Mizuho Markets Americas LLC Has $9.75 Million Stake in Microchip Technology Incorporated $MCHP

Key Points

• Mizuho Markets Americas LLC cut its Microchip Technology stake by 44% in the first quarter, selling 118,292 shares and ending with 150,838 shares valued at about $9.75 million.
• Microchip insiders also sold shares: COO Richard J. Simoncic and CFO James Eric Bjornholt both reduced their holdings in May, and insiders sold 136,721 shares overall last quarter.
• Microchip reported stronger-than-expected quarterly results, with EPS of $0.57 and revenue of $1.31 billion, while analysts currently rate the stock a “Moderate Buy” with an average price target of $99.76.

Mizuho Markets Americas LLC decreased its stake in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 44.0% in the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 150,838 shares of the semiconductor company's stock after selling 118,292 shares during the quarter. Mizuho Markets Americas LLC's holdings in Microchip Technology were worth $9,746,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the company. EFG International AG acquired a new position in Microchip Technology in the fourth quarter worth approximately $29,000. Miller Capital Partners Inc. acquired a new stake in Microchip Technology in the fourth quarter valued at approximately $29,000. Garton & Associates Financial Advisors LLC acquired a new stake in Microchip Technology in the fourth quarter valued at approximately $33,000. Reflection Asset Management bought a new stake in Microchip Technology in the fourth quarter worth approximately $33,000. Finally, Caitong International Asset Management Co. Ltd grew its position 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 worth $33,000 after acquiring an additional 513 shares in the last quarter. 91.51% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Microchip Technology

In other news, COO Richard J. Simoncic sold 5,000 shares of the company's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $93.44, for a total transaction of $467,200.00. Following the completion of the transaction, the chief operating officer owned 135,508 shares of the company's stock, valued at approximately $12,661,867.52. This represents a 3.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO James Eric Bjornholt sold 3,667 shares of the stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $90.87, for a total transaction of $333,220.29. Following the completion of the sale, the chief financial officer owned 28,573 shares of the company's stock, valued at approximately $2,596,428.51. The trade was a 11.37% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 136,721 shares of company stock worth $12,793,719. 1.79% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on the stock. Zacks Research upgraded shares of Microchip Technology from a "hold" rating to a "strong-buy" rating in a report on Tuesday, May 12th. Truist Financial upped their price objective on shares of Microchip Technology from $69.00 to $105.00 and gave the stock a "hold" rating in a report on Friday, May 8th. Barclays increased their target price on shares of Microchip Technology from $80.00 to $105.00 and gave the stock an "equal weight" rating in a research report on Monday, May 11th. Susquehanna raised their target price on Microchip Technology from $95.00 to $120.00 and gave the company a "positive" rating in a report on Friday, May 8th. Finally, Weiss Ratings raised Microchip Technology from a "hold (c-)" rating to a "hold (c)" rating in a research report on Thursday, June 4th. Four equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $99.76.

Microchip Technology Stock Down 4.3%

Shares of MCHP stock opened at $81.35 on Friday. Microchip Technology Incorporated has a 12 month low of $48.52 and a 12 month high of $105.91. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85. The firm has a market cap of $44.17 billion, a PE ratio of 387.40, a price-to-earnings-growth ratio of 0.85 and a beta of 1.74. The stock has a 50 day moving average of $90.94 and a 200-day moving average of $81.10.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.50 by $0.07. Microchip Technology had a net margin of 4.88% and a return on equity of 10.87%. The business had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.26 billion. During the same quarter last year, the company posted $0.11 earnings per share. Microchip Technology's quarterly revenue was up 35.1% on a year-over-year basis. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, equities analysts predict that Microchip Technology Incorporated will post 2.7 EPS for the current year.

Microchip Technology Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, June 5th. Shareholders of record on Friday, May 22nd were given a $0.455 dividend. This represents a $1.82 annualized dividend and a yield of 2.2%. The ex-dividend date was Friday, May 22nd. Microchip Technology's dividend payout ratio (DPR) is currently 866.67%.

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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