Integrated Advisors Network LLC Grows Holdings in Microchip Technology Incorporated $MCHP

Key Points

• Integrated Advisors Network LLC increased its Microchip Technology stake by 441.2% in Q1, ending with 44,815 shares valued at about $2.9 million.
• Microchip Technology reported better-than-expected earnings for the latest quarter, with EPS of $0.57 versus $0.50 expected and revenue of $1.31 billion, up 35.1% year over year.
• Despite the operational improvement, the stock was down 3.9% on the day, while analysts remained broadly positive with several raised price targets and a consensus Moderate Buy rating.

Integrated Advisors Network LLC boosted its position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 441.2% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 44,815 shares of the semiconductor company's stock after buying an additional 36,535 shares during the quarter. Integrated Advisors Network LLC's holdings in Microchip Technology were worth $2,896,000 at the end of the most recent quarter.

Several other large investors also recently modified their holdings of the business. Vanguard Group Inc. grew its position in Microchip Technology by 2.0% in the 4th quarter. Vanguard Group Inc. now owns 73,506,339 shares of the semiconductor company's stock worth $4,683,824,000 after purchasing an additional 1,430,781 shares during the last quarter. State Street Corp lifted its position in Microchip Technology by 2.8% in the fourth quarter. State Street Corp now owns 28,863,048 shares of the semiconductor company's stock worth $1,839,153,000 after purchasing an additional 783,157 shares during the period. Boston Partners raised its stake in shares of Microchip Technology by 9.5% in the 3rd quarter. Boston Partners now owns 16,234,332 shares of the semiconductor company's stock worth $1,044,024,000 after buying an additional 1,406,885 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Microchip Technology by 1.4% in the fourth quarter. Geode Capital Management LLC now owns 15,394,985 shares of the semiconductor company's stock valued at $977,638,000 after buying an additional 213,188 shares during the period. Finally, Invesco Ltd. boosted its position in shares of Microchip Technology by 4.8% during the 4th quarter. Invesco Ltd. now owns 14,992,128 shares of the semiconductor company's stock valued at $955,298,000 after purchasing an additional 684,561 shares in the last quarter. 91.51% of the stock is currently owned by institutional investors and hedge funds.

Microchip Technology Stock Down 3.9%

Shares of MCHP opened at $84.15 on Wednesday. Microchip Technology Incorporated has a 12 month low of $48.52 and a 12 month high of $105.91. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85. The company has a 50-day moving average price of $93.62 and a two-hundred day moving average price of $79.45. The stock has a market cap of $45.62 billion, a price-to-earnings ratio of 400.73, a P/E/G ratio of 0.90 and a beta of 1.74.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its earnings results on Thursday, May 7th. The semiconductor company reported $0.57 EPS for the quarter, topping the consensus estimate of $0.50 by $0.07. The business had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.Microchip Technology's revenue was up 35.1% on a year-over-year basis. During the same quarter last year, the company earned $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Equities analysts predict that Microchip Technology Incorporated will post 2.66 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were issued a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date of this dividend was Friday, May 22nd. Microchip Technology's payout ratio is currently 866.67%.

Insider Activity at Microchip Technology

In other news, CFO James Eric Bjornholt sold 3,667 shares of Microchip Technology stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $90.87, for a total value of $333,220.29. Following the completion of the sale, the chief financial officer directly owned 28,573 shares of the company's stock, valued at approximately $2,596,428.51. This trade represents a 11.37% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Richard J. Simoncic sold 5,000 shares of the firm's stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $97.52, for a total value of $487,600.00. Following the completion of the transaction, the chief operating officer owned 130,508 shares in the company, valued at approximately $12,727,140.16. This represents a 3.69% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 553,302 shares of company stock worth $49,673,635 in the last 90 days. Corporate insiders own 1.94% of the company's stock.

Key Stories Impacting Microchip Technology

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

• Positive Sentiment: New coverage highlighted Microchip’s improving outlook from rising demand for mixed-signal MCUs, especially as industrial, automotive, aerospace and data center bookings recover. Microchip Gains From Rising Mixed-Signal MCU Demand: What's Ahead?
• Positive Sentiment: Another article pointed to AI-driven semiconductor sales lifting the broader chip group, with MCHP named as one of the stocks positioned to benefit from record industry demand. AI Powering Semiconductor Sales: 4 Stocks to Boost Your Portfolio
• Positive Sentiment: Several reports noted a rebound in semiconductor shares after a recent selloff, which helped lift Microchip along with peers and supports sentiment around the stock. Monolithic Power Systems, Vishay Intertechnology, and Microchip Technology Stocks Trade Up, What You Need To Know
• Neutral Sentiment: Analysts remain generally constructive, with recent Buy/Outperform ratings and price targets suggesting upside, but the stock has already rallied sharply and some investors may be weighing valuation against the growth outlook. Microchip Technology (MCHP) Stock Continue To Drop, Here’s Why Some Analysts Still See Upside
• Negative Sentiment: Recent commentary also warned that momentum may be vulnerable to market-risk and valuation concerns after a strong six-month run, which can pressure the shares even when fundamentals are improving. MPWR Rises 40.4% in Six Months: Should You Bet on the Stock?

Wall Street Analyst Weigh In

MCHP has been the topic of several recent research reports. Truist Financial lifted their price target on shares of Microchip Technology from $69.00 to $105.00 and gave the stock a "hold" rating in a research report on Friday, May 8th. Wall Street Zen upgraded Microchip Technology from a "hold" rating to a "buy" rating in a report on Saturday, May 9th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $125.00 target price on shares of Microchip Technology in a report on Wednesday, May 13th. JPMorgan Chase & Co. lifted their target price on shares of Microchip Technology from $95.00 to $120.00 and gave the stock an "overweight" rating in a research report on Friday, May 8th. Finally, Barclays boosted their price target on shares of Microchip Technology from $80.00 to $105.00 and gave the company an "equal weight" rating in a report on Monday, May 11th. Four research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and seven have assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $98.18.

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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