Perpetual Ltd Boosts Stock Holdings in Microchip Technology Incorporated $MCHP

Key Points

• Perpetual Ltd increased its stake in Microchip Technology by 3.8%, acquiring an additional 23,782 shares, bringing its total ownership to approximately 0.12% valued at $45.2 million.
• Analysts have raised price targets for Microchip Technology, with UBS Group setting a new target of $85.00, reflecting a strong bullish sentiment towards the stock.
• Microchip Technology reported a quarterly EPS of $0.27, beating estimates, but experienced a year-over-year revenue decline of 13.3% amid challenging market conditions.

Perpetual Ltd grew its holdings in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 3.8% in the second quarter, according to its most recent disclosure with the SEC. The fund owned 642,552 shares of the semiconductor company's stock after buying an additional 23,782 shares during the period. Perpetual Ltd owned 0.12% of Microchip Technology worth $45,216,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also made changes to their positions in the company. Garde Capital Inc. purchased a new stake in shares of Microchip Technology in the first quarter valued at about $30,000. Carderock Capital Management Inc. purchased a new stake in shares of Microchip Technology in the second quarter valued at about $39,000. WPG Advisers LLC purchased a new stake in shares of Microchip Technology in the first quarter valued at about $40,000. Orion Capital Management LLC purchased a new stake in shares of Microchip Technology in the fourth quarter valued at about $41,000. Finally, Byrne Asset Management LLC purchased a new stake in shares of Microchip Technology in the first quarter valued at about $41,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

Microchip Technology Price Performance

Shares of MCHP stock traded up $0.00 during trading hours on Tuesday, hitting $65.40. The company's stock had a trading volume of 1,339,523 shares, compared to its average volume of 10,090,500. The business has a fifty day moving average of $67.03 and a 200-day moving average of $59.94. The stock has a market cap of $35.30 billion, a price-to-earnings ratio of -192.38, a P/E/G ratio of 1.87 and a beta of 1.56. Microchip Technology Incorporated has a twelve month low of $34.13 and a twelve month high of $81.64. The company has a current ratio of 2.31, a quick ratio of 1.33 and a debt-to-equity ratio of 0.80.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.27 EPS for the quarter, beating the consensus estimate of $0.24 by $0.03. The business had revenue of $1.08 billion for the quarter, compared to analyst estimates 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 quarterly revenue was down 13.3% on a year-over-year basis. During the same period in the prior year, the business earned $0.53 earnings per share. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. As a group, equities research analysts anticipate that Microchip Technology Incorporated will post 1.03 EPS for the current year.

Microchip Technology Dividend Announcement

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

Wall Street Analysts Forecast Growth

MCHP has been the subject of a number of research reports. Wall Street Zen raised shares of Microchip Technology from a "sell" rating to a "hold" rating in a report on Friday, June 27th. Evercore ISI boosted their price target on shares of Microchip Technology from $69.00 to $83.00 and gave the stock an "outperform" rating in a research note on Thursday, June 12th. Stifel Nicolaus boosted their price target on shares of Microchip Technology from $70.00 to $82.00 and gave the stock a "buy" rating in a research note on Friday, July 18th. Wells Fargo & Company assumed coverage on shares of Microchip Technology in a research note on Monday, September 15th. They set an "equal weight" rating and a $60.00 price target on the stock. Finally, The Goldman Sachs Group assumed coverage on shares of Microchip Technology in a research note on Thursday, July 10th. They set a "buy" rating and a $88.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and seven have given a Hold rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $75.75.

Insider Activity at Microchip Technology

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

Microchip Technology 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.