Alps Advisors Inc. Acquires Shares of 373,406 Microchip Technology Incorporated $MCHP

Key Points

• Alps Advisors Inc. disclosed a new fourth-quarter stake in Microchip Technology, buying 373,406 shares valued at about $23.8 million. It now owns roughly 0.07% of the semiconductor company.
• Several other institutions also increased or initiated positions, and 91.51% of Microchip’s stock is held by hedge funds and other institutional investors. That signals continued strong institutional interest in the name.
• Microchip reported solid recent results, with Q4 EPS of $0.57 topping estimates and revenue of $1.31 billion exceeding expectations. Analysts remain mostly bullish, with a consensus rating of Moderate Buy and an average price target of $98.18.

Alps Advisors Inc. acquired a new stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) in the fourth quarter, according to its most recent disclosure with the SEC. The firm acquired 373,406 shares of the semiconductor company's stock, valued at approximately $23,793,000. Alps Advisors Inc. owned approximately 0.07% of Microchip Technology at the end of the most recent reporting period.

A number of other institutional investors have also added to or reduced their stakes in MCHP. Aviva PLC grew its holdings in shares of Microchip Technology by 5.7% in the fourth quarter. Aviva PLC now owns 415,770 shares of the semiconductor company's stock valued at $26,493,000 after purchasing an additional 22,572 shares in the last quarter. ICICI Prudential Asset Management Co Ltd grew its holdings in shares of Microchip Technology by 4.6% in the fourth quarter. ICICI Prudential Asset Management Co Ltd now owns 8,673 shares of the semiconductor company's stock valued at $553,000 after purchasing an additional 385 shares in the last quarter. Qtron Investments LLC purchased a new position in shares of Microchip Technology in the fourth quarter valued at $358,000. Xponance LLC grew its holdings in shares of Microchip Technology by 5.5% in the fourth quarter. Xponance LLC now owns 87,397 shares of the semiconductor company's stock valued at $5,569,000 after purchasing an additional 4,565 shares in the last quarter. Finally, Picton Mahoney Asset Management grew its holdings in shares of Microchip Technology by 10,988.3% in the fourth quarter. Picton Mahoney Asset Management now owns 77,618 shares of the semiconductor company's stock valued at $4,946,000 after purchasing an additional 76,918 shares in the last quarter. 91.51% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, CEO Steve Sanghi sold 76,469 shares of Microchip Technology stock in a transaction on Friday, May 1st. The stock was sold at an average price of $93.58, for a total transaction of $7,155,969.02. Following the completion of the sale, the chief executive officer directly owned 9,385,834 shares in the company, valued at approximately $878,326,345.72. This trade represents a 0.81% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Richard J. Simoncic sold 5,000 shares of Microchip Technology stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $97.52, for a total value of $487,600.00. Following the sale, the chief operating officer owned 130,508 shares of the company's stock, valued at approximately $12,727,140.16. This trade represents a 3.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 553,302 shares of company stock valued at $49,673,635 in the last three months. 1.94% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of research analysts recently weighed in on MCHP shares. UBS Group reissued a "buy" rating on shares of Microchip Technology in a report on Tuesday, June 2nd. Susquehanna raised their target price on shares of Microchip Technology from $95.00 to $120.00 and gave the company a "positive" rating in a report on Friday, May 8th. Zacks Research raised shares of Microchip Technology from a "hold" rating to a "strong-buy" rating in a report on Tuesday, May 12th. Rosenblatt Securities raised their target price on shares of Microchip Technology from $115.00 to $120.00 and gave the company a "buy" rating in a report on Friday, May 8th. Finally, Citigroup raised their target price on shares of Microchip Technology from $91.00 to $113.00 and gave the company a "buy" rating in a report on Friday, May 8th. Four research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and seven have given a Hold rating to the company. According to data from MarketBeat.com, Microchip Technology presently has an average rating of "Moderate Buy" and an average target price of $98.18.

Key Stories Impacting Microchip Technology

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

• Positive Sentiment: Microchip launched its TimePictra 12 platform, adding a new GUI, automation features, and support for advanced timing technology that can scale to 5,000 elements for critical networks. The rollout suggests additional demand in high-value infrastructure and networking markets. Article: Microchip Launches TimePictra 12 Platform: Catalyst for More Growth?
• Positive Sentiment: Microchip’s Nantes facility in France achieved QML Class Y certification, expanding its high-reliability capabilities for aerospace and defense customers. That can support margin-rich business and strengthen its position in mission-critical semiconductor markets. Article: Microchip's Nantes Facility in France Achieves QML Class Y Certification, Expanding High‑Reliability Capabilities
• Positive Sentiment: Investors also appear encouraged by the company being highlighted in a Zacks investment ideas feature as an AI-linked play, with improving business trends and cooling inflation supporting the broader growth outlook for semiconductor names. Article: Zacks Investment Ideas feature highlights: Microchip Technology and Flex
• Neutral Sentiment: Microchip also announced it will present at the 2026 Mizuho Technology Conference. Conference appearances can help keep investor attention on the stock, but they are usually not a direct operational catalyst. Article: Microchip Technology to Present at the 2026 Mizuho Technology Conference
• Neutral Sentiment: Some commentary suggests the stock’s strong 2024 run has pushed valuation back into focus, so traders may be balancing the recent product and certification wins against concerns that the rally could be getting ahead of fundamentals. Article: Is It Time To Reassess Microchip Technology (MCHP) After Its Strong 2024 Share Price Run?

Microchip Technology Stock Up 5.7%

Shares of MCHP opened at $92.94 on Friday. The company has a market cap of $50.38 billion, a PE ratio of 442.59, a P/E/G ratio of 0.92 and a beta of 1.73. The business has a fifty day moving average of $87.26 and a 200 day moving average of $75.47. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings results on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.50 by $0.07. The company had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.Microchip Technology's revenue was up 35.1% on a year-over-year basis. During the same period last year, the company earned $0.11 earnings per share. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, sell-side analysts expect that Microchip Technology Incorporated will post 2.58 EPS for the current year.

Microchip Technology Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, June 5th. Stockholders of record on Friday, May 22nd were given a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a dividend yield of 2.0%. The ex-dividend date was Friday, May 22nd. Microchip Technology's dividend payout ratio (DPR) is 866.67%.

Microchip Technology Company 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.

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