Integrated Advisors Network LLC Sells 31,405 Shares of Microchip Technology Incorporated $MCHP

Key Points

• Integrated Advisors Network cut its Microchip Technology stake by 74.2% in the third quarter, selling 31,405 shares and retaining 10,918 shares valued at approximately $849,000.
• Microchip reported quarterly earnings of $0.76 per share on $1.48 billion in revenue, exceeding analyst expectations, while revenue increased 38% year over year. The company also declared a $0.455 quarterly dividend, yielding about 2.4% annually.
• Analyst sentiment remains moderately bullish, with a consensus “Moderate Buy” rating and an average price target of $97.71, although several firms recently lowered their targets. Shares opened at $74.52, down 3.4%.

Integrated Advisors Network LLC reduced its position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 74.2% in the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 10,918 shares of the semiconductor company's stock after selling 31,405 shares during the quarter. Integrated Advisors Network LLC's holdings in Microchip Technology were worth $849,000 at the end of the most recent quarter.

Other institutional investors have also recently bought and sold shares of the company. Private Capital Advisors Inc. acquired a new position in Microchip Technology during the third quarter worth $21,230,000. Junto Capital Management LP bought a new position in shares of Microchip Technology during the second quarter valued at $38,537,000. Viking Fund Management LLC acquired a new stake in shares of Microchip Technology in the 3rd quarter valued at $8,555,000. Hsbc Holdings PLC boosted its stake in shares of Microchip Technology by 13.0% in the 1st quarter. Hsbc Holdings PLC now owns 1,160,129 shares of the semiconductor company's stock valued at $74,649,000 after purchasing an additional 133,813 shares in the last quarter. Finally, LGT Fund Management Co Ltd. acquired a new stake in shares of Microchip Technology in the 1st quarter valued at $3,428,000. Institutional investors and hedge funds own 91.51% of the company's stock.

Microchip Technology Stock Down 3.4%

Shares of MCHP stock opened at $74.52 on Friday. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91. The stock has a market cap of $40.47 billion, a price-to-earnings ratio of 47.04, a PEG ratio of 0.53 and a beta of 1.77. The firm's 50-day moving average is $75.19 and its 200-day moving average is $82.88. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.11 and a current ratio of 1.92.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, topping analysts' consensus estimates of $0.70 by $0.06. The business had revenue of $1.48 billion during the quarter, compared to analysts' expectations of $1.46 billion. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%. Microchip Technology's quarterly revenue was up 38.0% on a year-over-year basis. During the same quarter last year, the company posted $0.27 earnings per share. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. Sell-side analysts predict that Microchip Technology Incorporated will post 3.20 EPS for the current year.

Microchip Technology Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th were paid a dividend of $0.4550 per share. This represents a $1.82 annualized dividend and a dividend yield of 2.4%. The ex-dividend date was Monday, August 24th. Microchip Technology's payout ratio is currently 271.64%.

Insider Activity at Microchip Technology

In related news, CFO James Bjornholt sold 4,112 shares of the business's stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $75.32, for a total transaction of $309,715.84. Following the transaction, the chief financial officer directly owned 28,573 shares of the company's stock, valued at approximately $2,152,118.36. The trade was a 12.58% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.79% of the company's stock.

Analyst Ratings Changes

MCHP has been the topic of a number of recent analyst reports. Rosenblatt Securities restated a "buy" rating and issued a $120.00 price target on shares of Microchip Technology in a research report on Friday, August 7th. UBS Group restated a "buy" rating and issued a $120.00 price objective (down from $130.00) on shares of Microchip Technology in a research report on Friday, August 7th. Wells Fargo & Company lowered their target price on Microchip Technology from $88.00 to $80.00 and set an "equal weight" rating for the company in a research note on Tuesday. Citigroup reduced their target price on shares of Microchip Technology from $113.00 to $95.00 and set a "buy" rating on the stock in a research note on Friday, August 7th. Finally, TD Cowen dropped their price objective on Microchip Technology from $90.00 to $75.00 and set a "hold" rating for the company in a report on Monday. Three analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $97.71.

Microchip Technology Profile

Microchip Technology Incorporated NASDAQ: MCHP develops and manufactures semiconductor products used in embedded control and connected electronic systems. Its portfolio includes microcontrollers, microprocessors, analog and power-management devices, memory products, timing and connectivity components, security solutions, and field-programmable gate arrays. The company also provides development tools, software, evaluation kits, and technical support to help customers design and produce electronic equipment.

Microchip's products are used across a range of markets, including automotive, industrial, aerospace and defense, communications, consumer electronics, data centers, and medical applications.

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