Microchip Technology (NASDAQ:MCHP) Price Target Raised to $120.00 at JPMorgan Chase & Co.

Key Points

• JPMorgan raised its price target on Microchip to $120 (from $95) with an "overweight" rating, and several other firms also upped targets to $120, implying significant analyst optimism and roughly a 23% upside from the prior price.
• Microchip beat Q4 estimates with revenue up ~35% year‑over‑year and EPS of $0.57 (vs. $0.50 consensus), issued fiscal Q1 guidance of $0.67–$0.71 EPS and declared a quarterly dividend of $0.455 per share, supporting the positive analyst revisions.
• Despite the beats and upgrades, shares traded down to $97.53 on the day; insiders have been net sellers recently (CEO sold 76,469 shares under a 10b5‑1 plan and 526,552 shares sold in the last 90 days), while the MarketBeat consensus remains a "Moderate Buy" with an average target near $92.87.

Microchip Technology (NASDAQ:MCHP - Get Free Report) had its price target upped by equities research analysts at JPMorgan Chase & Co. from $95.00 to $120.00 in a research note issued on Friday,Benzinga reports. The firm presently has an "overweight" rating on the semiconductor company's stock. JPMorgan Chase & Co.'s target price would suggest a potential upside of 23.04% from the stock's current price.

Other analysts have also issued reports about the stock. Citigroup decreased their price target on shares of Microchip Technology from $92.00 to $91.00 and set a "buy" rating for the company in a research report on Friday, February 6th. Weiss Ratings upgraded shares of Microchip Technology from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Friday, April 24th. Rosenblatt Securities increased their target price on shares of Microchip Technology from $115.00 to $120.00 and gave the company a "buy" rating in a research report on Friday. Zacks Research downgraded shares of Microchip Technology from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, February 24th. Finally, Jefferies Financial Group reaffirmed a "hold" rating on shares of Microchip Technology in a report on Wednesday, February 4th. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat.com, Microchip Technology currently has a consensus rating of "Moderate Buy" and an average target price of $92.87.

Microchip Technology Stock Down 4.0%

Shares of NASDAQ:MCHP traded down $4.05 on Friday, reaching $97.53. The company had a trading volume of 9,618,806 shares, compared to its average volume of 9,508,697. The firm has a market capitalization of $52.78 billion, a PE ratio of -336.14, a PEG ratio of 1.38 and a beta of 1.75. The company has a current ratio of 2.16, a quick ratio of 1.16 and a debt-to-equity ratio of 0.82. Microchip Technology has a 52-week low of $48.52 and a 52-week high of $105.91. The firm's 50 day simple moving average is $73.27 and its 200-day simple moving average is $69.20.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share for the quarter, topping analysts' consensus estimates of $0.50 by $0.07. Microchip Technology had a positive return on equity of 7.16% and a negative net margin of 1.57%.The firm had revenue of $1.31 billion during the quarter, compared to analysts' expectations of $1.26 billion. During the same period in the prior year, the business posted $0.11 EPS. The firm's quarterly revenue was up 35.1% on a year-over-year basis. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. As a group, analysts expect that Microchip Technology will post 1.16 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Steve Sanghi sold 76,469 shares of Microchip Technology stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $93.58, for a total value of $7,155,969.02. Following the completion of the sale, the chief executive officer directly owned 9,385,834 shares in the company, valued at $878,326,345.72. This trade represents a 0.81% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 526,552 shares of company stock valued at $47,130,465. 1.94% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. AQR Capital Management LLC lifted its position in Microchip Technology by 51.3% during the 1st quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company's stock worth $827,000 after acquiring an additional 5,835 shares during the period. Geneos Wealth Management Inc. increased its holdings in shares of Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company's stock valued at $59,000 after purchasing an additional 616 shares during the period. Cresset Asset Management LLC raised its stake in shares of Microchip Technology by 5.4% in the second quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company's stock worth $805,000 after purchasing an additional 589 shares during the last quarter. AXA S.A. lifted its holdings in shares of Microchip Technology by 21.3% during the second quarter. AXA S.A. now owns 51,552 shares of the semiconductor company's stock worth $3,628,000 after purchasing an additional 9,043 shares during the period. Finally, Treasurer of the State of North Carolina lifted its holdings in shares of Microchip Technology by 1.6% during the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company's stock worth $17,348,000 after purchasing an additional 3,851 shares during the period. Hedge funds and other institutional investors own 91.51% of the company's stock.

More Microchip Technology News

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Q4 results and guidance: Microchip reported +35% y/y revenue, beat EPS/revenue estimates and issued fiscal Q1 revenue and EPS guidance above consensus — the fundamentals drove after‑hours strength. Financial Results
• Positive Sentiment: Analyst upgrades/push to higher targets: Several firms (Needham, Rosenblatt, Susquehanna and others) raised price targets — some to $120 — reflecting improved demand visibility and lifted forecasts. Analyst Boosts
• Positive Sentiment: Dividend increase/confirmation: Board declared a quarterly cash dividend of $0.455 per share (payable June 5; ex‑dividend May 22), supporting income investor interest. Dividend Announcement
• Positive Sentiment: Product and market catalysts: New Ethernet PHYs for automotive/industrial and timing modules for data centers (with Intel collaboration) highlight traction in automotive, industrial and AI/data‑center end markets. Product News
• Neutral Sentiment: Unusual options activity: Extremely large call‑option volume (big multiple above average) indicates short‑term speculative bullish bets — this can amplify intraday moves but is not a fundamental signal.
• Negative Sentiment: Cautious analyst view despite higher target: Wells Fargo raised its target but kept an "equal weight" rating and a $95 target (below the recent share level), which signals some analyst caution. Wells Fargo Note
• Negative Sentiment: Profit‑taking / valuation risk after big run: The stock has rallied sharply in recent weeks; some investors may be locking gains, raising near‑term downside risk despite the beat. Valuation Note

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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