Microchip Technology (NASDAQ:MCHP) CFO James Eric Bjornholt Sells 4,112 Shares

Key Points

• Microchip CFO James Eric Bjornholt sold 4,112 shares at an average price of $75.32, generating approximately $309,716. The transaction, conducted under a Rule 10b5-1 plan, reduced his holdings by 12.58% to 28,573 shares.
• Microchip’s latest quarterly results exceeded expectations, with EPS of $0.76 versus a $0.70 consensus estimate and revenue of $1.48 billion. Revenue increased 38% year over year, and the company issued Q2 2027 EPS guidance of $0.91–$0.95.
• The stock recently traded near $74.05, while analysts maintained a “Moderate Buy” consensus and an average price target of $98.67. The company also declared a quarterly dividend of $0.455 per share, representing a 2.5% annualized yield.

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) CFO James Eric Bjornholt sold 4,112 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $75.32, for a total value of $309,715.84. Following the transaction, the chief financial officer owned 28,573 shares of the company's stock, valued at approximately $2,152,118.36. This trade represents a 12.58% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

James Eric Bjornholt also recently made the following trade(s):

• On Monday, August 17th, James Eric Bjornholt sold 837 shares of Microchip Technology stock. The stock was sold at an average price of $80.26, for a total value of $67,177.62.

Microchip Technology Stock Up 0.7%

Microchip Technology stock traded up $0.55 during midday trading on Wednesday, reaching $74.05. The stock had a trading volume of 6,223,328 shares, compared to its average volume of 10,494,195. The firm's fifty day simple moving average is $82.92 and its 200-day simple moving average is $81.43. Microchip Technology Incorporated has a 1-year low of $48.52 and a 1-year high of $105.91. The stock has a market capitalization of $40.21 billion, a P/E ratio of 110.52, a price-to-earnings-growth ratio of 0.51 and a beta of 1.76. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.11 and a current ratio of 1.92.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share for the quarter, topping analysts' consensus estimates of $0.70 by $0.06. The firm had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.46 billion. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%.The business's revenue was up 38.0% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.27 EPS. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. As a group, analysts expect that Microchip Technology Incorporated will post 3.16 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th will be paid a dividend of $0.455 per share. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date is Monday, August 24th. Microchip Technology's dividend payout ratio is currently 271.64%.

Institutional Investors Weigh In On Microchip Technology

A number of large investors have recently modified their holdings of the business. California State Teachers Retirement System lifted its holdings in Microchip Technology by 9,307.4% in the second quarter. California State Teachers Retirement System now owns 74,723,990 shares of the semiconductor company's stock valued at $6,814,828,000 after buying an additional 73,929,678 shares during the period. Norges Bank purchased a new position in Microchip Technology during the fourth quarter worth about $664,564,000. Barrow Hanley Mewhinney & Strauss LLC bought a new position in Microchip Technology during the second quarter valued at about $537,423,000. Barclays PLC grew its stake in shares of Microchip Technology by 66.5% during the 4th quarter. Barclays PLC now owns 13,996,883 shares of the semiconductor company's stock worth $891,881,000 after acquiring an additional 5,590,210 shares during the period. Finally, Legal & General Group Plc purchased a new stake in shares of Microchip Technology during the 2nd quarter valued at approximately $312,597,000. Institutional investors and hedge funds own 91.51% of the company's stock.

Wall Street Analyst Weigh In

Several research firms recently issued reports on MCHP. Needham & Company LLC upped their target price on Microchip Technology from $84.00 to $120.00 and gave the stock a "buy" rating in a report on Friday, May 8th. JPMorgan Chase & Co. raised their price target on Microchip Technology from $95.00 to $120.00 and gave the company an "overweight" rating in a research note on Friday, May 8th. Truist Financial cut their price objective on Microchip Technology from $105.00 to $90.00 and set a "hold" rating for the company in a report on Friday, August 7th. Zacks Research cut shares of Microchip Technology from a "strong-buy" rating to a "hold" rating in a research note on Monday, August 17th. Finally, Susquehanna boosted their target price on shares of Microchip Technology from $95.00 to $120.00 and gave the stock a "positive" rating in a report on Friday, May 8th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat.com, Microchip Technology has an average rating of "Moderate Buy" and a consensus price target of $98.67.

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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