Ilmarinen Mutual Pension Insurance Co Makes New Investment in Microchip Technology Incorporated $MCHP

Key Points

• Ilmarinen Mutual Pension Insurance Co opened a new position in Microchip Technology, buying 100,000 shares valued at about $6.37 million in the fourth quarter.
• Microchip Technology reported a strong quarter, with EPS of $0.57 beating estimates and revenue of $1.31 billion topping expectations, while sales rose 35.1% year over year.
• Wall Street sentiment remains constructive: several analysts raised price targets after earnings, and the stock currently carries an average Moderate Buy rating with a consensus target price of $97.52.

Ilmarinen Mutual Pension Insurance Co acquired a new position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) in the fourth quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor acquired 100,000 shares of the semiconductor company's stock, valued at approximately $6,372,000.

Other large investors also recently added to or reduced their stakes in the company. Winnow Wealth LLC purchased a new stake in shares of Microchip Technology during the third quarter worth $25,000. GoalVest Advisory LLC grew its holdings in shares of Microchip Technology by 174.0% during the fourth quarter. GoalVest Advisory LLC now owns 548 shares of the semiconductor company's stock worth $35,000 after buying an additional 348 shares in the last quarter. Board of the Pension Protection Fund purchased a new stake in shares of Microchip Technology during the fourth quarter worth $38,000. Kohmann Bosshard Financial Services LLC purchased a new stake in shares of Microchip Technology during the fourth quarter worth $38,000. Finally, Strengthening Families & Communities LLC purchased a new stake in shares of Microchip Technology during the third quarter worth $42,000. 91.51% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Microchip Technology

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

• Positive Sentiment: Microchip’s presentation at TD Cowen’s Technology, Media & Telecom Conference kept investor focus on management’s latest outlook and execution, which can reinforce confidence in the company’s AI, data center, and industrial demand story. Microchip Technology Incorporated (MCHP) Presents at TD Cowen's 54th Annual Technology, Media & Telecom Conference Transcript
• Positive Sentiment: New commentary highlighted Microchip as an AI semiconductor beneficiary, citing strong demand trends and improving operating leverage after its recent earnings beat, which supports the bullish case for the stock. Microchip Technology Incorporated (MCHP) Capitalizes on Data Center and AI Boom
• Positive Sentiment: Technical coverage said MCHP recently moved above its 20-day moving average, signaling short-term momentum and suggesting traders are seeing a bullish breakout. Microchip Technology (MCHP) Recently Broke Out Above the 20-Day Moving Average
• Positive Sentiment: Analyst sentiment remains constructive, with several firms reiterating buy ratings and raising price targets after the earnings report, reflecting confidence in the company’s growth and outlook. Why These 3 Automotive & Industrial Chip Stocks Just Soared
• Neutral Sentiment: Microchip was also mentioned in broader “AI stock” and “AI chip” lists, which adds visibility but does not by itself change the company’s fundamentals. 5 AI Stocks to Buy as Markets Defy "Sell in May and Go Away" Adage
• Negative Sentiment: Recent insider selling by the CFO and COO may create some caution among investors, even though the trades were small and the CFO sale was made under a pre-arranged 10b5-1 plan. Insider Selling: Microchip Technology NASDAQ: MCHP CFO Sells 3,667 Shares of Stock

Insider Activity

In other Microchip Technology news, CFO James Eric Bjornholt sold 3,667 shares of the company's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $90.87, for a total value of $333,220.29. Following the transaction, the chief financial officer owned 28,573 shares of the company's stock, valued at $2,596,428.51. This represents a 11.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available 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 the company's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $93.44, for a total transaction of $467,200.00. Following the completion of the transaction, the chief operating officer directly owned 135,508 shares in the company, valued at $12,661,867.52. The trade was a 3.56% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 545,302 shares of company stock worth $48,893,475. Company insiders own 1.94% of the company's stock.

Microchip Technology Trading Down 0.8%

Shares of MCHP opened at $96.04 on Friday. The company has a current ratio of 2.09, a quick ratio of 1.18 and a debt-to-equity ratio of 0.85. Microchip Technology Incorporated has a 12-month low of $48.52 and a 12-month high of $105.91. The firm has a 50-day moving average price of $81.44 and a 200 day moving average price of $72.65. The firm has a market capitalization of $52.06 billion, a P/E ratio of 457.36, a P/E/G ratio of 1.02 and a beta of 1.75.

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

Microchip Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 5th. Investors of record on Friday, May 22nd will be issued a $0.455 dividend. The ex-dividend date of this dividend is Friday, May 22nd. This represents a $1.82 dividend on an annualized basis and a dividend yield of 1.9%. Microchip Technology's dividend payout ratio is currently 866.67%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on MCHP shares. UBS Group upped their target price on shares of Microchip Technology from $115.00 to $130.00 and gave the stock a "buy" rating in a report on Friday, May 8th. Needham & Company LLC upped their target price on shares of Microchip Technology from $84.00 to $120.00 and gave the stock a "buy" rating in a report on Friday, May 8th. Wall Street Zen raised shares of Microchip Technology from a "hold" rating to a "buy" rating in a report on Saturday, May 9th. Wells Fargo & Company upped their target price on shares of Microchip Technology from $75.00 to $95.00 and gave the stock an "equal weight" rating in a report on Friday, May 8th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating and set a $125.00 target price on shares of Microchip Technology in a report on Wednesday, May 13th. Four research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and seven have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Microchip Technology currently has an average rating of "Moderate Buy" and a consensus target price of $97.52.

About Microchip Technology

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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