Microchip Technology Incorporated (NASDAQ:MCHP) Receives $99.95 Average PT from Analysts

Shares of Microchip Technology Incorporated (NASDAQ:MCHP) have earned a consensus rating of “Moderate Buy” from the nineteen ratings firms that are currently covering the company, Marketbeat.com reports. Four equities research analysts have rated the stock with a hold recommendation and fifteen have issued a buy recommendation on the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $99.95.

Several analysts have issued reports on MCHP shares. Truist Financial cut their price target on shares of Microchip Technology from $96.00 to $89.00 and set a “buy” rating for the company in a research report on Friday, August 2nd. Rosenblatt Securities restated a “buy” rating and set a $100.00 price target on shares of Microchip Technology in a research report on Wednesday, July 31st. Needham & Company LLC cut their price target on shares of Microchip Technology from $100.00 to $96.00 and set a “buy” rating for the company in a research report on Monday, August 5th. Citigroup cut their price target on shares of Microchip Technology from $104.00 to $92.00 and set a “buy” rating for the company in a research report on Friday, August 2nd. Finally, B. Riley cut their price target on shares of Microchip Technology from $110.00 to $103.00 and set a “buy” rating for the company in a research report on Friday, August 2nd.

Microchip Technology Stock Down 2.3 %

MCHP opened at $77.01 on Monday. The stock has a market cap of $41.32 billion, a PE ratio of 22.19 and a beta of 1.53. The company has a quick ratio of 1.08, a current ratio of 1.94 and a debt-to-equity ratio of 0.96. Microchip Technology has a 52 week low of $68.75 and a 52 week high of $100.57. The business’s fifty day simple moving average is $81.15 and its 200 day simple moving average is $87.74.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Thursday, August 1st. The semiconductor company reported $0.53 EPS for the quarter, beating analysts’ consensus estimates of $0.52 by $0.01. The business had revenue of $1.24 billion for the quarter, compared to analysts’ expectations of $1.24 billion. Microchip Technology had a return on equity of 28.33% and a net margin of 20.80%. The firm’s revenue was down 45.8% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.56 earnings per share. As a group, research analysts expect that Microchip Technology will post 1.74 earnings per share for the current fiscal year.

Microchip Technology Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 5th. Investors of record on Thursday, August 22nd were paid a $0.454 dividend. This is an increase from Microchip Technology’s previous quarterly dividend of $0.45. This represents a $1.82 dividend on an annualized basis and a yield of 2.36%. The ex-dividend date of this dividend was Thursday, August 22nd. Microchip Technology’s dividend payout ratio is presently 52.16%.

Insider Buying and Selling

In related news, CFO James Eric Bjornholt sold 2,154 shares of the stock in a transaction dated Friday, August 23rd. The shares were sold at an average price of $81.50, for a total value of $175,551.00. Following the completion of the transaction, the chief financial officer now directly owns 33,257 shares of the company’s stock, valued at $2,710,445.50. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 2.07% of the stock is owned by insiders.

Hedge Funds Weigh In On Microchip Technology

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Healthcare of Ontario Pension Plan Trust Fund raised its stake in Microchip Technology by 2,390.5% during the second quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 2,291,290 shares of the semiconductor company’s stock valued at $209,653,000 after buying an additional 2,199,290 shares during the last quarter. Heritage Wealth Management Inc. bought a new position in shares of Microchip Technology during the second quarter valued at $322,000. Sanctuary Advisors LLC purchased a new position in shares of Microchip Technology in the 2nd quarter worth about $14,243,000. Strategic Investment Solutions Inc. IL bought a new position in Microchip Technology in the 2nd quarter worth about $119,000. Finally, Heritage Oak Wealth Advisors LLC purchased a new stake in Microchip Technology during the 2nd quarter valued at about $714,000. 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.