First Trust Advisors LP Raises Stake in Microchip Technology Incorporated $MCHP

Key Points

• First Trust Advisors LP increased its stake in Microchip Technology by 8.4% to 2,390,337 shares (about 0.44% of the company) worth roughly $153.5 million, and institutional investors now own about 91.51% of the stock.
• Microchip reported Q results with $0.44 EPS (beating by $0.01) and $1.19 billion revenue, up 15.6% year-over-year, and set Q4 FY2026 guidance of $0.480–$0.520 EPS.
• Analyst sentiment is broadly positive with a MarketBeat average rating of “Moderate Buy” and an average target price of $86, alongside recent upgrades (Argus to strong-buy) and several hold/equal-weight ratings.

First Trust Advisors LP lifted its position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 8.4% in the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 2,390,337 shares of the semiconductor company's stock after purchasing an additional 184,619 shares during the period. First Trust Advisors LP owned about 0.44% of Microchip Technology worth $153,507,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors and hedge funds have also recently modified their holdings of MCHP. Florida Trust Wealth Management Co increased its holdings in shares of Microchip Technology by 3.3% in the third quarter. Florida Trust Wealth Management Co now owns 4,890 shares of the semiconductor company's stock valued at $314,000 after purchasing an additional 157 shares during the last quarter. Clean Yield Group boosted its stake in Microchip Technology by 9.4% during the third quarter. Clean Yield Group now owns 1,890 shares of the semiconductor company's stock worth $121,000 after buying an additional 163 shares during the last quarter. Slagle Financial LLC grew its holdings in Microchip Technology by 0.3% in the 3rd quarter. Slagle Financial LLC now owns 64,485 shares of the semiconductor company's stock valued at $4,141,000 after buying an additional 168 shares in the last quarter. Global Trust Asset Management LLC increased its stake in shares of Microchip Technology by 2.4% in the 3rd quarter. Global Trust Asset Management LLC now owns 7,263 shares of the semiconductor company's stock worth $466,000 after acquiring an additional 169 shares during the last quarter. Finally, Bollard Group LLC increased its stake in shares of Microchip Technology by 5.8% in the 2nd quarter. Bollard Group LLC now owns 3,178 shares of the semiconductor company's stock worth $224,000 after acquiring an additional 173 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on the stock. Argus raised shares of Microchip Technology to a "strong-buy" rating in a research report on Monday, February 9th. Wells Fargo & Company raised their price objective on shares of Microchip Technology from $68.00 to $70.00 and gave the stock an "equal weight" rating in a research report on Friday, February 6th. Wall Street Zen downgraded shares of Microchip Technology from a "buy" rating to a "hold" rating in a research note on Saturday. Morgan Stanley boosted their target price on shares of Microchip Technology from $68.00 to $69.00 and gave the company an "equal weight" rating in a report on Tuesday, January 6th. Finally, Jefferies Financial Group reissued a "hold" rating on shares of Microchip Technology in a research note on Wednesday, February 4th. Three research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $86.00.

Microchip Technology Price Performance

MCHP stock opened at $64.82 on Friday. The business's 50-day moving average is $74.23 and its two-hundred day moving average is $66.73. The company has a debt-to-equity ratio of 0.82, a current ratio of 2.16 and a quick ratio of 1.16. The firm has a market capitalization of $35.08 billion, a P/E ratio of -223.52, a P/E/G ratio of 1.63 and a beta of 1.45. Microchip Technology Incorporated has a 1 year low of $34.13 and a 1 year high of $83.35.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings data on Thursday, February 5th. The semiconductor company reported $0.44 EPS for the quarter, topping analysts' consensus estimates of $0.43 by $0.01. Microchip Technology had a positive return on equity of 7.16% and a negative net margin of 1.57%.The business had revenue of $1.19 billion during the quarter, compared to the consensus estimate of $1.19 billion. During the same period in the previous year, the company posted $0.20 earnings per share. The business's revenue for the quarter was up 15.6% on a year-over-year basis. Microchip Technology has set its Q4 2026 guidance at 0.480-0.520 EPS. Analysts anticipate that Microchip Technology Incorporated will post 1.03 earnings per share for the current fiscal year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 10th. Shareholders of record on Monday, February 23rd will be issued a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a yield of 2.8%. The ex-dividend date is Monday, February 23rd. Microchip Technology's payout ratio is -627.59%.

Insider Activity at Microchip Technology

In other Microchip Technology news, CEO Steve Sanghi sold 98,814 shares of the stock in a transaction that occurred on Wednesday, January 28th. The shares were sold at an average price of $80.55, for a total value of $7,959,467.70. Following the sale, the chief executive officer directly owned 9,922,319 shares of the company's stock, valued at approximately $799,242,795.45. This represents a 0.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Corporate insiders own 1.94% of the company's stock.

Microchip Technology 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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