LGT Fund Management Co Ltd. Buys New Position in Microchip Technology Incorporated $MCHP

LGT Fund Management Co Ltd. purchased a new position in shares of Microchip Technology Incorporated (NASDAQ:MCHP) in the first quarter, HoldingsChannel reports. The fund purchased 53,054 shares of the semiconductor company’s stock, valued at approximately $3,428,000.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. EFG International AG acquired a new position in Microchip Technology during the fourth quarter worth $29,000. Miller Capital Partners Inc. acquired a new stake in Microchip Technology in the 4th quarter valued at $29,000. Reflection Asset Management bought a new stake in Microchip Technology during the 4th quarter worth about $33,000. Garton & Associates Financial Advisors LLC bought a new stake in Microchip Technology during the 4th quarter worth about $33,000. Finally, Caitong International Asset Management Co. Ltd boosted its stake in shares of Microchip Technology by 4,663.6% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 524 shares of the semiconductor company’s stock worth $33,000 after buying an additional 513 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at Microchip Technology

In other news, COO Richard J. Simoncic sold 5,000 shares of the stock in a transaction dated Thursday, June 4th. The shares were sold at an average price of $97.52, for a total value of $487,600.00. Following the transaction, the chief operating officer directly owned 130,508 shares of the company’s stock, valued at $12,727,140.16. This represents a 3.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Steve Sanghi sold 416,581 shares of the firm’s stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $88.53, for a total transaction of $36,879,915.93. Following the sale, the chief executive officer owned 9,495,805 shares of the company’s stock, valued at approximately $840,663,616.65. This represents a 4.20% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 553,302 shares of company stock valued at $49,673,635 over the last three months. Company insiders own 1.94% of the company’s stock.

Microchip Technology Price Performance

NASDAQ:MCHP opened at $88.59 on Monday. Microchip Technology Incorporated has a 12-month low of $48.52 and a 12-month high of $105.91. The firm has a market capitalization of $48.11 billion, a price-to-earnings ratio of 421.88, a P/E/G ratio of 0.91 and a beta of 1.74. The stock’s 50 day moving average price is $93.64 and its two-hundred day moving average price is $79.92. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85.

Microchip Technology (NASDAQ:MCHP) last issued its earnings results on Thursday, May 7th. The semiconductor company reported $0.57 EPS for the quarter, topping the consensus estimate of $0.50 by $0.07. The company had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The firm’s revenue for the quarter was up 35.1% compared to the same quarter last year. During the same period in the previous year, the company posted $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, analysts anticipate that Microchip Technology Incorporated will post 2.66 earnings per share for the current year.

Microchip Technology Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 5th. Shareholders of record on Friday, May 22nd were issued a $0.455 dividend. This represents a $1.82 annualized dividend and a dividend yield of 2.1%. The ex-dividend date was Friday, May 22nd. Microchip Technology’s payout ratio is currently 866.67%.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on the company. Barclays lifted their target price on Microchip Technology from $80.00 to $105.00 and gave the company an “equal weight” rating in a research report on Monday, May 11th. Susquehanna increased their price target on Microchip Technology from $95.00 to $120.00 and gave the company a “positive” rating in a research report on Friday, May 8th. UBS Group restated a “buy” rating on shares of Microchip Technology in a research note on Tuesday, June 2nd. JPMorgan Chase & Co. boosted their price target on Microchip Technology from $95.00 to $120.00 and gave the stock an “overweight” rating in a research report on Friday, May 8th. Finally, Weiss Ratings upgraded Microchip Technology from a “hold (c-)” rating to a “hold (c)” rating in a research note on Thursday, June 4th. Four investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, Microchip Technology has an average rating of “Moderate Buy” and a consensus price target of $98.67.

About Microchip Technology

Microchip Technology Inc is a semiconductor company headquartered in Chandler, Arizona, that designs, develops and supplies a broad portfolio of embedded control and analog semiconductors. Its product lineup centers on microcontrollers (including the well-known PIC family), digital signal controllers and associated development tools and software, along with a range of mixed-signal and analog devices, nonvolatile memory, power management, timing, interface, wireless and security products. The company also provides integrated hardware and software solutions intended to simplify embedded design and accelerate time to market for OEMs and contract manufacturers.

Microchip’s products are used across a wide range of end markets, including automotive, industrial automation, consumer electronics, communications, aerospace and defense, and Internet of Things (IoT) applications.