Swedbank AB Sells 12,447 Shares of Microchip Technology Incorporated $MCHP

Key Points

• Swedbank AB reduced its stake in Microchip Technology by 33.5%, holding 24,685 shares worth approximately $1.2 million after selling 12,447 shares.
• Microchip Technology reported earnings of $0.27 EPS in its latest quarter, exceeding analysts' estimates, despite a 13.3% year-over-year decline in revenue.
• The company announced a quarterly dividend of $0.455 per share, offering a yield of 2.8%, but has a negative dividend payout ratio of -535.29%.

Swedbank AB reduced its stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 33.5% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 24,685 shares of the semiconductor company's stock after selling 12,447 shares during the quarter. Swedbank AB's holdings in Microchip Technology were worth $1,195,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in MCHP. Garde Capital Inc. bought a new position in Microchip Technology during the first quarter valued at approximately $30,000. WPG Advisers LLC bought a new stake in Microchip Technology in the 1st quarter valued at $40,000. Orion Capital Management LLC acquired a new stake in shares of Microchip Technology in the 4th quarter valued at $41,000. Byrne Asset Management LLC acquired a new stake in shares of Microchip Technology in the 1st quarter valued at $41,000. Finally, GW&K Investment Management LLC boosted its stake in shares of Microchip Technology by 161.0% in the 1st quarter. GW&K Investment Management LLC now owns 937 shares of the semiconductor company's stock valued at $45,000 after purchasing an additional 578 shares in the last quarter. Institutional investors own 91.51% of the company's stock.

Insider Transactions at Microchip Technology

In other news, CFO James Eric Bjornholt sold 7,356 shares of the company's stock in a transaction dated Monday, August 25th. The stock was sold at an average price of $68.72, for a total value of $505,504.32. Following the completion of the sale, the chief financial officer directly owned 30,010 shares of the company's stock, valued at $2,062,287.20. This represents a 19.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Matthew W. Chapman sold 10,000 shares of the company's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $68.25, for a total value of $682,500.00. Following the completion of the sale, the director directly owned 30,665 shares of the company's stock, valued at approximately $2,092,886.25. This trade represents a 24.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.94% of the company's stock.

Microchip Technology Trading Down 1.7%

Microchip Technology stock traded down $1.11 during trading hours on Friday, reaching $65.15. 13,346,423 shares of the company's stock traded hands, compared to its average volume of 7,494,503. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.33 and a current ratio of 2.31. Microchip Technology Incorporated has a fifty-two week low of $34.13 and a fifty-two week high of $81.64. The firm has a market capitalization of $35.16 billion, a price-to-earnings ratio of -191.62, a PEG ratio of 1.90 and a beta of 1.56. The firm's 50 day moving average is $67.21 and its 200-day moving average is $59.89.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.24 by $0.03. The company had revenue of $1.08 billion for the quarter, compared to the consensus estimate of $1.05 billion. Microchip Technology had a negative net margin of 3.50% and a positive return on equity of 6.24%. The company's revenue was down 13.3% compared to the same quarter last year. During the same period in the prior year, the company posted $0.53 EPS. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. On average, analysts predict that Microchip Technology Incorporated will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 5th. Stockholders of record on Friday, August 22nd were paid a $0.455 dividend. The ex-dividend date of this dividend was Friday, August 22nd. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.8%. Microchip Technology's dividend payout ratio is -535.29%.

Wall Street Analyst Weigh In

MCHP has been the topic of several recent analyst reports. TD Cowen reduced their target price on shares of Microchip Technology from $75.00 to $60.00 and set a "hold" rating on the stock in a research note on Friday, August 8th. Susquehanna upped their price target on shares of Microchip Technology from $60.00 to $90.00 and gave the stock a "positive" rating in a research report on Tuesday, July 22nd. Evercore ISI upped their price target on shares of Microchip Technology from $69.00 to $83.00 and gave the stock an "outperform" rating in a research report on Thursday, June 12th. UBS Group upped their price target on shares of Microchip Technology from $65.00 to $85.00 and gave the stock a "buy" rating in a research report on Monday, July 7th. Finally, Piper Sandler upped their price target on shares of Microchip Technology from $65.00 to $80.00 and gave the stock an "overweight" rating in a research report on Friday, August 8th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and seven have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $75.75.

About Microchip Technology

Microchip Technology Incorporated engages in the development, manufacture, and sale of smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. The company offers general purpose 8-bit, 16-bit, and 32-bit mixed-signal microcontrollers; 32-bit embedded mixed-signal microprocessors; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications.