Truist Financial Corp Sells 12,683 Shares of Microchip Technology Incorporated $MCHP

Key Points

• Truist Financial Corp reduced its stake in Microchip Technology by 5.1%, selling 12,683 shares during the second quarter, leaving them with 233,908 shares valued at approximately $16.46 million.
• A number of analysts have issued ratings for Microchip Technology, with Goldman Sachs initiating coverage with a "buy" rating and a $88 target price, while the stock has a consensus rating of "Moderate Buy".
• The company reported a quarterly earnings of $0.27 EPS, exceeding expectations, but had revenue down 13.3% year-over-year, highlighting the challenges amid recent performance.

Truist Financial Corp lessened its position in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 5.1% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 233,908 shares of the semiconductor company's stock after selling 12,683 shares during the quarter. Truist Financial Corp's holdings in Microchip Technology were worth $16,460,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also bought and sold shares of the company. Garde Capital Inc. acquired a new stake in shares of Microchip Technology in the 1st quarter worth $30,000. MCF Advisors LLC increased its holdings in shares of Microchip Technology by 211.2% during the second quarter. MCF Advisors LLC now owns 473 shares of the semiconductor company's stock valued at $33,000 after acquiring an additional 321 shares in the last quarter. Carderock Capital Management Inc. acquired a new position in shares of Microchip Technology during the second quarter valued at about $39,000. WPG Advisers LLC acquired a new position in shares of Microchip Technology during the first quarter valued at about $40,000. Finally, Painted Porch Advisors LLC purchased a new stake in Microchip Technology during the 2nd quarter worth approximately $40,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities analysts recently issued reports on MCHP shares. The Goldman Sachs Group started coverage on Microchip Technology in a research note on Thursday, July 10th. They issued a "buy" rating and a $88.00 target price for the company. Truist Financial increased their price objective on Microchip Technology from $52.00 to $64.00 and gave the company a "hold" rating in a report on Wednesday, June 18th. Zacks Research lowered Microchip Technology from a "strong-buy" rating to a "hold" rating in a research report on Monday, August 18th. Piper Sandler upped their target price on Microchip Technology from $65.00 to $80.00 and gave the company an "overweight" rating in a research report on Friday, August 8th. Finally, UBS Group lifted their price objective on shares of Microchip Technology from $65.00 to $85.00 and gave the company a "buy" rating in a research note on Monday, July 7th. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $75.75.

Insider Transactions at Microchip Technology

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

Microchip Technology Price Performance

NASDAQ:MCHP opened at $66.54 on Friday. Microchip Technology Incorporated has a 12 month low of $34.13 and a 12 month high of $79.53. The stock has a 50 day moving average of $65.67 and a two-hundred day moving average of $60.58. The company has a current ratio of 2.31, a quick ratio of 1.33 and a debt-to-equity ratio of 0.80. The firm has a market cap of $35.91 billion, a P/E ratio of -195.71, a price-to-earnings-growth ratio of 1.89 and a beta of 1.55.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.24 by $0.03. The firm had revenue of $1.08 billion for the quarter, compared to analyst estimates of $1.05 billion. Microchip Technology had a positive return on equity of 6.24% and a negative net margin of 3.50%.The business's revenue was down 13.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.53 earnings per share. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. On average, analysts expect that Microchip Technology Incorporated will post 1.03 earnings per share for the current fiscal year.

Microchip Technology Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, September 5th. Shareholders of record on Friday, August 22nd were issued a $0.455 dividend. The ex-dividend date was Friday, August 22nd. This represents a $1.82 dividend on an annualized basis and a yield of 2.7%. Microchip Technology's dividend payout ratio (DPR) is presently -535.29%.

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.

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