friday, May 8th. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $98.85.

About Microchip Technology

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.

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.

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