Neo Ivy Capital Management Takes $1.54 Million Position in Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• Neo Ivy Capital Management invested approximately $1.54 million in Microchip Technology, acquiring 31,794 shares during the first quarter.
• Microchip Technology reported earnings of $0.11 per share for the last quarter, exceeding estimates, but experienced a 26.8% year-over-year decline in revenue.
• The company announced a quarterly dividend of $0.455, yielding 2.68%, with a significant dividend payout ratio of -18,200.00%.

Neo Ivy Capital Management acquired a new position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) in the 1st quarter, according to its most recent 13F filing with the SEC. The fund acquired 31,794 shares of the semiconductor company's stock, valued at approximately $1,539,000.

Other large investors also recently made changes to their positions in the company. Teacher Retirement System of Texas increased its holdings in shares of Microchip Technology by 781.0% during the 4th quarter. Teacher Retirement System of Texas now owns 31,646 shares of the semiconductor company's stock worth $1,815,000 after buying an additional 28,054 shares during the last quarter. LPL Financial LLC increased its holdings in Microchip Technology by 25.4% in the 4th quarter. LPL Financial LLC now owns 542,005 shares of the semiconductor company's stock valued at $31,084,000 after purchasing an additional 109,885 shares in the last quarter. Congress Wealth Management LLC DE increased its holdings in Microchip Technology by 10.7% in the 4th quarter. Congress Wealth Management LLC DE now owns 15,952 shares of the semiconductor company's stock valued at $915,000 after purchasing an additional 1,539 shares in the last quarter. EntryPoint Capital LLC acquired a new stake in Microchip Technology in the 4th quarter valued at $269,000. Finally, TIAA Trust National Association grew its stake in shares of Microchip Technology by 7.9% during the fourth quarter. TIAA Trust National Association now owns 11,055 shares of the semiconductor company's stock valued at $634,000 after acquiring an additional 810 shares in the last quarter. Hedge funds and other institutional investors own 91.51% of the company's stock.

Microchip Technology Stock Down 0.1%

Microchip Technology stock traded down $0.10 during midday trading on Tuesday, hitting $70.43. 1,639,917 shares of the stock were exchanged, compared to its average volume of 10,475,093. Microchip Technology Incorporated has a 52-week low of $34.13 and a 52-week high of $89.59. The stock has a market capitalization of $38.01 billion, a price-to-earnings ratio of -7,048.80, a price-to-earnings-growth ratio of 1.96 and a beta of 1.52. The business's 50-day moving average price is $68.03 and its 200-day moving average price is $57.50. The company has a quick ratio of 1.47, a current ratio of 2.59 and a debt-to-equity ratio of 0.80.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its earnings results on Thursday, May 8th. The semiconductor company reported $0.11 earnings per share for the quarter, topping 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 business had revenue of $970.50 million for the quarter, compared to analyst estimates of $962.86 million. During the same quarter in the prior year, the firm posted $0.57 EPS. Microchip Technology's revenue was down 26.8% on a year-over-year basis. On average, research analysts expect that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, June 5th. Stockholders of record on Thursday, May 22nd were given a $0.455 dividend. The ex-dividend date of this dividend was Thursday, May 22nd. This represents a $1.82 annualized dividend and a dividend yield of 2.58%. Microchip Technology's dividend payout ratio is -18,200.00%.

Insider Activity

In related news, Director Karlton D. Johnson sold 494 shares of the stock in a transaction dated Tuesday, May 20th. The shares were sold at an average price of $60.69, for a total value of $29,980.86. Following the completion of the transaction, the director directly owned 3,468 shares in the company, valued at $210,472.92. This trade represents a 12.47% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO James Eric Bjornholt sold 2,015 shares of Microchip Technology stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $55.78, for a total transaction of $112,396.70. Following the completion of the sale, the chief financial officer owned 34,313 shares of the company's stock, valued at $1,913,979.14. This represents a 5.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.94% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on MCHP shares. B. Riley raised their target price on Microchip Technology from $60.00 to $75.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Stifel Nicolaus raised their target price on Microchip Technology from $70.00 to $82.00 and gave the company a "buy" rating in a research note on Friday, July 18th. KeyCorp raised their target price on Microchip Technology from $70.00 to $85.00 and gave the company an "overweight" rating in a research note on Tuesday, July 8th. Susquehanna increased 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. Finally, UBS Group raised their target price on shares of Microchip Technology from $65.00 to $85.00 and gave the stock a "buy" rating in a report on Monday, July 7th. Six analysts have rated the stock with a hold rating, fourteen have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, Microchip Technology currently has a consensus rating of "Moderate Buy" and a consensus target price of $75.70.

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.