SBI Okasan Asset Management Co.Ltd. Takes Position in Microchip Technology Incorporated $MCHP

Key Points

• SBI Okasan Asset Management bought a new stake in Microchip Technology during the fourth quarter, purchasing 20,000 shares valued at about $1.29 million.
• Institutional interest in MCHP remains high, with hedge funds and other investors owning 91.51% of the company; several firms also increased their positions in recent quarters.
• Microchip reported better-than-expected earnings and revenue for the latest quarter, and analysts have stayed constructive overall with an average rating of Moderate Buy and a target price of $97.52.

SBI Okasan Asset Management Co.Ltd. bought a new stake in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) during the 4th quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm bought 20,000 shares of the semiconductor company's stock, valued at approximately $1,293,000.

Several other hedge funds and other institutional investors have also made changes to their positions in MCHP. AQR Capital Management LLC lifted its position in shares of Microchip Technology by 51.3% in the first quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company's stock valued at $827,000 after acquiring an additional 5,835 shares in the last quarter. Geneos Wealth Management Inc. increased its holdings in shares of Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company's stock valued at $59,000 after purchasing an additional 616 shares during the last quarter. Cresset Asset Management LLC increased its holdings in shares of Microchip Technology by 5.4% in the second quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company's stock valued at $805,000 after purchasing an additional 589 shares during the last quarter. AXA S.A. increased its holdings in shares of Microchip Technology by 21.3% in the second quarter. AXA S.A. now owns 51,552 shares of the semiconductor company's stock valued at $3,628,000 after purchasing an additional 9,043 shares during the last quarter. Finally, Treasurer of the State of North Carolina increased its holdings in shares of Microchip Technology by 1.6% in the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company's stock valued at $17,348,000 after purchasing an additional 3,851 shares during the last quarter. Hedge funds and other institutional investors own 91.51% of the company's stock.

Insider Transactions at Microchip Technology

In other news, COO Richard J. Simoncic sold 5,000 shares of Microchip Technology stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $93.44, for a total value of $467,200.00. Following the completion of the sale, the chief operating officer directly owned 135,508 shares of the company's stock, valued at approximately $12,661,867.52. The trade was a 3.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO James Eric Bjornholt sold 3,667 shares of Microchip Technology stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $90.87, for a total value of $333,220.29. Following the completion of the sale, the chief financial officer directly owned 28,573 shares of the company's stock, valued at $2,596,428.51. The trade was a 11.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 545,302 shares of company stock valued at $48,893,475. Corporate insiders own 1.94% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on MCHP shares. Argus raised Microchip Technology to a "strong-buy" rating in a report on Monday, February 9th. Rosenblatt Securities increased their price target on Microchip Technology from $115.00 to $120.00 and gave the company a "buy" rating in a report on Friday, May 8th. Wells Fargo & Company increased their price target on Microchip Technology from $75.00 to $95.00 and gave the company an "equal weight" rating in a report on Friday, May 8th. Mizuho increased their price target on Microchip Technology from $83.00 to $90.00 and gave the company an "outperform" rating in a report on Friday, February 6th. Finally, Barclays increased their price target on Microchip Technology from $80.00 to $105.00 and gave the company an "equal weight" rating in a report on Monday, May 11th. Four equities research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Microchip Technology has an average rating of "Moderate Buy" and an average target price of $97.52.

Microchip Technology Price Performance

MCHP stock opened at $96.04 on Friday. The business has a fifty day moving average of $81.44 and a two-hundred day moving average of $72.65. 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 stock has a market cap of $52.06 billion, a price-to-earnings ratio of 457.36, a price-to-earnings-growth ratio of 1.02 and a beta of 1.75. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last posted its earnings results 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. The company had revenue of $1.31 billion during the quarter, compared to analysts' expectations of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The firm's quarterly revenue was up 35.1% compared to the same quarter last year. During the same quarter last year, the firm earned $0.11 earnings per share. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. As a group, research analysts anticipate that Microchip Technology Incorporated will post 2.58 earnings per share for the current year.

Microchip Technology Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Friday, May 22nd will be paid a $0.455 dividend. The ex-dividend date of this dividend is Friday, May 22nd. This represents a $1.82 dividend on an annualized basis and a dividend yield of 1.9%. Microchip Technology's payout ratio is presently 866.67%.

Key Microchip Technology News

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Microchip’s presentation at TD Cowen’s Technology, Media & Telecom Conference kept investor focus on management’s latest outlook and execution, which can reinforce confidence in the company’s AI, data center, and industrial demand story. Microchip Technology Incorporated (MCHP) Presents at TD Cowen's 54th Annual Technology, Media & Telecom Conference Transcript
• Positive Sentiment: New commentary highlighted Microchip as an AI semiconductor beneficiary, citing strong demand trends and improving operating leverage after its recent earnings beat, which supports the bullish case for the stock. Microchip Technology Incorporated (MCHP) Capitalizes on Data Center and AI Boom
• Positive Sentiment: Technical coverage said MCHP recently moved above its 20-day moving average, signaling short-term momentum and suggesting traders are seeing a bullish breakout. Microchip Technology (MCHP) Recently Broke Out Above the 20-Day Moving Average
• Positive Sentiment: Analyst sentiment remains constructive, with several firms reiterating buy ratings and raising price targets after the earnings report, reflecting confidence in the company’s growth and outlook. Why These 3 Automotive & Industrial Chip Stocks Just Soared
• Neutral Sentiment: Microchip was also mentioned in broader “AI stock” and “AI chip” lists, which adds visibility but does not by itself change the company’s fundamentals. 5 AI Stocks to Buy as Markets Defy "Sell in May and Go Away" Adage
• Negative Sentiment: Recent insider selling by the CFO and COO may create some caution among investors, even though the trades were small and the CFO sale was made under a pre-arranged 10b5-1 plan. Insider Selling: Microchip Technology NASDAQ: MCHP CFO Sells 3,667 Shares of Stock

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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