Valley Wealth Managers Inc. Raises Position in Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• Valley Wealth Managers Inc. increased its stake in Microchip Technology by an astounding 10,921.0% in Q1, now owning 66,126 shares valued at $3.2 million.
• Several institutional investors, including the Teacher Retirement System of Texas and LPL Financial LLC, also significantly boosted their positions in Microchip Technology, indicating strong interest in the semiconductor company.
• Microchip Technology recently reported earnings of $0.11 per share for Q1, surpassing estimates, while also announcing a quarterly dividend of $0.455, yielding approximately 2.63%.

Valley Wealth Managers Inc. lifted its stake in Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) by 10,921.0% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 66,126 shares of the semiconductor company's stock after acquiring an additional 65,526 shares during the period. Valley Wealth Managers Inc.'s holdings in Microchip Technology were worth $3,201,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors also recently made changes to their positions in MCHP. Norges Bank acquired a new stake in shares of Microchip Technology during the fourth quarter valued at approximately $452,627,000. Barrow Hanley Mewhinney & Strauss LLC grew its position in Microchip Technology by 273.2% in the fourth quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 5,345,096 shares of the semiconductor company's stock worth $306,541,000 after acquiring an additional 3,912,895 shares in the last quarter. Franklin Resources Inc. grew its position in Microchip Technology by 90.0% in the fourth quarter. Franklin Resources Inc. now owns 6,360,805 shares of the semiconductor company's stock worth $364,792,000 after acquiring an additional 3,013,162 shares in the last quarter. Meritage Group LP bought a new stake in Microchip Technology in the fourth quarter worth approximately $145,033,000. Finally, Fiduciary Management Inc. WI bought a new stake in Microchip Technology in the fourth quarter worth approximately $119,431,000. 91.51% of the stock is owned by institutional investors and hedge funds.

Microchip Technology Stock Performance

NASDAQ MCHP traded up $0.20 during trading hours on Wednesday, hitting $70.88. The company's stock had a trading volume of 2,477,524 shares, compared to its average volume of 10,444,995. Microchip Technology Incorporated has a 12 month low of $34.13 and a 12 month high of $89.59. The company's 50 day simple moving average is $68.23 and its two-hundred day simple moving average is $57.59. The company has a market cap of $38.25 billion, a P/E ratio of -7,089.00, a price-to-earnings-growth ratio of 2.04 and a beta of 1.52. The company has a debt-to-equity ratio of 0.80, a current ratio of 2.59 and a quick ratio of 1.47.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The semiconductor company reported $0.11 EPS for the quarter, topping the consensus estimate of $0.10 by $0.01. Microchip Technology had a positive return on equity of 8.55% and a negative net margin of 0.01%. The company had revenue of $970.50 million during the quarter, compared to the consensus estimate of $962.86 million. During the same period last year, the company earned $0.57 EPS. Microchip Technology's revenue for the quarter was down 26.8% on a year-over-year basis. As a group, sell-side analysts expect that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 5th. Investors of record on Thursday, May 22nd were paid a dividend of $0.455 per share. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.57%. The ex-dividend date of this dividend was Thursday, May 22nd. Microchip Technology's dividend payout ratio (DPR) is currently -18,200.00%.

Wall Street Analysts Forecast Growth

MCHP has been the subject of a number of research reports. Stifel Nicolaus increased 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. Wall Street Zen upgraded shares of Microchip Technology from a "sell" rating to a "hold" rating in a report on Friday, June 27th. Evercore ISI upped their price objective on shares of Microchip Technology from $69.00 to $83.00 and gave the stock an "outperform" rating in a research report on Thursday, June 12th. UBS Group raised their price objective on shares of Microchip Technology from $65.00 to $85.00 and gave the company a "buy" rating in a report on Monday, July 7th. Finally, Raymond James Financial raised their price objective on shares of Microchip Technology from $60.00 to $65.00 and gave the stock a "strong-buy" rating in a research report on Friday, May 9th. Six investment analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, Microchip Technology currently has a consensus rating of "Moderate Buy" and a consensus price target of $75.70.

Insider Transactions at Microchip Technology

In related news, 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 transaction, the chief financial officer owned 34,313 shares in the company, valued at approximately $1,913,979.14. This trade represents a 5.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Karlton D. Johnson sold 494 shares of Microchip Technology stock in a transaction on 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 sale, the director directly owned 3,468 shares of the company's stock, valued at $210,472.92. The trade was a 12.47% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.94% of the stock is currently owned by corporate insiders.

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.