Gagnon Securities LLC Buys 4,638 Shares of Microchip Technology Incorporated $MCHP

Key Points

• Gagnon Securities LLC increased its stake in Microchip Technology by 20.3% during the second quarter, now holding 27,436 shares valued at approximately $1.93 million.
• Institutional investors own 91.51% of Microchip Technology's stock, with several firms significantly increasing their stakes in the first quarter of this year.
• Microchip Technology recently declared a quarterly dividend of $0.455 per share, translating to an annualized yield of 2.8%.

Gagnon Securities LLC raised its stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 20.3% during the 2nd quarter, according to the company in its most recent filing with the SEC. The firm owned 27,436 shares of the semiconductor company's stock after purchasing an additional 4,638 shares during the quarter. Gagnon Securities LLC's holdings in Microchip Technology were worth $1,931,000 as of its most recent filing with the SEC.

Several other institutional investors and hedge funds also recently made changes to their positions in MCHP. First Citizens Bank & Trust Co. increased its stake in Microchip Technology by 468.2% in the first quarter. First Citizens Bank & Trust Co. now owns 73,737 shares of the semiconductor company's stock valued at $3,570,000 after acquiring an additional 60,760 shares during the period. Everhart Financial Group Inc. bought a new stake in Microchip Technology in the first quarter valued at about $221,000. Sowell Financial Services LLC bought a new stake in Microchip Technology in the first quarter valued at about $318,000. Thompson Investment Management Inc. increased its stake in Microchip Technology by 9.9% in the first quarter. Thompson Investment Management Inc. now owns 91,016 shares of the semiconductor company's stock valued at $4,406,000 after acquiring an additional 8,175 shares during the period. Finally, Oppenheimer Asset Management Inc. increased its stake in Microchip Technology by 35.8% in the first quarter. Oppenheimer Asset Management Inc. now owns 33,554 shares of the semiconductor company's stock valued at $1,624,000 after acquiring an additional 8,843 shares during the period. Institutional investors own 91.51% of the company's stock.

Insider Buying and Selling

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

Microchip Technology Price Performance

Shares of MCHP stock opened at $64.96 on Wednesday. Microchip Technology Incorporated has a 1 year low of $34.13 and a 1 year high of $79.44. The firm's 50 day moving average is $65.48 and its 200-day moving average is $60.82. The firm has a market capitalization of $35.06 billion, a price-to-earnings ratio of -191.06, a PEG ratio of 1.91 and a beta of 1.55. 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 (NASDAQ:MCHP - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share for the quarter, topping analysts' consensus estimates of $0.24 by $0.03. The business had revenue of $1.08 billion during the quarter, compared to the consensus estimate of $1.05 billion. Microchip Technology had a negative net margin of 3.50% and a positive return on equity of 6.24%. Microchip Technology's revenue for the quarter was down 13.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.53 earnings per share. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. Sell-side analysts forecast that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 5th. Investors of record on Friday, August 22nd were paid a dividend of $0.455 per share. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend was Friday, August 22nd. Microchip Technology's payout ratio is -535.29%.

Wall Street Analyst Weigh In

MCHP has been the topic of a number of analyst reports. Wells Fargo & Company started coverage on shares of Microchip Technology in a research note on Monday, September 15th. They issued an "equal weight" rating and a $60.00 target price on the stock. UBS Group boosted their price target on shares of Microchip Technology from $65.00 to $85.00 and gave the company a "buy" rating in a research report on Monday, July 7th. Piper Sandler boosted their price target on shares of Microchip Technology from $65.00 to $80.00 and gave the company an "overweight" rating in a research report on Friday, August 8th. Needham & Company LLC boosted their price target on shares of Microchip Technology from $66.00 to $77.00 and gave the company a "buy" rating in a research report on Friday, August 8th. Finally, TD Cowen reduced their price target on shares of 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 research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $75.75.

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.

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