Microchip Technology (NASDAQ:MCHP) Hits New 12-Month High After Dividend Announcement

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Tuesday after the company announced a dividend. The company traded as high as $96.14 and last traded at $92.72, with a volume of 832035 shares changing hands. The stock had previously closed at $93.76.

The newly announced dividend which will be paid on Wednesday, June 5th. Shareholders of record on Wednesday, May 22nd will be paid a dividend of $0.452 per share. The ex-dividend date of this dividend is Tuesday, May 21st. This is an increase from Microchip Technology's previous quarterly dividend of $0.45. This represents a $1.81 dividend on an annualized basis and a yield of 1.96%. Microchip Technology's payout ratio is 42.06%.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the stock. Citigroup boosted their price target on shares of Microchip Technology from $100.00 to $104.00 and gave the company a "buy" rating in a research note on Tuesday. UBS Group boosted their price target on shares of Microchip Technology from $95.00 to $103.00 and gave the stock a "buy" rating in a report on Tuesday. TD Cowen boosted their price target on shares of Microchip Technology from $80.00 to $90.00 and gave the stock a "hold" rating in a report on Tuesday. Wolfe Research upgraded shares of Microchip Technology from a "peer perform" rating to an "outperform" rating and set a $105.00 price target for the company in a report on Thursday, January 18th. Finally, Truist Financial boosted their price target on shares of Microchip Technology from $93.00 to $96.00 and gave the stock a "buy" rating in a report on Tuesday. Six equities research analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $98.47.

Microchip Technology Stock Performance

The company has a quick ratio of 0.58, a current ratio of 0.98 and a debt-to-equity ratio of 0.57. The stock has a fifty day moving average of $88.45 and a 200-day moving average of $85.37. The stock has a market cap of $49.75 billion, a PE ratio of 21.51, a price-to-earnings-growth ratio of 2.79 and a beta of 1.60.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its quarterly earnings results on Monday, May 6th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.57. Microchip Technology had a return on equity of 45.59% and a net margin of 27.59%. The firm had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.33 billion. During the same quarter last year, the company posted $1.56 earnings per share. The business's revenue was down 40.6% on a year-over-year basis. On average, equities analysts forecast that Microchip Technology Incorporated will post 4.64 EPS for the current year.

Insider Buying and Selling

In other Microchip Technology news, CFO James Eric Bjornholt sold 1,970 shares of Microchip Technology stock in a transaction that occurred on Friday, February 23rd. The stock was sold at an average price of $83.90, for a total value of $165,283.00. Following the sale, the chief financial officer now owns 32,893 shares of the company's stock, valued at approximately $2,759,722.70. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Corporate insiders own 2.07% of the company's stock.

Institutional Investors Weigh In On Microchip Technology

A number of institutional investors have recently added to or reduced their stakes in MCHP. Cambridge Investment Research Advisors Inc. increased its stake in Microchip Technology by 4.7% in the 3rd quarter. Cambridge Investment Research Advisors Inc. now owns 39,162 shares of the semiconductor company's stock valued at $3,057,000 after purchasing an additional 1,769 shares in the last quarter. Stratos Wealth Partners LTD. increased its position in shares of Microchip Technology by 7.1% in the third quarter. Stratos Wealth Partners LTD. now owns 5,799 shares of the semiconductor company's stock valued at $453,000 after buying an additional 383 shares in the last quarter. Brown Advisory Inc. raised its stake in shares of Microchip Technology by 2.1% during the 3rd quarter. Brown Advisory Inc. now owns 104,768 shares of the semiconductor company's stock worth $8,177,000 after buying an additional 2,201 shares during the last quarter. Concord Wealth Partners boosted its position in shares of Microchip Technology by 1,871.2% in the 3rd quarter. Concord Wealth Partners now owns 1,025 shares of the semiconductor company's stock worth $80,000 after buying an additional 973 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its stake in Microchip Technology by 95.7% in the 3rd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 208,321 shares of the semiconductor company's stock valued at $16,259,000 after acquiring an additional 101,887 shares during the last quarter. Hedge funds and other institutional investors own 91.51% of the company's stock.

Microchip Technology Company Profile

Microchip Technology Incorporated develops, manufactures, and sells 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 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.