Moors & Cabot Inc. Trims Position in Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• Moors & Cabot Inc. has reduced its holdings in Microchip Technology Incorporated by 41.0%, now owning 6,432 shares valued at $311,000 after selling 4,473 shares in the first quarter.
• Microchip Technology recently reported a quarterly earnings per share (EPS) of $0.11, surpassing analysts' estimates of $0.10, while experiencing a 26.8% revenue decline compared to the same quarter last year.
• The company announced a quarterly dividend of $0.455, translating to an annual yield of 2.7%, despite a significantly negative dividend payout ratio.

Moors & Cabot Inc. lessened its position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 41.0% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 6,432 shares of the semiconductor company's stock after selling 4,473 shares during the quarter. Moors & Cabot Inc.'s holdings in Microchip Technology were worth $311,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of the stock. Federated Hermes Inc. increased its stake in shares of Microchip Technology by 0.5% in the 4th quarter. Federated Hermes Inc. now owns 39,298 shares of the semiconductor company's stock worth $2,254,000 after purchasing an additional 209 shares in the last quarter. Northwest Bank & Trust Co increased its stake in shares of Microchip Technology by 3.0% in the 4th quarter. Northwest Bank & Trust Co now owns 7,392 shares of the semiconductor company's stock worth $424,000 after purchasing an additional 217 shares in the last quarter. Oregon Public Employees Retirement Fund increased its stake in Microchip Technology by 0.5% in the 1st quarter. Oregon Public Employees Retirement Fund now owns 46,235 shares of the semiconductor company's stock worth $2,238,000 after buying an additional 230 shares in the last quarter. Greenleaf Trust increased its stake in Microchip Technology by 1.0% in the 1st quarter. Greenleaf Trust now owns 24,933 shares of the semiconductor company's stock worth $1,207,000 after buying an additional 242 shares in the last quarter. Finally, Bartlett & CO. Wealth Management LLC increased its stake in Microchip Technology by 3.4% in the 1st quarter. Bartlett & CO. Wealth Management LLC now owns 8,360 shares of the semiconductor company's stock worth $405,000 after buying an additional 276 shares in the last quarter. 91.51% of the stock is currently owned by hedge funds and other institutional investors.

Microchip Technology Stock Up 0.8%

Shares of NASDAQ:MCHP opened at $67.13 on Wednesday. The company has a current ratio of 2.59, a quick ratio of 1.47 and a debt-to-equity ratio of 0.80. Microchip Technology Incorporated has a 12 month low of $34.13 and a 12 month high of $82.87. The company has a 50-day moving average price of $69.22 and a 200 day moving average price of $57.96. The company has a market cap of $36.23 billion, a price-to-earnings ratio of -6,713.00, a PEG ratio of 1.92 and a beta of 1.55.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings results on Thursday, May 8th. The semiconductor company reported $0.11 EPS for the quarter, beating analysts' consensus estimates of $0.10 by $0.01. Microchip Technology had a negative net margin of 0.01% and a positive return on equity of 8.55%. The firm had revenue of $970.50 million during the quarter, compared to the consensus estimate of $962.86 million. During the same quarter last year, the firm earned $0.57 EPS. The firm's revenue for the quarter was down 26.8% compared to the same quarter last year. As a group, equities research analysts predict that Microchip Technology Incorporated will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 5th. Investors of record on Thursday, May 22nd were given a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date of this dividend was Thursday, May 22nd. Microchip Technology's dividend payout ratio is -18,200.00%.

Insider Transactions at Microchip Technology

In related news, CFO James Eric Bjornholt sold 2,015 shares of the stock in a transaction dated Friday, May 23rd. The shares were sold at an average price of $55.78, for a total value of $112,396.70. Following the sale, the chief financial officer directly owned 34,313 shares of the company's stock, valued at $1,913,979.14. This represents a 5.55% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Karlton D. Johnson sold 494 shares of the stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $60.69, for a total transaction of $29,980.86. Following the completion of the sale, the director directly owned 3,468 shares in the company, valued at $210,472.92. This trade represents a 12.47% 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.

Wall Street Analysts Forecast Growth

MCHP has been the subject of a number of analyst reports. Wall Street Zen upgraded Microchip Technology from a "sell" rating to a "hold" rating in a research note on Friday, June 27th. KeyCorp increased their price target on Microchip Technology from $70.00 to $85.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Mizuho increased their price target on Microchip Technology from $78.00 to $85.00 and gave the stock an "outperform" rating in a research note on Tuesday, July 8th. Morgan Stanley increased their price target on Microchip Technology from $39.00 to $50.00 and gave the stock an "equal weight" rating in a research note on Friday, May 9th. Finally, Evercore ISI increased their price target on Microchip Technology from $69.00 to $83.00 and gave the stock an "outperform" rating in a research note on Thursday, June 12th. Six research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $74.42.

Microchip Technology Company Profile

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.

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