XTX Topco Ltd Acquires Shares of 131,847 Microchip Technology Incorporated (NASDAQ:MCHP)

Key Points

• XTX Topco Ltd has invested approximately $6.38 million in Microchip Technology, acquiring 131,847 shares, which constitutes around 0.3% of its holdings.
• In the latest quarter, Microchip Technology reported a positive earnings per share (EPS) of $0.11, exceeding analysts' expectations, but revenue decreased by 26.8% compared to the same quarter last year.
• The company recently announced a quarterly dividend of $0.455 per share, giving an annual yield of 2.58% and demonstrating a significant dividend payout ratio of -18,200.00%.

XTX Topco Ltd acquired a new stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP - Free Report) in the first quarter, according to the company in its most recent filing with the SEC. The firm acquired 131,847 shares of the semiconductor company's stock, valued at approximately $6,383,000. Microchip Technology makes up 0.3% of XTX Topco Ltd's holdings, making the stock its 22nd biggest position.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Barrow Hanley Mewhinney & Strauss LLC increased its position in shares of Microchip Technology by 273.2% during 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 purchasing an additional 3,912,895 shares in the last quarter. Franklin Resources Inc. grew its stake in Microchip Technology by 90.0% during the 4th quarter. Franklin Resources Inc. now owns 6,360,805 shares of the semiconductor company's stock worth $364,792,000 after buying an additional 3,013,162 shares during the last quarter. Meritage Group LP acquired a new position in Microchip Technology during the 4th quarter valued at about $145,033,000. Fiduciary Management Inc. WI purchased a new stake in Microchip Technology in the fourth quarter valued at about $119,431,000. Finally, Two Sigma Investments LP acquired a new stake in Microchip Technology in the fourth quarter worth about $93,196,000. Institutional investors own 91.51% of the company's stock.

Wall Street Analyst Weigh In

MCHP has been the topic of several research analyst reports. Needham & Company LLC reissued a "buy" rating and set a $66.00 target price on shares of Microchip Technology in a research report on Friday, May 9th. Susquehanna upped their price target on Microchip Technology from $60.00 to $90.00 and gave the stock a "positive" rating in a report on Tuesday, July 22nd. Morgan Stanley raised their price target on shares of Microchip Technology from $39.00 to $50.00 and gave the company an "equal weight" rating in a research note on Friday, May 9th. TD Cowen raised their target price on shares of Microchip Technology from $35.00 to $55.00 and gave the stock a "hold" rating in a research note on Friday, May 9th. Finally, Citigroup raised their price objective on shares of Microchip Technology from $68.00 to $90.00 and gave the stock a "buy" rating in a research report on Monday, July 7th. Six investment analysts have rated the stock with a hold rating, fourteen have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $75.70.

Insider Activity

In related news, Director Karlton D. Johnson sold 494 shares of the firm's stock in a transaction that occurred 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 sale, the director directly owned 3,468 shares of the company's stock, valued at approximately $210,472.92. This trade represents a 12.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO James Eric Bjornholt sold 2,015 shares of the firm's stock in a transaction dated Friday, May 23rd. The stock was sold at an average price of $55.78, for a total value of $112,396.70. Following the completion of 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 disclosure for this sale can be found here. 1.94% of the stock is owned by corporate insiders.

Microchip Technology Stock Down 1.8%

NASDAQ:MCHP traded down $1.23 during trading hours on Friday, hitting $66.36. The company's stock had a trading volume of 11,541,664 shares, compared to its average volume of 10,515,413. The stock has a market capitalization of $35.81 billion, a P/E ratio of -6,636.00, a price-to-earnings-growth ratio of 2.03 and a beta of 1.52. Microchip Technology Incorporated has a 52-week low of $34.13 and a 52-week high of $82.87. The company has a current ratio of 2.59, a quick ratio of 1.47 and a debt-to-equity ratio of 0.80. The stock has a fifty day moving average of $68.64 and a 200-day moving average of $57.76.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings results on Thursday, May 8th. The semiconductor company reported $0.11 earnings per share for the quarter, topping analysts' consensus estimates of $0.10 by $0.01. Microchip Technology had a negative net margin of 0.01% and a positive return on equity of 8.55%. The firm had revenue of $970.50 million during the quarter, compared to analysts' expectations of $962.86 million. During the same quarter in the prior year, the business earned $0.57 EPS. Microchip Technology's quarterly revenue was down 26.8% compared to the same quarter last year. On average, equities analysts forecast that Microchip Technology Incorporated will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 5th. Shareholders of record on Thursday, May 22nd were issued a $0.455 dividend. This represents a $1.82 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend was Thursday, May 22nd. Microchip Technology's dividend payout ratio is -18,200.00%.

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.