Microchip Technology’s (MCHP) Overweight Rating Reiterated at Cantor Fitzgerald

Cantor Fitzgerald reissued their overweight rating on shares of Microchip Technology (NASDAQ:MCHP) in a research note released on Monday morning,Benzinga reports. The firm currently has a $125.00 target price on the semiconductor company’s stock.

Other research analysts have also recently issued research reports about the stock. TD Cowen decreased their price target on shares of Microchip Technology from $105.00 to $90.00 and set a “hold” rating on the stock in a report on Monday, July 13th. Citigroup dropped their price objective on Microchip Technology from $113.00 to $95.00 and set a “buy” rating for the company in a research note on Friday, August 7th. Susquehanna boosted their target price on Microchip Technology from $95.00 to $120.00 and gave the stock a “positive” rating in a research report on Friday, May 8th. Rosenblatt Securities restated a “buy” rating and issued a $120.00 target price on shares of Microchip Technology in a research note on Friday, August 7th. Finally, Zacks Research upgraded Microchip Technology from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, May 12th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, Microchip Technology has a consensus rating of “Moderate Buy” and an average target price of $98.85.

Microchip Technology Price Performance

MCHP stock opened at $77.08 on Monday. The firm has a 50 day moving average of $85.02 and a 200-day moving average of $81.53. The company has a current ratio of 1.92, a quick ratio of 1.11 and a debt-to-equity ratio of 0.83. Microchip Technology has a 12 month low of $48.52 and a 12 month high of $105.91. The firm has a market capitalization of $41.86 billion, a P/E ratio of 115.05, a price-to-earnings-growth ratio of 0.54 and a beta of 1.76.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, beating the consensus estimate of $0.70 by $0.06. Microchip Technology had a net margin of 9.34% and a return on equity of 14.97%. The company had revenue of $1.48 billion during the quarter, compared to analysts’ expectations of $1.46 billion. During the same quarter in the previous year, the company earned $0.27 earnings per share. Microchip Technology’s revenue for the quarter was up 38.0% on a year-over-year basis. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. As a group, sell-side analysts predict that Microchip Technology will post 3.16 earnings per share for the current fiscal year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 9th. Shareholders of record on Monday, August 24th will be paid a dividend of $0.455 per share. The ex-dividend date of this dividend is Monday, August 24th. This represents a $1.82 annualized dividend and a yield of 2.4%. Microchip Technology’s payout ratio is 271.64%.

Insider Transactions at Microchip Technology

In other Microchip Technology news, COO Richard J. Simoncic sold 5,000 shares of the stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $97.52, for a total transaction of $487,600.00. Following the transaction, the chief operating officer directly owned 130,508 shares in the company, valued at $12,727,140.16. This trade represents a 3.69% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Matthew W. Chapman sold 3,000 shares of the company’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $97.52, for a total transaction of $292,560.00. Following the completion of the sale, the director directly owned 17,665 shares of the company’s stock, valued at $1,722,690.80. This trade represents a 14.52% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 17,504 shares of company stock worth $1,647,758. 1.79% of the stock is currently owned by corporate insiders.

Institutional Trading of Microchip Technology

Hedge funds have recently added to or reduced their stakes in the business. Norges Bank purchased a new stake in shares of Microchip Technology during the fourth quarter valued at approximately $664,564,000. Barrow Hanley Mewhinney & Strauss LLC purchased a new position in shares of Microchip Technology in the second quarter worth $537,423,000. Barclays PLC increased its stake in shares of Microchip Technology by 66.5% in the fourth quarter. Barclays PLC now owns 13,996,883 shares of the semiconductor company’s stock worth $891,881,000 after buying an additional 5,590,210 shares during the period. Legal & General Group Plc bought a new stake in Microchip Technology during the 2nd quarter valued at $312,597,000. Finally, Rafferty Asset Management LLC raised its holdings in Microchip Technology by 41.0% during the 2nd quarter. Rafferty Asset Management LLC now owns 6,203,762 shares of the semiconductor company’s stock valued at $436,559,000 after buying an additional 1,803,945 shares during the last quarter. 91.51% of the stock is owned by institutional investors.

Microchip Technology Company Profile

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.