Microchip Technology Incorporated (NASDAQ:MCHP) Stock Has Consensus Price Target of $98.67 According to Analysts

Microchip Technology Incorporated (NASDAQ:MCHP) has received an average recommendation of “Moderate Buy” from the twenty-four brokerages that are presently covering the company, MarketBeat Ratings reports. Eight analysts have rated the stock with a hold recommendation, thirteen have issued a buy recommendation and three have assigned a strong buy recommendation to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $98.67.

A number of research analysts recently weighed in on MCHP shares. BMO Capital Markets assumed coverage on shares of Microchip Technology in a research note on Friday, August 21st. They set an “outperform” rating and a $95.00 target price on the stock. TD Cowen cut their target price on shares of Microchip Technology from $105.00 to $90.00 and set a “hold” rating for the company in a report on Monday, July 13th. Weiss Ratings raised Microchip Technology from a “hold (c-)” rating to a “hold (c)” rating in a research note on Tuesday, August 11th. Wells Fargo & Company reduced their target price on shares of Microchip Technology from $95.00 to $88.00 and set an “equal weight” rating on the stock in a research note on Monday, July 20th. Finally, Cantor Fitzgerald reissued an “overweight” rating on shares of Microchip Technology in a research note on Wednesday, September 9th.

Microchip Technology Stock Down 3.2%

Shares of MCHP stock opened at $75.52 on Tuesday. Microchip Technology has a 12 month low of $48.52 and a 12 month high of $105.91. The company has a 50 day simple moving average of $76.03 and a two-hundred day simple moving average of $82.16. The stock has a market cap of $41.01 billion, a P/E ratio of 112.72, a P/E/G ratio of 0.54 and a beta of 1.77. 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 (NASDAQ:MCHP) last released its earnings results on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share for the quarter, beating the consensus estimate of $0.70 by $0.06. The company had revenue of $1.48 billion for the quarter, compared to the consensus estimate of $1.46 billion. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%.Microchip Technology’s quarterly revenue was up 38.0% compared to the same quarter last year. During the same period in the previous year, the business earned $0.27 earnings per share. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. On average, research analysts expect that Microchip Technology will post 3.16 earnings per share for the current year.

Microchip Technology Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th were given a dividend of $0.4550 per share. The ex-dividend date of this dividend was Monday, August 24th. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.4%. Microchip Technology’s dividend payout ratio (DPR) is 271.64%.

Insider Buying and Selling at Microchip Technology

In other news, CFO James Bjornholt sold 4,112 shares of Microchip Technology stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $75.32, for a total transaction of $309,715.84. Following the completion of the sale, the chief financial officer owned 28,573 shares of the company’s stock, valued at approximately $2,152,118.36. The trade was a 12.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.79% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. GAMMA Investing LLC raised its position in Microchip Technology by 8.0% during the 3rd quarter. GAMMA Investing LLC now owns 23,351 shares of the semiconductor company’s stock valued at $1,816,000 after purchasing an additional 1,739 shares in the last quarter. Westwind Capital lifted its holdings in shares of Microchip Technology by 4.5% in the 3rd quarter. Westwind Capital now owns 18,856 shares of the semiconductor company’s stock worth $1,466,000 after buying an additional 811 shares during the period. Avidian Wealth Enterprises LLC grew its position in shares of Microchip Technology by 6.2% during the 3rd quarter. Avidian Wealth Enterprises LLC now owns 3,937 shares of the semiconductor company’s stock worth $306,000 after buying an additional 230 shares in the last quarter. Canandaigua National Trust Co of Florida bought a new position in shares of Microchip Technology during the 3rd quarter worth $376,000. Finally, Private Capital Advisors Inc. purchased a new position in shares of Microchip Technology during the third quarter valued at $21,230,000. Institutional investors own 91.51% of the company’s stock.

About Microchip Technology

Microchip Technology Inc is a semiconductor company that develops and manufactures embedded control solutions for automotive, industrial, aerospace and defense, communications, consumer, and computing applications. Its products are designed to help customers manage processing, connectivity, power, timing, security, and data storage within electronic systems.

The company’s product portfolio includes microcontrollers, microprocessors, analog and mixed-signal devices, power-management products, timing and synchronization solutions, memory products, connectivity components, and field-programmable gate arrays.