Microchip Technology Incorporated $MCHP Stock Holdings Lifted by Providence Capital Advisors LLC

Key Points

• Providence Capital Advisors LLC increased its stake in Microchip Technology by 39.4%, acquiring an additional 30,900 shares during the first quarter, bringing its total holdings to 109,300 shares valued at approximately $5.29 million.
• Several institutional investors have also boosted their positions in Microchip Technology, with Vanguard Group and Goldman Sachs increasing their share ownership significantly during the same period.
• Microchip Technology recently declared a quarterly dividend of $0.455 per share, reflecting an annualized dividend yield of 2.8%, despite a negative dividend payout ratio of -535.29%.

Providence Capital Advisors LLC boosted its stake in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 39.4% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 109,300 shares of the semiconductor company's stock after buying an additional 30,900 shares during the quarter. Providence Capital Advisors LLC's holdings in Microchip Technology were worth $5,291,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of MCHP. Garde Capital Inc. acquired a new position in shares of Microchip Technology in the first quarter worth $30,000. Orion Capital Management LLC acquired a new position in Microchip Technology during the fourth quarter worth about $41,000. Byrne Asset Management LLC acquired a new position in Microchip Technology during the first quarter worth about $41,000. GW&K Investment Management LLC lifted its holdings in shares of Microchip Technology by 161.0% in the first quarter. GW&K Investment Management LLC now owns 937 shares of the semiconductor company's stock valued at $45,000 after purchasing an additional 578 shares in the last quarter. Finally, American National Bank & Trust purchased a new position in shares of Microchip Technology during the first quarter valued at approximately $48,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

MCHP has been the topic of several recent analyst reports. B. Riley upped their price objective on shares of 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 price target on shares of Microchip Technology from $70.00 to $82.00 and gave the company a "buy" rating in a report on Friday, July 18th. Mizuho raised their price objective on shares of Microchip Technology from $78.00 to $85.00 and gave the stock an "outperform" rating in a report on Tuesday, July 8th. TD Cowen reduced their price target on shares of Microchip Technology from $75.00 to $60.00 and set a "hold" rating on the stock in a research report on Friday, August 8th. Finally, Raymond James Financial lifted their price objective on shares of Microchip Technology from $65.00 to $75.00 and gave the company a "strong-buy" rating in a research report on Friday, August 8th. Six equities research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, Microchip Technology currently has an average rating of "Moderate Buy" and an average price target of $76.58.

Microchip Technology Price Performance

Shares of MCHP traded down $0.28 during mid-day trading on Friday, hitting $65.71. The company's stock had a trading volume of 7,744,425 shares, compared to its average volume of 10,311,949. The firm has a 50-day moving average price of $69.75 and a 200 day moving average price of $58.38. The stock has a market capitalization of $35.46 billion, a price-to-earnings ratio of -193.26, a PEG ratio of 1.94 and a beta of 1.55. The company has a debt-to-equity ratio of 0.80, a current ratio of 2.31 and a quick ratio of 1.33. Microchip Technology Incorporated has a fifty-two week low of $34.13 and a fifty-two week high of $82.87.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.24 by $0.03. The company had revenue of $1.08 billion for the quarter, compared to analysts' expectations of $1.05 billion. Microchip Technology had a negative net margin of 3.50% and a positive return on equity of 6.24%. The business's revenue was down 13.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.53 EPS. On average, research analysts predict that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 5th. Stockholders of record on Friday, August 22nd will be paid a $0.455 dividend. The ex-dividend date of this dividend is Friday, August 22nd. This represents a $1.82 annualized dividend and a dividend yield of 2.8%. Microchip Technology's payout ratio is currently -535.29%.

Insider Activity at Microchip Technology

In other news, CFO James Eric Bjornholt sold 2,015 shares of Microchip Technology stock in a transaction that occurred on Friday, May 23rd. The shares were sold at an average price of $55.78, for a total value of $112,396.70. Following the transaction, the chief financial officer directly owned 34,313 shares of the company's stock, valued at $1,913,979.14. This trade represents a 5.55% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Karlton D. Johnson sold 494 shares of Microchip Technology stock in a transaction that occurred on 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 transaction, the director directly owned 3,468 shares in the company, valued at approximately $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. Insiders own 1.94% of the company's stock.

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.