Morgan Stanley Lowers Microchip Technology (NASDAQ:MCHP) to Equal Weight

Microchip Technology (NASDAQ:MCHP) was downgraded by stock analysts at Morgan Stanley from an “overweight” rating to an “equal weight” rating in a research note issued to investors on Thursday, MarketBeat.com reports. They currently have a $100.00 price objective on the semiconductor company’s stock, down from their previous price objective of $102.00. Morgan Stanley’s price target indicates a potential upside of 7.98% from the stock’s current price.

Other analysts also recently issued reports about the stock. Piper Sandler reaffirmed a “neutral” rating and set a $90.00 price objective (up from $80.00) on shares of Microchip Technology in a report on Tuesday, May 7th. Mizuho upgraded Microchip Technology from a “neutral” rating to a “buy” rating and upped their price objective for the stock from $85.00 to $115.00 in a report on Friday, May 24th. Citigroup increased their price objective on Microchip Technology from $100.00 to $104.00 and gave the company a “buy” rating in a research report on Tuesday, May 7th. UBS Group boosted their target price on Microchip Technology from $95.00 to $103.00 and gave the stock a “buy” rating in a research report on Tuesday, May 7th. Finally, Susquehanna increased their price target on shares of Microchip Technology from $100.00 to $105.00 and gave the company a “positive” rating in a research report on Tuesday, May 7th. Six research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $101.61.

Microchip Technology Stock Up 0.6 %

Shares of NASDAQ MCHP opened at $92.61 on Thursday. The company has a quick ratio of 0.67, a current ratio of 1.20 and a debt-to-equity ratio of 0.75. The company has a market cap of $49.69 billion, a P/E ratio of 26.69 and a beta of 1.54. Microchip Technology has a 52 week low of $68.75 and a 52 week high of $100.57. The business has a 50-day simple moving average of $93.58 and a two-hundred day simple moving average of $89.27.

Microchip Technology (NASDAQ:MCHP) last released its quarterly earnings results on Monday, May 6th. The semiconductor company reported $0.57 earnings per share for the quarter, hitting the consensus estimate of $0.57. Microchip Technology had a net margin of 24.98% and a return on equity of 36.78%. The firm had revenue of $1.33 billion for the quarter, compared to analysts’ expectations of $1.33 billion. During the same quarter in the prior year, the firm posted $1.56 earnings per share. The business’s quarterly revenue was down 40.6% on a year-over-year basis. Research analysts anticipate that Microchip Technology will post 2.35 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, VP Stephen V. Drehobl sold 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, May 8th. The stock was sold at an average price of $90.88, for a total transaction of $908,800.00. Following the transaction, the vice president now directly 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 available through this link. In related news, VP Stephen V. Drehobl sold 10,000 shares of the business’s stock in a transaction dated Wednesday, May 8th. The shares were sold at an average price of $90.88, for a total transaction of $908,800.00. Following the transaction, the vice president now owns 82,203 shares in the company, valued at $7,470,608.64. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO James Eric Bjornholt sold 3,188 shares of the stock in a transaction dated Thursday, May 23rd. The stock was sold at an average price of $99.98, for a total transaction of $318,736.24. Following the completion of the transaction, the chief financial officer now directly owns 33,257 shares of the company’s stock, valued at $3,325,034.86. The disclosure for this sale can be found here. In the last 90 days, insiders sold 23,993 shares of company stock worth $2,251,857. 2.07% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Microchip Technology

Several hedge funds and other institutional investors have recently added to or reduced their stakes in MCHP. BKM Wealth Management LLC bought a new stake in shares of Microchip Technology during the 4th quarter valued at $27,000. Rakuten Securities Inc. purchased a new stake in Microchip Technology in the fourth quarter worth about $27,000. Rise Advisors LLC bought a new position in shares of Microchip Technology during the first quarter valued at approximately $28,000. Fortitude Family Office LLC purchased a new position in shares of Microchip Technology during the fourth quarter valued at approximately $29,000. Finally, Pineridge Advisors LLC bought a new stake in shares of Microchip Technology in the 4th quarter worth approximately $33,000. 91.51% of the stock is owned by hedge funds and other institutional investors.

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.