Microchip Technology Incorporated $MCHP Position Increased by Concurrent Investment Advisors LLC

Key Points

• Concurrent Investment Advisors increased its Microchip Technology position by 56.4% in the second quarter, bringing its holdings to 76,002 shares valued at approximately $6.93 million. Institutional investors own 91.51% of the company.
• Analyst sentiment remains a Moderate Buy, with an average price target of $98.67, although several firms recently lowered their targets to around $88–$90.
• Microchip exceeded quarterly expectations, reporting $0.76 in EPS on $1.48 billion in revenue, with revenue up 38% year over year. The company also declared a quarterly dividend of $0.455 per share, representing a 2.5% annualized yield.

Concurrent Investment Advisors LLC grew its holdings in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 56.4% during the second quarter, according to its most recent Form 13F filing with the SEC. The firm owned 76,002 shares of the semiconductor company's stock after purchasing an additional 27,397 shares during the period. Concurrent Investment Advisors LLC's holdings in Microchip Technology were worth $6,931,000 as of its most recent SEC filing.

A number of other large investors also recently modified their holdings of MCHP. Continuum Advisory LLC bought a new stake in shares of Microchip Technology during the 2nd quarter valued at about $30,000. Johnson Financial Group Inc. bought a new position in Microchip Technology in the second quarter worth about $31,000. Rakuten Securities Inc. acquired a new position in Microchip Technology in the second quarter valued at approximately $34,000. PenderFund Capital Management Ltd. acquired a new position in Microchip Technology in the second quarter valued at approximately $36,000. Finally, Hollencrest Capital Management bought a new position in shares of Microchip Technology during the second quarter valued at approximately $36,000. 91.51% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of brokerages have recently weighed in on MCHP. TD Cowen dropped their price target on Microchip Technology from $105.00 to $90.00 and set a "hold" rating on the stock in a research report on Monday, July 13th. Zacks Research lowered Microchip Technology from a "strong-buy" rating to a "hold" rating in a research report on Monday, August 17th. Wells Fargo & Company lowered their price objective on Microchip Technology from $95.00 to $88.00 and set an "equal weight" rating for the company in a research note on Monday, July 20th. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $125.00 target price on shares of Microchip Technology in a research report on Monday, August 17th. Finally, Truist Financial dropped their target price on Microchip Technology from $105.00 to $90.00 and set a "hold" rating on the stock in a research report on Friday, August 7th. Three analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $98.67.

Microchip Technology Price Performance

Shares of NASDAQ:MCHP opened at $74.17 on Friday. The firm's 50 day moving average is $79.80 and its two-hundred day moving average is $81.20. The firm has a market capitalization of $40.28 billion, a P/E ratio of 110.70, a PEG ratio of 0.52 and a beta of 1.75. The company has a current ratio of 1.92, a quick ratio of 1.11 and a debt-to-equity ratio of 0.83. Microchip Technology Incorporated has a 52 week low of $48.52 and a 52 week high of $105.91.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.70 by $0.06. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%.The business had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.46 billion. During the same period in the previous year, the firm posted $0.27 earnings per share. The business's revenue was up 38.0% on a year-over-year basis. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. Analysts anticipate that Microchip Technology Incorporated will post 3.16 earnings per share for the current year.

Microchip Technology Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th will be paid a $0.455 dividend. The ex-dividend date of this dividend is Monday, August 24th. This represents a $1.82 annualized dividend and a dividend yield of 2.5%. Microchip Technology's dividend payout ratio is presently 271.64%.

Insider Activity

In other news, CFO James Bjornholt sold 4,112 shares of the firm's stock in a transaction 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. This trade represents a 12.58% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.79% of the company's stock.

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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