Microchip Technology Incorporated (NASDAQ:MCHP) Expected to Post Q1 2025 Earnings of $0.48 Per Share

Microchip Technology Incorporated (NASDAQ:MCHP) – Zacks Research decreased their Q1 2025 earnings per share estimates for Microchip Technology in a report released on Monday, May 27th. Zacks Research analyst A. Ganguly now expects that the semiconductor company will post earnings of $0.48 per share for the quarter, down from their previous estimate of $0.59. The consensus estimate for Microchip Technology’s current full-year earnings is $2.35 per share. Zacks Research also issued estimates for Microchip Technology’s Q2 2025 earnings at $0.55 EPS, Q3 2025 earnings at $0.61 EPS, Q4 2025 earnings at $0.58 EPS, FY2025 earnings at $2.22 EPS, Q1 2026 earnings at $0.64 EPS, Q2 2026 earnings at $0.78 EPS, Q3 2026 earnings at $1.00 EPS, Q4 2026 earnings at $1.06 EPS, FY2026 earnings at $3.48 EPS and FY2027 earnings at $4.48 EPS.

Several other analysts have also recently commented on the company. Citigroup boosted their price target on Microchip Technology from $100.00 to $104.00 and gave the stock a “buy” rating in a research report on Tuesday, May 7th. Susquehanna boosted their price objective on Microchip Technology from $100.00 to $105.00 and gave the stock a “positive” rating in a research note on Tuesday, May 7th. Mizuho raised Microchip Technology from a “neutral” rating to a “buy” rating and boosted their price objective for the stock from $85.00 to $115.00 in a research note on Friday, May 24th. Piper Sandler reissued a “neutral” rating and set a $90.00 price objective (up previously from $80.00) on shares of Microchip Technology in a research note on Tuesday, May 7th. Finally, KeyCorp boosted their price objective on Microchip Technology from $90.00 to $110.00 and gave the stock an “overweight” rating in a research note on Tuesday, May 7th. Five analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $101.06.

Microchip Technology Stock Up 0.9 %

Shares of MCHP opened at $97.23 on Thursday. The company has a debt-to-equity ratio of 0.75, a quick ratio of 0.67 and a current ratio of 1.20. Microchip Technology has a one year low of $68.75 and a one year high of $100.57. The stock has a market capitalization of $52.20 billion, a price-to-earnings ratio of 28.02 and a beta of 1.60. The stock has a 50 day moving average price of $91.10 and a 200 day moving average price of $87.91.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings results on Monday, May 6th. The semiconductor company reported $0.57 EPS for the quarter, hitting the consensus estimate of $0.57. Microchip Technology had a return on equity of 36.78% and a net margin of 24.98%. The firm had revenue of $1.33 billion during the quarter, compared to analysts’ expectations of $1.33 billion. During the same period in the previous year, the business earned $1.56 earnings per share. The firm’s revenue for the quarter was down 40.6% on a year-over-year basis.

Microchip Technology Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, June 5th. Investors of record on Wednesday, May 22nd will be issued a dividend of $0.452 per share. This represents a $1.81 dividend on an annualized basis and a yield of 1.86%. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45. The ex-dividend date is Tuesday, May 21st. Microchip Technology’s dividend payout ratio (DPR) is 51.87%.

Insider Activity at Microchip Technology

In related news, VP Stephen V. Drehobl sold 10,000 shares of the firm’s stock in a transaction dated Wednesday, May 8th. The stock was sold at an average price of $90.88, for a total transaction of $908,800.00. Following the completion of the transaction, the vice president now directly owns 82,203 shares in the company, valued at approximately $7,470,608.64. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, VP Stephen V. Drehobl sold 10,000 shares of the firm’s stock in a transaction dated Wednesday, May 8th. The stock was sold at an average price of $90.88, for a total transaction of $908,800.00. Following the completion of the transaction, the vice president now directly owns 82,203 shares in the company, valued at approximately $7,470,608.64. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO James Eric Bjornholt sold 3,188 shares of the firm’s stock in a transaction dated Thursday, May 23rd. The shares were sold at an average price of $99.98, for a total value of $318,736.24. Following the transaction, the chief financial officer now owns 33,257 shares of the company’s stock, valued at $3,325,034.86. The disclosure for this sale can be found here. Insiders sold 21,018 shares of company stock worth $1,971,856 in the last three months. 2.07% of the stock is owned by company insiders.

Institutional Investors Weigh In On Microchip Technology

A number of hedge funds have recently bought and sold shares of MCHP. Norges Bank acquired a new stake in Microchip Technology in the 4th quarter valued at about $672,196,000. Mizuho Markets Americas LLC acquired a new stake in Microchip Technology in the 3rd quarter valued at about $225,800,000. Clearbridge Investments LLC raised its position in shares of Microchip Technology by 18,944.8% during the 1st quarter. Clearbridge Investments LLC now owns 1,973,045 shares of the semiconductor company’s stock worth $177,002,000 after acquiring an additional 1,962,685 shares in the last quarter. Vanguard Group Inc. raised its position in shares of Microchip Technology by 2.9% during the 1st quarter. Vanguard Group Inc. now owns 68,583,723 shares of the semiconductor company’s stock worth $6,152,646,000 after acquiring an additional 1,921,497 shares in the last quarter. Finally, Truist Financial Corp raised its position in shares of Microchip Technology by 324.0% during the 4th quarter. Truist Financial Corp now owns 1,815,013 shares of the semiconductor company’s stock worth $163,678,000 after acquiring an additional 1,386,924 shares in the last quarter. Institutional investors and hedge funds own 91.51% of the company’s stock.

About Microchip Technology

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.