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 4.0 %
Microchip Technology stock opened at $70.69 on Thursday. Microchip Technology has a 52 week low of $54.33 and a 52 week high of $90.00. The company has a debt-to-equity ratio of 1.27, a quick ratio of 1.17 and a current ratio of 1.78. The firm has a market capitalization of $39.06 billion, a price-to-earnings ratio of 25.99, a P/E/G ratio of 0.91 and a beta of 1.62. The company has a 50 day moving average price of $63.51 and a 200 day moving average price of $68.26.
Microchip Technology (NASDAQ:MCHP - Get Rating) last issued its quarterly earnings results on Tuesday, August 2nd. The semiconductor company reported $1.37 earnings per share for the quarter, beating analysts' consensus estimates of $1.27 by $0.10. Microchip Technology had a return on equity of 44.90% and a net margin of 21.34%. During the same quarter in the prior year, the business earned $0.88 EPS. Research analysts forecast that Microchip Technology will post 5.38 EPS for the current year.
Microchip Technology Increases Dividend
The business also recently declared 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. This represents a $1.20 annualized dividend and a dividend yield of 1.70%. The ex-dividend date of this dividend is Thursday, August 18th. Microchip Technology's dividend payout ratio (DPR) is currently 40.44%.
Wall Street Analysts Forecast Growth
Several equities analysts have recently issued reports on the stock. Citigroup reduced their price target on shares of Microchip Technology from $78.00 to $72.00 in a report on Tuesday, May 10th. StockNews.com upgraded shares of Microchip Technology from a "hold" rating to a "buy" rating in a research report on Tuesday, May 17th. Mizuho lifted their price target on Microchip Technology from $72.00 to $75.00 and gave the company a "neutral" rating in a report on Wednesday, August 3rd. The Goldman Sachs Group lowered their target price on Microchip Technology from $76.00 to $61.00 in a research report on Friday, July 15th. Finally, B. Riley boosted their price target on Microchip Technology from $78.00 to $86.00 and gave the stock a "buy" rating in a research report on Wednesday, August 3rd. Four analysts have rated the stock with a hold rating, seventeen have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $89.73.
Insider Activity at Microchip Technology
In related news, CEO Ganesh Moorthy bought 8,000 shares of the business's stock in a transaction on Friday, June 17th. The stock was bought at an average price of $57.29 per share, for a total transaction of $458,320.00. Following the transaction, the chief executive officer now directly owns 720,313 shares in the company, valued at $41,266,731.77. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. In other news, Director Karlton D. Johnson sold 594 shares of Microchip Technology stock in a transaction dated Friday, May 13th. The stock was sold at an average price of $67.35, for a total transaction of $40,005.90. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Ganesh Moorthy purchased 8,000 shares of the stock in a transaction that occurred on Friday, June 17th. The stock was purchased at an average cost of $57.29 per share, with a total value of $458,320.00. Following the purchase, the chief executive officer now owns 720,313 shares in the company, valued at approximately $41,266,731.77. The disclosure for this purchase can be found here. Over the last three months, insiders have sold 9,564 shares of company stock valued at $637,217. Corporate insiders own 2.00% of the company's stock.
