Microchip Technology Incorporated $MCHP Stock Sold by Bank Julius Baer & Co. Ltd Zurich

Key Points

• Bank Julius Baer & Co. Zurich cut its Microchip Technology stake by 52.2% in the third quarter, selling 46,929 shares and retaining 43,009 shares valued at $3.35 million.
• Analysts’ consensus rating is “Moderate Buy,” with an average price target of $97.71. Recent target cuts included TD Cowen’s reduction to $75 and Wells Fargo’s reduction to $80.
• Microchip reported quarterly EPS of $0.76, beating the $0.70 estimate, while revenue rose 38% year over year to $1.48 billion. The company also declared a quarterly dividend of $0.455 per share.

Bank Julius Baer & Co. Ltd Zurich decreased its position in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 52.2% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 43,009 shares of the semiconductor company's stock after selling 46,929 shares during the period. Bank Julius Baer & Co. Ltd Zurich's holdings in Microchip Technology were worth $3,347,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also bought and sold shares of the company. Mirae Asset Global Investments Co. Ltd. purchased a new stake in Microchip Technology in the third quarter worth $94,304,000. ProShare Advisors LLC raised its stake in shares of Microchip Technology by 0.6% in the third quarter. ProShare Advisors LLC now owns 785,822 shares of the semiconductor company's stock valued at $61,113,000 after buying an additional 4,391 shares during the period. Vise Technologies Inc. lifted its position in shares of Microchip Technology by 43.2% during the 3rd quarter. Vise Technologies Inc. now owns 13,027 shares of the semiconductor company's stock valued at $1,013,000 after buying an additional 3,927 shares during the last quarter. Intrua Financial LLC lifted its position in shares of Microchip Technology by 77.0% during the 3rd quarter. Intrua Financial LLC now owns 4,486 shares of the semiconductor company's stock valued at $349,000 after buying an additional 1,952 shares during the last quarter. Finally, MGO One Seven LLC grew its stake in shares of Microchip Technology by 5.9% during the 3rd quarter. MGO One Seven LLC now owns 6,981 shares of the semiconductor company's stock worth $543,000 after acquiring an additional 391 shares during the period. 91.51% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of brokerages recently issued reports on MCHP. TD Cowen lowered their price objective on Microchip Technology from $90.00 to $75.00 and set a "hold" rating on the stock in a research note on Monday, October 19th. BMO Capital Markets initiated coverage on shares of Microchip Technology in a research report on Friday, August 21st. They set an "outperform" rating and a $95.00 target price for the company. Wells Fargo & Company cut their target price on shares of Microchip Technology from $88.00 to $80.00 and set an "equal weight" rating for the company in a research report on Tuesday, October 20th. Citigroup reduced their target price on shares of Microchip Technology from $113.00 to $95.00 and set a "buy" rating for the company in a research note on Friday, August 7th. Finally, Cantor Fitzgerald reissued an "overweight" rating on shares of Microchip Technology in a research report on Wednesday, September 9th. Three analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $97.71.

Insider Activity at Microchip Technology

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

Microchip Technology Stock Performance

Shares of MCHP opened at $77.90 on Wednesday. The stock's 50-day simple moving average is $75.34 and its 200 day simple moving average is $79.53. The stock has a market capitalization of $42.30 billion, a price-to-earnings ratio of 46.41, a price-to-earnings-growth ratio of 0.52 and a beta of 1.84. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.11 and a current ratio of 1.92. 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 posted its earnings results on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share for the quarter, beating analysts' consensus estimates 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 analyst estimates of $1.46 billion. During the same quarter in the previous year, the firm earned $0.27 EPS. The company's quarterly revenue was up 38.0% compared to the same quarter last year. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. Research analysts forecast that Microchip Technology Incorporated will post 3.20 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 9th. Shareholders of record on Monday, August 24th were issued a $0.4550 dividend. This represents a $1.82 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend was Monday, August 24th. Microchip Technology's dividend payout ratio (DPR) is presently 271.64%.

About Microchip Technology

Microchip Technology Incorporated NASDAQ: MCHP develops and manufactures semiconductor products used in embedded control and connected electronic systems. Its portfolio includes microcontrollers, microprocessors, analog and power-management devices, memory products, timing and connectivity components, security solutions, and field-programmable gate arrays. The company also provides development tools, software, evaluation kits, and technical support to help customers design and produce electronic equipment.

Microchip's products are used across a range of markets, including automotive, industrial, aerospace and defense, communications, consumer electronics, data centers, and medical applications.

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