Microchip Technology (NASDAQ:MCHP) Shares Gap Up to $95.78

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report)'s stock price gapped up before the market opened on Wednesday . The stock had previously closed at $95.78, but opened at $98.05. Microchip Technology shares last traded at $97.59, with a volume of 450,812 shares changing hands.

Analyst Ratings Changes

Several brokerages have recently issued reports on MCHP. Stifel Nicolaus lifted their target price on Microchip Technology from $98.00 to $102.00 and gave the stock a "buy" rating in a report on Wednesday, May 1st. Jefferies Financial Group began coverage on Microchip Technology in a report on Monday, May 13th. They issued a "buy" rating and a $115.00 target price on the stock. Truist Financial lifted their target price on Microchip Technology from $93.00 to $96.00 and gave the stock a "buy" rating in a report on Tuesday, May 7th. UBS Group lifted their target price on Microchip Technology from $95.00 to $103.00 and gave the stock a "buy" rating in a report on Tuesday, May 7th. Finally, Evercore ISI began coverage on Microchip Technology in a report on Tuesday, April 16th. They issued an "outperform" rating and a $106.00 target price on the stock. Six analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $99.39.

Microchip Technology Stock Up 3.9 %

The company has a 50-day simple moving average of $89.81 and a 200-day simple moving average of $86.92. The firm has a market cap of $53.76 billion, a PE ratio of 28.67, a price-to-earnings-growth ratio of 3.36 and a beta of 1.60. The company has a debt-to-equity ratio of 0.75, a current ratio of 1.20 and a quick ratio of 0.67.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its earnings results on Monday, May 6th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.57. Microchip Technology had a return on equity of 36.78% and a net margin of 24.98%. The business had revenue of $1.33 billion during the quarter, compared to analyst estimates of $1.33 billion. During the same quarter in the previous year, the business earned $1.56 earnings per share. The company's revenue for the quarter was down 40.6% compared to the same quarter last year. Analysts expect that Microchip Technology Incorporated will post 2.38 earnings per share for the current fiscal year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, June 5th. Shareholders of record on Wednesday, May 22nd will be given a dividend of $0.452 per share. This represents a $1.81 annualized dividend and a dividend yield of 1.82%. The ex-dividend date of this dividend is Tuesday, May 21st. This is a positive change from Microchip Technology's previous quarterly dividend of $0.45. Microchip Technology's payout ratio is 51.87%.

Insider Activity

In other news, VP Stephen V. Drehobl sold 10,000 shares of Microchip Technology stock in a transaction that occurred on Wednesday, May 8th. The shares were sold at an average price of $90.88, for a total transaction of $908,800.00. Following the completion of the sale, the vice president now owns 82,203 shares of the company's stock, valued at $7,470,608.64. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, VP Stephen V. Drehobl sold 10,000 shares of Microchip Technology stock in a transaction that occurred on Wednesday, May 8th. The shares were sold at an average price of $90.88, for a total transaction of $908,800.00. Following the completion of the sale, the vice president now owns 82,203 shares of the company's stock, valued at $7,470,608.64. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO James Eric Bjornholt sold 1,970 shares of Microchip Technology stock in a transaction that occurred on Friday, February 23rd. The shares were sold at an average price of $83.90, for a total transaction of $165,283.00. Following the sale, the chief financial officer now directly owns 32,893 shares of the company's stock, valued at approximately $2,759,722.70. The disclosure for this sale can be found here. Over the last quarter, insiders sold 19,800 shares of company stock valued at $1,818,403. Corporate insiders own 2.07% of the company's stock.

Hedge Funds Weigh In On Microchip Technology

A number of large investors have recently bought and sold shares of the business. Atria Investments Inc raised its stake in Microchip Technology by 5.9% in the first quarter. Atria Investments Inc now owns 104,370 shares of the semiconductor company's stock worth $9,373,000 after buying an additional 5,769 shares in the last quarter. Swedbank AB bought a new position in Microchip Technology in the first quarter worth approximately $1,079,000. WealthPlan Investment Management LLC raised its stake in Microchip Technology by 4.0% in the first quarter. WealthPlan Investment Management LLC now owns 48,779 shares of the semiconductor company's stock worth $4,376,000 after buying an additional 1,885 shares in the last quarter. Coppell Advisory Solutions Corp. bought a new position in Microchip Technology in the first quarter worth approximately $1,674,000. Finally, Tidal Investments LLC increased its position in shares of Microchip Technology by 17.7% during the first quarter. Tidal Investments LLC now owns 33,796 shares of the semiconductor company's stock worth $3,028,000 after purchasing an additional 5,094 shares in the last quarter. 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.