Gagnon Securities LLC Increases Stake in Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• Gagnon Securities LLC has increased its stake in Microchip Technology by 20.9%, owning 22,798 shares worth approximately $1,104,000 at the end of the first quarter.
• Microchip Technology reported a quarterly earnings of $0.11 EPS, exceeding analyst expectations and generating revenue of $970.50 million, although down 26.8% year-over-year.
• Analysts are generally optimistic, with several upgrading their ratings and target prices, leading to an average target price of $74.42 and a rating of "Moderate Buy."

Gagnon Securities LLC increased its position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 20.9% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 22,798 shares of the semiconductor company's stock after buying an additional 3,941 shares during the period. Gagnon Securities LLC's holdings in Microchip Technology were worth $1,104,000 at the end of the most recent quarter.

Other institutional investors have also recently made changes to their positions in the company. Garde Capital Inc. purchased a new position in shares of Microchip Technology during the first quarter valued at $30,000. Orion Capital Management LLC purchased a new position in Microchip Technology in the fourth quarter valued at about $41,000. Aster Capital Management DIFC Ltd grew its stake in Microchip Technology by 399.4% in the fourth quarter. Aster Capital Management DIFC Ltd now owns 809 shares of the semiconductor company's stock valued at $46,000 after purchasing an additional 647 shares during the last quarter. Byrne Asset Management LLC purchased a new position in Microchip Technology in the first quarter valued at about $41,000. Finally, GW&K Investment Management LLC grew its stake in Microchip Technology by 161.0% in the first quarter. GW&K Investment Management LLC now owns 937 shares of the semiconductor company's stock valued at $45,000 after purchasing an additional 578 shares during the last quarter. Hedge funds and other institutional investors own 91.51% of the company's stock.

Microchip Technology Stock Down 1.4%

Microchip Technology stock opened at $66.17 on Thursday. The stock has a market capitalization of $35.71 billion, a PE ratio of -6,617.00, a price-to-earnings-growth ratio of 1.94 and a beta of 1.55. Microchip Technology Incorporated has a 12 month low of $34.13 and a 12 month high of $82.87. The business has a 50 day simple moving average of $69.22 and a 200-day simple moving average of $57.96. The company has a debt-to-equity ratio of 0.80, a current ratio of 2.59 and a quick ratio of 1.47.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings results on Thursday, May 8th. The semiconductor company reported $0.11 EPS for the quarter, topping the consensus estimate of $0.10 by $0.01. Microchip Technology had a positive return on equity of 8.55% and a negative net margin of 0.01%. The firm had revenue of $970.50 million during the quarter, compared to analysts' expectations of $962.86 million. During the same period in the previous year, the business earned $0.57 earnings per share. The firm's revenue for the quarter was down 26.8% on a year-over-year basis. On average, analysts anticipate that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Insider Activity at Microchip Technology

In related news, CFO James Eric Bjornholt sold 2,015 shares of the business's stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $55.78, for a total transaction of $112,396.70. Following the completion of the sale, the chief financial officer directly owned 34,313 shares in the company, valued at approximately $1,913,979.14. The trade was a 5.55% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Karlton D. Johnson sold 494 shares of the business's stock in a transaction that occurred on Tuesday, May 20th. The stock was sold at an average price of $60.69, for a total value of $29,980.86. Following the sale, the director owned 3,468 shares of the company's stock, valued at $210,472.92. The trade was a 12.47% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.94% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the company. B. Riley lifted their target price on Microchip Technology from $60.00 to $75.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Wall Street Zen upgraded Microchip Technology from a "sell" rating to a "hold" rating in a research note on Friday, June 27th. Needham & Company LLC reissued a "buy" rating and issued a $66.00 price target on shares of Microchip Technology in a report on Friday, May 9th. Rosenblatt Securities raised their price target on Microchip Technology from $63.00 to $70.00 and gave the stock a "buy" rating in a report on Friday, May 30th. Finally, Stifel Nicolaus raised their price target on Microchip Technology from $70.00 to $82.00 and gave the stock a "buy" rating in a report on Friday, July 18th. Six research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $74.42.

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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