Microchip Technology Incorporated $MCHP Shares Sold by Avion Wealth

Key Points

• Avion Wealth cut its Microchip Technology stake by 95.1% in the third quarter, selling 28,525 shares and retaining 1,485 shares worth about $115,000. Institutional investors collectively own 91.51% of the stock.
• Microchip beat quarterly estimates with EPS of $0.97 versus $0.94 expected and revenue of $1.62 billion, up 42.2% year over year. It declared a quarterly dividend of $0.455 per share, equivalent to a 3.1% yield at the cited share price.
• Analysts maintain a consensus “Moderate Buy” rating, but several firms have lowered price targets. The article also flags a softer near-term outlook: projected next-quarter EPS is $0.87–$0.95, with the midpoint below consensus.

Avion Wealth reduced its holdings in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 95.1% during the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 1,485 shares of the semiconductor company's stock after selling 28,525 shares during the quarter. Avion Wealth's holdings in Microchip Technology were worth $115,000 at the end of the most recent quarter.

Other institutional investors also recently modified their holdings of the company. TOP Private Wealth LLC. purchased a new stake in shares of Microchip Technology during the second quarter worth $29,000. GK Wealth Management LLC bought a new position in shares of Microchip Technology in the third quarter worth $29,000. Continuum Advisory LLC purchased a new position in shares of Microchip Technology in the second quarter valued at $30,000. Johnson Financial Group Inc. purchased a new position in shares of Microchip Technology in the second quarter valued at $31,000. Finally, Rakuten Securities Inc. bought a new stake in shares of Microchip Technology during the 2nd quarter valued at $34,000. 91.51% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at Microchip Technology

In other Microchip Technology news, CFO James Bjornholt sold 4,112 shares of the business's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $75.32, for a total value of $309,715.84. Following the completion of the transaction, the chief financial officer owned 28,573 shares of the company's stock, valued at $2,152,118.36. The trade was a 12.58% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.79% of the stock is currently owned by insiders.

Microchip Technology Price Performance

Microchip Technology stock opened at $58.35 on Monday. The stock has a market cap of $31.68 billion, a price-to-earnings ratio of 44.20, a PEG ratio of 0.40 and a beta of 1.84. The company has a quick ratio of 1.33, a current ratio of 2.24 and a debt-to-equity ratio of 0.83. The business has a 50-day simple moving average of $74.85 and a 200 day simple moving average of $79.41. 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 released its quarterly earnings results on Thursday, November 5th. The semiconductor company reported $0.97 earnings per share for the quarter, beating the consensus estimate of $0.94 by $0.03. Microchip Technology had a return on equity of 20.32% and a net margin of 14.96%. The firm had revenue of $1.62 billion for the quarter, compared to analysts' expectations of $1.61 billion. During the same quarter last year, the firm posted $0.35 EPS. The company's revenue was up 42.2% compared to the same quarter last year. On average, research analysts forecast that Microchip Technology Incorporated will post 3.20 earnings per share for the current fiscal year.

Microchip Technology Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, December 8th. Shareholders of record on Monday, November 23rd will be given a dividend of $0.4550 per share. The ex-dividend date is Monday, November 23rd. This represents a $1.82 annualized dividend and a yield of 3.1%. Microchip Technology's payout ratio is presently 137.88%.

Analysts Set New Price Targets

A number of research firms recently issued reports on MCHP. UBS Group reiterated a "buy" rating and set a $120.00 price objective (down from $130.00) on shares of Microchip Technology in a research note on Friday, August 7th. Needham & Company LLC cut their target price on Microchip Technology from $120.00 to $85.00 and set a "buy" rating for the company in a research note on Friday. Zacks Research lowered Microchip Technology from a "strong-buy" rating to a "hold" rating in a report on Monday, August 17th. Jefferies Financial Group decreased their target price on shares of Microchip Technology from $100.00 to $85.00 and set a "buy" rating on the stock in a report on Friday. Finally, Susquehanna lowered their target price on shares of Microchip Technology from $120.00 to $100.00 and set a "positive" rating on the stock in a research note on Friday. Three analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and seven have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Microchip Technology has a consensus rating of "Moderate Buy" and an average target price of $91.64.

Microchip Technology News Roundup

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

• Positive Sentiment: Fiscal Q2 EPS was $0.97 versus the $0.94 consensus, while revenue of $1.62 billion topped estimates and rose 42.2% year over year. Reports cited recovering industrial and data-center demand and improving margins as growth drivers. Zacks earnings report
• Positive Sentiment: Microchip declared a quarterly dividend of $0.455 per share, equivalent to $1.82 annually and a reported yield of about 3.2%. The dividend may appeal to income-focused investors.
• Neutral Sentiment: Several analysts still rate MCHP Buy or Overweight, and their revised targets remain above the cited $58.35 share price. However, the target reductions signal more cautious expectations.
• Negative Sentiment: Management’s fiscal Q3 outlook is a key concern: revenue is forecast to range from 3% below to 1% above Q2, with non-GAAP EPS of $0.87–$0.95. The midpoint was reported below consensus; supply constraints and rising costs could limit near-term growth. Benzinga analyst coverage
• Negative Sentiment: Analysts cut targets after the results, including Truist to $62 from $90 and Evercore ISI to $75 from $117. Citigroup lowered its target to $75 from $95 but kept a Buy rating; the broader reset in expectations may pressure shares despite generally higher remaining targets. Truist analyst recommendations Evercore ISI target update

About Microchip Technology

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