Wall Street Zen Downgrades Microchip Technology (NASDAQ:MCHP) to Sell

Microchip Technology (NASDAQ:MCHP - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued on Saturday.

MCHP has been the subject of several other reports. UBS Group upped their target price on shares of Microchip Technology from $60.00 to $65.00 and gave the company a "buy" rating in a research note on Friday, May 30th. Morgan Stanley upped their price target on shares of Microchip Technology from $39.00 to $50.00 and gave the company an "equal weight" rating in a report on Friday, May 9th. Truist Financial upped their price target on shares of Microchip Technology from $43.00 to $52.00 and gave the company a "hold" rating in a report on Friday, May 9th. Evercore ISI upped their price target on shares of Microchip Technology from $65.00 to $71.00 and gave the company an "outperform" rating in a report on Tuesday, March 4th. Finally, Citigroup upped their price target on shares of Microchip Technology from $50.00 to $55.00 and gave the company a "buy" rating in a report on Friday, May 9th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have given a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, Microchip Technology presently has a consensus rating of "Moderate Buy" and an average price target of $67.68.

Microchip Technology Price Performance

Shares of MCHP stock opened at $65.25 on Friday. The company has a market capitalization of $35.20 billion, a PE ratio of 116.52 and a beta of 1.48. The firm has a fifty day simple moving average of $49.94 and a 200-day simple moving average of $54.96. The company has a current ratio of 2.25, a quick ratio of 1.23 and a debt-to-equity ratio of 1.12. Microchip Technology has a twelve month low of $34.13 and a twelve month high of $96.98.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its earnings results on Thursday, May 8th. The semiconductor company reported $0.11 earnings per share for the quarter, beating the consensus estimate of $0.10 by $0.01. The business had revenue of $970.50 million during the quarter, compared to the consensus estimate of $962.86 million. Microchip Technology had a net margin of 6.49% and a return on equity of 12.62%. The business's quarterly revenue was down 26.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.57 earnings per share. Equities research analysts anticipate that Microchip Technology will post 1.03 earnings per share for the current fiscal year.

Insider Transactions at Microchip Technology

In other news, Director Karlton D. Johnson sold 494 shares of the company's stock in a transaction dated Tuesday, May 20th. The shares were sold at an average price of $60.69, for a total transaction of $29,980.86. Following the completion of 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO James Eric Bjornholt sold 2,015 shares of the 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 now owns 34,313 shares of the company's stock, valued at $1,913,979.14. This represents a 5.55% decrease in their position. The disclosure for this sale can be found here. Insiders own 2.10% of the company's stock.

Hedge Funds Weigh In On Microchip Technology

Institutional investors and hedge funds have recently bought and sold shares of the stock. Consolidated Planning Corp bought a new position in Microchip Technology in the 4th quarter valued at about $308,000. one8zero8 LLC bought a new position in Microchip Technology in the 4th quarter valued at about $384,000. Truist Financial Corp grew its position in Microchip Technology by 5.8% in the 4th quarter. Truist Financial Corp now owns 959,439 shares of the semiconductor company's stock valued at $55,024,000 after buying an additional 52,222 shares in the last quarter. Vanguard Group Inc. grew its position in Microchip Technology by 0.8% in the 4th quarter. Vanguard Group Inc. now owns 68,912,345 shares of the semiconductor company's stock valued at $3,952,123,000 after buying an additional 569,699 shares in the last quarter. Finally, Franklin Resources Inc. grew its position in Microchip Technology by 90.0% in the 4th quarter. Franklin Resources Inc. now owns 6,360,805 shares of the semiconductor company's stock valued at $364,792,000 after buying an additional 3,013,162 shares in the last quarter. Institutional investors 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.

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