Microchip Technology Incorporated (NASDAQ:MCHP) Receives Average Rating of "Moderate Buy" from Brokerages

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) has been assigned an average rating of "Moderate Buy" from the nineteen research firms that are currently covering the company, MarketBeat Ratings reports. Five analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and one has given a strong buy rating to the company. The average 1-year target price among brokers that have issued a report on the stock in the last year is $69.53.

Several research analysts have recently weighed in on MCHP shares. Raymond James Financial increased their price target on Microchip Technology from $60.00 to $65.00 and gave the stock a "strong-buy" rating in a research note on Friday, May 9th. Mizuho upped their price target on shares of Microchip Technology from $68.00 to $78.00 and gave the stock an "outperform" rating in a report on Thursday, June 12th. Stifel Nicolaus raised their target price on shares of Microchip Technology from $60.00 to $70.00 and gave the company a "buy" rating in a research note on Friday, May 9th. Citigroup increased their target price on Microchip Technology from $55.00 to $68.00 and gave the company a "buy" rating in a research note on Monday, June 9th. Finally, Morgan Stanley lifted their price target on shares of Microchip Technology from $39.00 to $50.00 and gave the stock an "equal weight" rating in a research note on Friday, May 9th.

Microchip Technology Price Performance

Shares of NASDAQ MCHP opened at $67.69 on Wednesday. The stock has a market cap of $36.51 billion, a price-to-earnings ratio of -6,769.00, a PEG ratio of 2.03 and a beta of 1.48. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.47 and a current ratio of 2.59. Microchip Technology has a fifty-two week low of $34.13 and a fifty-two week high of $96.98. The firm's 50-day simple moving average is $53.89 and its 200 day simple moving average is $54.90.

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

Microchip Technology Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, June 5th. Investors of record on Thursday, May 22nd were given a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a dividend yield of 2.69%. The ex-dividend date was Thursday, May 22nd. Microchip Technology's dividend payout ratio is currently -18,200.00%.

Insider Transactions at Microchip Technology

In other news, Director Karlton D. Johnson sold 494 shares of the company'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 transaction, the director now owns 3,468 shares in the company, valued at approximately $210,472.92. This represents a 12.47% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CFO James Eric Bjornholt sold 2,015 shares of the stock in a transaction on Friday, May 23rd. The shares were sold at an average price of $55.78, for a total value of $112,396.70. Following the sale, the chief financial officer now owns 34,313 shares in the company, valued at approximately $1,913,979.14. This represents a 5.55% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Microchip Technology

Large investors have recently bought and sold shares of the business. Federated Hermes Inc. increased its position in Microchip Technology by 0.5% during the fourth quarter. Federated Hermes Inc. now owns 39,298 shares of the semiconductor company's stock valued at $2,254,000 after acquiring an additional 209 shares during the last quarter. Northwest Bank & Trust Co lifted its holdings in shares of Microchip Technology by 3.0% in the fourth quarter. Northwest Bank & Trust Co now owns 7,392 shares of the semiconductor company's stock worth $424,000 after buying an additional 217 shares in the last quarter. Clearstead Trust LLC boosted its position in shares of Microchip Technology by 10.5% during the first quarter. Clearstead Trust LLC now owns 2,356 shares of the semiconductor company's stock worth $114,000 after acquiring an additional 224 shares during the last quarter. Oregon Public Employees Retirement Fund grew its stake in Microchip Technology by 0.5% during the first quarter. Oregon Public Employees Retirement Fund now owns 46,235 shares of the semiconductor company's stock valued at $2,238,000 after acquiring an additional 230 shares in the last quarter. Finally, Greenleaf Trust increased its holdings in Microchip Technology by 1.0% in the 1st quarter. Greenleaf Trust now owns 24,933 shares of the semiconductor company's stock valued at $1,207,000 after acquiring an additional 242 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors.

About Microchip Technology

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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