Leeward Investments LLC MA Acquires 94,324 Shares of Microchip Technology Incorporated $MCHP

Key Points

• Leeward Investments LLC MA increased its Microchip Technology stake by 68.4% in the fourth quarter, buying 94,324 shares and bringing its total holdings to 232,160 shares worth about $14.8 million.
• Microchip Technology reported strong quarterly results, with EPS of $0.57 beating estimates and revenue of $1.31 billion coming in above expectations; revenue also rose 35.1% year over year.
• Analyst sentiment remains upbeat, with firms like Cantor Fitzgerald and Citigroup raising targets, while the company also declared a quarterly dividend of $0.455 per share payable on June 5.

Leeward Investments LLC MA boosted its holdings in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 68.4% in the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 232,160 shares of the semiconductor company's stock after purchasing an additional 94,324 shares during the quarter. Leeward Investments LLC MA's holdings in Microchip Technology were worth $14,793,000 at the end of the most recent quarter.

Other hedge funds have also added to or reduced their stakes in the company. Wolverine Asset Management LLC increased its stake in Microchip Technology by 3,833.7% in the fourth quarter. Wolverine Asset Management LLC now owns 37,921 shares of the semiconductor company's stock valued at $2,416,000 after purchasing an additional 36,957 shares in the last quarter. Vanguard Group Inc. increased its stake in Microchip Technology by 2.1% in the third quarter. Vanguard Group Inc. now owns 72,075,558 shares of the semiconductor company's stock valued at $4,628,692,000 after purchasing an additional 1,507,554 shares in the last quarter. PNC Financial Services Group Inc. increased its stake in Microchip Technology by 13.5% in the third quarter. PNC Financial Services Group Inc. now owns 209,384 shares of the semiconductor company's stock valued at $13,447,000 after purchasing an additional 24,963 shares in the last quarter. Natixis Advisors LLC increased its stake in Microchip Technology by 18.7% in the third quarter. Natixis Advisors LLC now owns 1,233,018 shares of the semiconductor company's stock valued at $79,184,000 after purchasing an additional 194,048 shares in the last quarter. Finally, Cibc World Market Inc. increased its stake in Microchip Technology by 223.4% in the third quarter. Cibc World Market Inc. now owns 140,902 shares of the semiconductor company's stock valued at $9,049,000 after purchasing an additional 97,333 shares in the last quarter. 91.51% of the stock is currently owned by institutional investors.

Insider Activity

In related news, CEO Steve Sanghi sold 416,581 shares of the business's stock in a transaction dated Thursday, April 23rd. The shares were sold at an average price of $88.53, for a total transaction of $36,879,915.93. Following the transaction, the chief executive officer directly owned 9,495,805 shares in the company, valued at approximately $840,663,616.65. The trade was a 4.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 526,552 shares of company stock worth $47,130,465 in the last ninety days. 1.94% of the stock is owned by company insiders.

Analyst Ratings Changes

Several equities research analysts have weighed in on the stock. Mizuho lifted their price target on shares of Microchip Technology from $83.00 to $90.00 and gave the company an "outperform" rating in a research note on Friday, February 6th. Wall Street Zen raised shares of Microchip Technology from a "hold" rating to a "buy" rating in a research note on Saturday, May 9th. Jefferies Financial Group reaffirmed a "hold" rating on shares of Microchip Technology in a research note on Wednesday, February 4th. Citigroup lifted their price target on shares of Microchip Technology from $91.00 to $113.00 and gave the company a "buy" rating in a research note on Friday, May 8th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $125.00 price target on shares of Microchip Technology in a research note on Wednesday. Four research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, six have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $97.52.

Microchip Technology News Roundup

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

• Positive Sentiment: Cantor Fitzgerald reaffirmed its Overweight rating on Microchip Technology and kept a $125 price target, signaling meaningful upside from current levels. Microchip Technology's (MCHP) Overweight Rating Reaffirmed at Cantor Fitzgerald
• Positive Sentiment: Zacks Research upgraded Microchip Technology from Hold to Strong-Buy, adding to investor optimism around the stock. Microchip Technology was upgraded by Zacks Research from hold to strong-buy
• Positive Sentiment: Microchip announced the EX-423 Evacuated Miniature Crystal Oscillator (EMXO), a low-power, high-stability timing product aimed at mission-critical markets such as GPS/GNSS, military radios, medical devices, seismic systems, and satellite communications. The launch supports the company’s positioning in high-reliability applications. New EX-423 Evacuated Miniature Crystal Oscillator for Critical Timing in Low- and Battery-Powered Applications
• Neutral Sentiment: Another report highlighted Microchip’s recent outperformance context and noted that the stock has also been under pressure relative to some peers at times, suggesting mixed short-term trading rather than a clear change in fundamentals. Microchip Technology Inc. stock underperforms Wednesday when compared to competitors
• Neutral Sentiment: One article focused on Microchip’s long-term shareholder returns, which is informational but unlikely to move the stock on its own. Here's How Much You'd Have If You Invested $1000 in Microchip Technology a Decade Ago
• Negative Sentiment: Despite the positive news flow, a report noted that MCHP underperformed competitors in recent trading, which may temper enthusiasm around near-term momentum. Microchip Technology Inc. stock underperforms Wednesday when compared to competitors

Microchip Technology Stock Up 0.3%

Shares of NASDAQ MCHP opened at $97.04 on Friday. The stock has a market capitalization of $52.51 billion, a P/E ratio of 462.12, a P/E/G ratio of 1.19 and a beta of 1.75. The company has a 50-day moving average price of $75.64 and a 200-day moving average price of $70.34. Microchip Technology Incorporated has a 1 year low of $48.52 and a 1 year high of $105.91. The company has a debt-to-equity ratio of 0.85, a current ratio of 2.09 and a quick ratio of 1.18.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued 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. The firm had revenue of $1.31 billion during the quarter, compared to analysts' expectations of $1.26 billion. Microchip Technology had a net margin of 4.88% and a return on equity of 10.87%. The business's revenue was up 35.1% on a year-over-year basis. During the same period last year, the company earned $0.11 earnings per share. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, equities research analysts forecast that Microchip Technology Incorporated will post 2.21 EPS for the current fiscal year.

Microchip Technology Announces Dividend

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

Microchip Technology Company 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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