Boltwood Capital Management Decreases Position in Microchip Technology Incorporated $MCHP

Key Points

• Boltwood Capital Management reduced its holdings in Microchip Technology by 21.3% in Q2, selling 4,100 shares and bringing their total to 15,164 shares valued at approximately $1,067,000.
• Other institutional investors, like First Citizens Bank & Trust Co., have also significantly increased their stakes in Microchip Technology, indicating strong interest from the investment community.
• Microchip Technology reported earnings of $0.27 per share, exceeding expectations, but revenue dropped 13.3% year-over-year, raising questions about its future performance.

Boltwood Capital Management decreased its position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 21.3% in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 15,164 shares of the semiconductor company's stock after selling 4,100 shares during the period. Boltwood Capital Management's holdings in Microchip Technology were worth $1,067,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. First Citizens Bank & Trust Co. raised its stake in Microchip Technology by 468.2% in the 1st quarter. First Citizens Bank & Trust Co. now owns 73,737 shares of the semiconductor company's stock worth $3,570,000 after acquiring an additional 60,760 shares during the last quarter. Everhart Financial Group Inc. purchased a new position in Microchip Technology in the 1st quarter worth $221,000. Texas Bank & Trust Co purchased a new position in Microchip Technology in the 4th quarter worth $792,000. Czech National Bank raised its stake in Microchip Technology by 6.1% in the 1st quarter. Czech National Bank now owns 123,528 shares of the semiconductor company's stock worth $5,980,000 after acquiring an additional 7,093 shares during the last quarter. Finally, Sowell Financial Services LLC purchased a new position in Microchip Technology in the 1st quarter worth $318,000. Hedge funds and other institutional investors own 91.51% of the company's stock.

Microchip Technology Trading Down 0.5%

MCHP stock opened at $64.70 on Monday. The company has a current ratio of 2.31, a quick ratio of 1.33 and a debt-to-equity ratio of 0.80. Microchip Technology Incorporated has a 12-month low of $34.13 and a 12-month high of $81.64. The stock has a market cap of $34.92 billion, a price-to-earnings ratio of -190.29, a PEG ratio of 1.85 and a beta of 1.56. The business's 50-day moving average is $68.12 and its 200 day moving average is $59.68.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its quarterly earnings data on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) 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 for the quarter, compared to analysts' expectations of $1.05 billion. During the same period in the previous year, the firm posted $0.53 EPS. Microchip Technology's revenue was down 13.3% compared to the same quarter last year. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. On average, sell-side 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 was paid on Friday, September 5th. Investors of record on Friday, August 22nd were issued a $0.455 dividend. This represents a $1.82 annualized dividend and a yield of 2.8%. The ex-dividend date was Friday, August 22nd. Microchip Technology's payout ratio is presently -535.29%.

Insider Activity

In related news, CFO James Eric Bjornholt sold 7,356 shares of Microchip Technology stock in a transaction dated Monday, August 25th. The stock was sold at an average price of $68.72, for a total value of $505,504.32. Following the sale, the chief financial officer directly owned 30,010 shares in the company, valued at approximately $2,062,287.20. The trade was a 19.69% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director Matthew W. Chapman sold 10,000 shares of the firm's stock in a transaction that occurred on Monday, August 25th. The stock was sold at an average price of $68.25, for a total transaction of $682,500.00. Following the completion of the transaction, the director directly owned 30,665 shares in the company, valued at $2,092,886.25. This trade represents a 24.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 1.94% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on MCHP. Needham & Company LLC raised their target price on Microchip Technology from $66.00 to $77.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. Mizuho increased their price target on Microchip Technology from $78.00 to $85.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 8th. Zacks Research downgraded Microchip Technology from a "strong-buy" rating to a "hold" rating in a research report on Monday, August 18th. The Goldman Sachs Group initiated coverage on Microchip Technology in a research report on Thursday, July 10th. They set a "buy" rating and a $88.00 price target on the stock. Finally, TD Cowen cut their price target on Microchip Technology from $75.00 to $60.00 and set a "hold" rating on the stock in a research report on Friday, August 8th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $76.58.

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.

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 and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.