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 microprocessors markets; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications. It also provides development tools that enable system designers to program microcontroller and microprocessor products for specific applications; field-programmable gate array (FPGA) products; and analog, interface, mixed signal, and timing products comprising power management, linear, mixed-signal, high-voltage, thermal management, discrete diodes and metal oxide semiconductor field effect transistors (MOSFETS), radio frequency (RF), drivers, safety, security, timing, USB, Ethernet, wireless, and other interface products. In addition, the company offers memory products consisting of serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, serial static random access memories, and serial electrically erasable random access memories for the production of very small footprint devices; and licenses its SuperFlash embedded flash and NVM technologies to foundries, integrated device manufacturers, and design partners for use in the manufacture of microcontroller products, gate array, RF, analog, and neuromorphic compute products that require embedded non-volatile memory, as well as provides engineering services. Further, it offers wafer foundry and assembly, and test subcontracting manufacturing services; and timing systems products, application specific integrated circuits, and aerospace products. Microchip Technology Incorporated was incorporated in 1989 and is headquartered in Chandler, Arizona.
Microchip Technology Trading Up 1.4 %
NASDAQ:MCHP opened at $72.69 on Friday. The stock has a market cap of $40.16 billion, a price-to-earnings ratio of 26.72, a PEG ratio of 0.94 and a beta of 1.62. The company has a debt-to-equity ratio of 1.27, a quick ratio of 1.17 and a current ratio of 1.78. Microchip Technology has a 1 year low of $54.33 and a 1 year high of $90.00. The business has a fifty day moving average of $63.85 and a 200-day moving average of $68.22.
Microchip Technology (NASDAQ:MCHP - Get Rating) last posted its quarterly earnings data on Tuesday, August 2nd. The semiconductor company reported $1.37 earnings per share for the quarter, topping the consensus estimate of $1.27 by $0.10. Microchip Technology had a net margin of 21.34% and a return on equity of 44.90%. During the same period in the prior year, the company earned $0.88 earnings per share. Equities analysts predict that Microchip Technology will post 5.38 earnings per share for the current year.
Microchip Technology Increases Dividend
The company also recently announced a quarterly dividend, which will be paid on Friday, September 2nd. Investors of record on Friday, August 19th will be issued a dividend of $0.301 per share. This is a boost from Microchip Technology's previous quarterly dividend of $0.28. The ex-dividend date of this dividend is Thursday, August 18th. This represents a $1.20 annualized dividend and a yield of 1.66%. Microchip Technology's payout ratio is presently 40.44%.
Wall Street Analyst Weigh In
A number of research firms have commented on MCHP. Citigroup reduced their price objective on shares of Microchip Technology from $78.00 to $72.00 in a research note on Tuesday, May 10th. Morgan Stanley boosted their price objective on Microchip Technology from $81.00 to $82.00 and gave the company an "overweight" rating in a report on Wednesday, August 3rd. Bank of America reduced their target price on Microchip Technology from $85.00 to $74.00 and set a "buy" rating on the stock in a report on Wednesday, June 29th. Cowen lifted their target price on Microchip Technology from $60.00 to $72.00 and gave the stock an "outperform" rating in a research report on Wednesday, August 3rd. Finally, Wells Fargo & Company upped their price target on Microchip Technology from $60.00 to $75.00 and gave the company an "equal weight" rating in a research report on Wednesday, August 3rd. Four investment analysts have rated the stock with a hold rating, seventeen have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $89.73.
Insider Buying and Selling at Microchip Technology
In other news, VP Mitchell R. Little sold 3,674 shares of the business's stock in a transaction on Monday, May 23rd. The stock was sold at an average price of $66.66, for a total value of $244,908.84. Following the sale, the vice president now owns 13,056 shares of the company's stock, valued at approximately $870,312.96. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, VP Mitchell R. Little sold 3,674 shares of the firm's stock in a transaction dated Monday, May 23rd. The shares were sold at an average price of $66.66, for a total transaction of $244,908.84. Following the completion of the transaction, the vice president now owns 13,056 shares in the company, valued at approximately $870,312.96. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CEO Ganesh Moorthy acquired 8,000 shares of the stock in a transaction dated Friday, June 17th. The stock was acquired at an average cost of $57.29 per share, for a total transaction of $458,320.00. Following the purchase, the chief executive officer now directly owns 720,313 shares in the company, valued at $41,266,731.77. The disclosure for this purchase can be found here. In the last ninety days, insiders sold 7,000 shares of company stock valued at $466,620. 2.00% of the stock is owned by corporate insiders.
