Microchip Technology Incorporated Plans Quarterly Dividend of $0.46 (NASDAQ:MCHP)

Microchip Technology Incorporated (NASDAQ:MCHP) announced a quarterly dividend on Thursday, February 6th,RTT News reports. Stockholders of record on Monday, February 24th will be given a dividend of 0.455 per share by the semiconductor company on Friday, March 7th. This represents a $1.82 annualized dividend and a dividend yield of 3.51%. The ex-dividend date of this dividend is Monday, February 24th.

Microchip Technology has increased its dividend payment by an average of 28.6% annually over the last three years and has raised its dividend annually for the last 14 consecutive years. Microchip Technology has a dividend payout ratio of 55.2% indicating that its dividend is sufficiently covered by earnings. Analysts expect Microchip Technology to earn $1.95 per share next year, which means the company should continue to be able to cover its $1.82 annual dividend with an expected future payout ratio of 93.3%.

Microchip Technology Price Performance

NASDAQ MCHP opened at $51.89 on Friday. The stock’s 50-day moving average price is $58.04 and its two-hundred day moving average price is $70.26. The company has a market cap of $27.87 billion, a PE ratio of 92.66 and a beta of 1.50. The company has a current ratio of 0.88, a quick ratio of 0.48 and a debt-to-equity ratio of 0.71. Microchip Technology has a 1 year low of $50.21 and a 1 year high of $100.57.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Thursday, February 6th. The semiconductor company reported $0.13 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.15). Microchip Technology had a net margin of 6.49% and a return on equity of 12.41%. On average, analysts predict that Microchip Technology will post 1.3 EPS for the current year.

Analysts Set New Price Targets

Several analysts recently issued reports on MCHP shares. Needham & Company LLC cut their price objective on Microchip Technology from $85.00 to $60.00 and set a “buy” rating for the company in a report on Friday. Mizuho cut their price objective on shares of Microchip Technology from $85.00 to $72.00 and set an “outperform” rating on the stock in a research report on Friday, January 10th. Evercore ISI restated an “outperform” rating and set a $95.00 price target (down previously from $101.00) on shares of Microchip Technology in a research note on Wednesday, November 6th. Stifel Nicolaus decreased their price objective on shares of Microchip Technology from $90.00 to $87.00 and set a “buy” rating for the company in a report on Tuesday, December 3rd. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $65.00 price target (down previously from $85.00) on shares of Microchip Technology in a research report on Friday. One analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $77.11.

About Microchip Technology

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.