The Goldman Sachs Group Initiates Coverage on Microchip Technology (NASDAQ:MCHP)

Equities research analysts at The Goldman Sachs Group began coverage on shares of Microchip Technology (NASDAQ:MCHP - Get Free Report) in a report released on Thursday, Marketbeat.com reports. The brokerage set a "buy" rating and a $88.00 price target on the semiconductor company's stock. The Goldman Sachs Group's target price would suggest a potential upside of 17.36% from the stock's previous close.

Several other equities analysts have also weighed in on the stock. Needham & Company LLC restated a "buy" rating and issued a $66.00 price objective on shares of Microchip Technology in a report on Friday, May 9th. KeyCorp boosted their target price on Microchip Technology from $70.00 to $85.00 and gave the stock an "overweight" rating in a research report on Tuesday. Morgan Stanley boosted their target price on Microchip Technology from $39.00 to $50.00 and gave the stock an "equal weight" rating in a research report on Friday, May 9th. Truist Financial boosted their target price on Microchip Technology from $52.00 to $64.00 and gave the stock a "hold" rating in a research report on Wednesday, June 18th. Finally, Raymond James Financial boosted their target price on 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 analysts have rated the stock with a hold rating, fourteen have given a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $75.10.

Microchip Technology Trading Down 0.1%

Shares of NASDAQ MCHP traded down $0.10 during midday trading on Thursday, hitting $74.98. The stock had a trading volume of 2,540,229 shares, compared to its average volume of 8,925,485. The company's 50-day simple moving average is $63.83 and its 200 day simple moving average is $56.23. The firm has a market cap of $40.47 billion, a P/E ratio of -7,503.20, a price-to-earnings-growth ratio of 2.22 and a beta of 1.52. Microchip Technology has a fifty-two week low of $34.13 and a fifty-two week high of $96.98. 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 earnings results on Thursday, May 8th. The semiconductor company reported $0.11 EPS for the quarter, beating the consensus estimate of $0.10 by $0.01. The company had revenue of $970.50 million during the quarter, compared to analysts' expectations of $962.86 million. Microchip Technology had a positive return on equity of 8.55% and a negative net margin of 0.01%. The business's revenue for the quarter was down 26.8% on a year-over-year basis. During the same period last year, the firm earned $0.57 EPS. Research analysts anticipate that Microchip Technology will post 1.03 EPS for the current year.

Insider Buying and Selling

In other news, Director Karlton D. Johnson sold 494 shares of the firm's stock in a transaction that occurred on Tuesday, May 20th. The stock was 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. This trade represents a 12.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CFO James Eric Bjornholt sold 2,015 shares of the company's stock in a transaction dated Friday, May 23rd. The shares were sold at an average price of $55.78, for a total transaction 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 position. The disclosure for this sale can be found here. Company insiders own 2.10% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. grew its stake in Microchip Technology by 0.6% in the 1st quarter. Vanguard Group Inc. now owns 69,302,614 shares of the semiconductor company's stock valued at $3,354,940,000 after buying an additional 390,269 shares during the last quarter. Invesco Ltd. lifted its holdings in shares of Microchip Technology by 63.0% during the first quarter. Invesco Ltd. now owns 16,707,031 shares of the semiconductor company's stock worth $808,787,000 after buying an additional 6,459,123 shares in the last quarter. T. Rowe Price Investment Management Inc. lifted its holdings in shares of Microchip Technology by 0.9% during the first quarter. T. Rowe Price Investment Management Inc. now owns 16,630,574 shares of the semiconductor company's stock worth $805,087,000 after buying an additional 152,434 shares in the last quarter. Boston Partners lifted its holdings in shares of Microchip Technology by 35.3% during the first quarter. Boston Partners now owns 10,726,413 shares of the semiconductor company's stock worth $517,082,000 after buying an additional 2,795,650 shares in the last quarter. Finally, Amundi lifted its holdings in shares of Microchip Technology by 22.7% during the first quarter. Amundi now owns 10,013,285 shares of the semiconductor company's stock worth $484,743,000 after buying an additional 1,849,866 shares in the last quarter. Institutional investors and hedge funds own 91.51% of the company's stock.

Microchip Technology Company 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.