Maytus Capital Management LLC Decreases Position in Microchip Technology Incorporated $MCHP

Key Points

• Maytus Capital Management cut its Microchip Technology stake by 28.8% in the fourth quarter, selling 58,779 shares and leaving it with 145,000 shares worth about $9.24 million.
• Insider selling has been notable, with director Matthew W. Chapman and CEO Steve Sanghi both reducing holdings; insiders sold 553,302 shares worth about $49.7 million over the last 90 days.
• Microchip Technology reported strong quarterly results, beating EPS and revenue estimates and raising its Q1 2027 guidance, while analysts remain broadly positive with a “Moderate Buy” consensus and an average target price of $98.18.

Maytus Capital Management LLC decreased its holdings in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 28.8% in the 4th quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 145,000 shares of the semiconductor company's stock after selling 58,779 shares during the quarter. Microchip Technology makes up approximately 2.2% of Maytus Capital Management LLC's portfolio, making the stock its 11th biggest position. Maytus Capital Management LLC's holdings in Microchip Technology were worth $9,239,000 as of its most recent SEC filing.

Several other institutional investors have also recently added to or reduced their stakes in MCHP. Norges Bank purchased a new stake in Microchip Technology during the fourth quarter worth approximately $664,564,000. Barclays PLC increased its position in Microchip Technology by 66.5% during the fourth quarter. Barclays PLC now owns 13,996,883 shares of the semiconductor company's stock worth $891,881,000 after buying an additional 5,590,210 shares during the period. Barrow Hanley Mewhinney & Strauss LLC increased its position in Microchip Technology by 25.7% during the third quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 11,048,057 shares of the semiconductor company's stock worth $709,506,000 after buying an additional 2,257,932 shares during the period. Holocene Advisors LP increased its position in Microchip Technology by 77.0% during the third quarter. Holocene Advisors LP now owns 4,709,538 shares of the semiconductor company's stock worth $302,447,000 after buying an additional 2,049,249 shares during the period. Finally, Rafferty Asset Management LLC increased its position in Microchip Technology by 41.0% during the second quarter. Rafferty Asset Management LLC now owns 6,203,762 shares of the semiconductor company's stock worth $436,559,000 after buying an additional 1,803,945 shares during the period. Hedge funds and other institutional investors own 91.51% of the company's stock.

Insider Buying and Selling

In related news, Director Matthew W. Chapman sold 3,000 shares of the stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $97.52, for a total transaction of $292,560.00. Following the sale, the director owned 17,665 shares of the company's stock, valued at $1,722,690.80. This trade represents a 14.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Steve Sanghi sold 76,469 shares of the stock in a transaction on Friday, May 1st. The shares were sold at an average price of $93.58, for a total value of $7,155,969.02. Following the sale, the chief executive officer directly owned 9,385,834 shares in the company, valued at approximately $878,326,345.72. The trade was a 0.81% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 553,302 shares of company stock worth $49,673,635 in the last ninety days. 1.94% of the stock is currently owned by insiders.

Analyst Ratings Changes

Several research firms have commented on MCHP. Zacks Research raised Microchip Technology from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, May 12th. Wall Street Zen raised Microchip Technology from a "hold" rating to a "buy" rating in a report on Saturday, May 9th. Cantor Fitzgerald reissued 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. boosted their target price on Microchip Technology from $95.00 to $120.00 and gave the company an "overweight" rating in a report on Friday, May 8th. Finally, Wells Fargo & Company boosted their target price on Microchip Technology from $75.00 to $95.00 and gave the company an "equal weight" rating in a report on Friday, May 8th. Four equities 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. Based on data from MarketBeat, Microchip Technology has an average rating of "Moderate Buy" and an average target price of $98.18.

Microchip Technology Stock Down 4.7%

Microchip Technology stock opened at $95.63 on Wednesday. The company has a debt-to-equity ratio of 0.85, a quick ratio of 1.18 and a current ratio of 2.09. The firm has a market capitalization of $51.84 billion, a price-to-earnings ratio of 455.40, a price-to-earnings-growth ratio of 1.06 and a beta of 1.73. Microchip Technology Incorporated has a fifty-two week low of $48.52 and a fifty-two week high of $105.91. The stock's fifty day moving average is $89.15 and its two-hundred day moving average is $76.43.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its earnings results on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share for the quarter, beating the consensus estimate of $0.50 by $0.07. The company had revenue of $1.31 billion for the quarter, compared to analyst estimates 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% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.11 earnings per share. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Analysts predict that Microchip Technology Incorporated will post 2.58 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were paid a dividend of $0.455 per share. The ex-dividend date of this dividend was 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 (DPR) is presently 866.67%.

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.

Want to see what other hedge funds are holding MCHP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microchip Technology Incorporated (NASDAQ:MCHP - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.