Microchip Technology Incorporated $MCHP Shares Sold by Pictet Asset Management Holding SA

Key Points

• Pictet Asset Management reduced its Microchip Technology stake by 21% in the second quarter, selling 993,495 shares and retaining 3.74 million shares valued at approximately $340.6 million. Institutional investors collectively own 91.51% of the company.
• Microchip reported quarterly EPS of $0.76, exceeding the $0.70 consensus estimate, while revenue rose 38% year over year to $1.48 billion. The company issued Q2 fiscal 2027 EPS guidance of $0.91–$0.95.
• The company declared a quarterly dividend of $0.455 per share, equivalent to an annualized $1.82 dividend and a 2.3% yield. Analysts maintain a consensus “Moderate Buy” rating with an average price target of $98.85.

Pictet Asset Management Holding SA lessened its stake in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 21.0% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 3,735,863 shares of the semiconductor company's stock after selling 993,495 shares during the period. Pictet Asset Management Holding SA owned about 0.69% of Microchip Technology worth $340,649,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also made changes to their positions in the company. EFG International AG purchased a new position in shares of Microchip Technology during the 4th quarter valued at approximately $29,000. Miller Capital Partners Inc. purchased a new stake in Microchip Technology during the fourth quarter worth $29,000. Reflection Asset Management purchased a new stake in Microchip Technology during the fourth quarter worth $33,000. Garton & Associates Financial Advisors LLC purchased a new position in Microchip Technology in the fourth quarter valued at $33,000. Finally, Caitong International Asset Management Co. Ltd increased its holdings in Microchip Technology by 4,663.6% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 524 shares of the semiconductor company's stock valued at $33,000 after buying an additional 513 shares in the last quarter. Institutional investors and hedge funds own 91.51% of the company's stock.

Insider Activity

In related news, CFO James Eric Bjornholt sold 3,667 shares of Microchip Technology stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $90.87, for a total transaction of $333,220.29. Following the transaction, the chief financial officer owned 28,573 shares in the company, valued at approximately $2,596,428.51. This trade represents a 11.37% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Matthew W. Chapman sold 3,000 shares of the business's stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $97.52, for a total value of $292,560.00. Following the transaction, the director directly owned 17,665 shares in the company, valued at $1,722,690.80. This trade represents a 14.52% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 16,667 shares of company stock worth $1,580,580 over the last ninety days. Corporate insiders own 1.79% of the company's stock.

Microchip Technology Stock Performance

NASDAQ:MCHP opened at $79.17 on Friday. The company's 50-day moving average price is $85.72 and its 200-day moving average price is $81.47. The company has a current ratio of 1.92, a quick ratio of 1.11 and a debt-to-equity ratio of 0.83. The company has a market cap of $42.99 billion, a P/E ratio of 118.17, a P/E/G ratio of 0.61 and a beta of 1.76. Microchip Technology Incorporated has a twelve month low of $48.52 and a twelve month high of $105.91.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.70 by $0.06. The company had revenue of $1.48 billion during the quarter, compared to analysts' expectations of $1.46 billion. Microchip Technology had a net margin of 9.34% and a return on equity of 14.97%. Microchip Technology's revenue was up 38.0% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.27 EPS. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. On average, sell-side analysts forecast that Microchip Technology Incorporated will post 2.81 earnings per share for the current fiscal year.

Microchip Technology Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th will be given a $0.455 dividend. The ex-dividend date is Monday, August 24th. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.3%. Microchip Technology's dividend payout ratio is 271.64%.

Wall Street Analysts Forecast Growth

MCHP has been the topic of a number of analyst reports. Weiss Ratings upgraded Microchip Technology from a "hold (c-)" rating to a "hold (c)" rating in a research report on Tuesday. Wall Street Zen raised Microchip Technology from a "hold" rating to a "buy" rating in a report on Saturday, May 9th. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $125.00 target price on shares of Microchip Technology in a research note on Monday, August 3rd. UBS Group reiterated a "buy" rating and set a $120.00 target price (down from $130.00) on shares of Microchip Technology in a research report on Friday, August 7th. Finally, Rosenblatt Securities reissued a "buy" rating and issued a $120.00 price target on shares of Microchip Technology in a report on Friday, August 7th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Microchip Technology presently has a consensus rating of "Moderate Buy" and an average target price of $98.85.

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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