Microchip Technology (NASDAQ:MCHP) Upgraded at Bank of America

Bank of America upgraded shares of Microchip Technology (NASDAQ:MCHP) from a neutral rating to a buy rating in a research note published on Wednesday, MarketBeat Ratings reports. They currently have $95.00 target price on the semiconductor company’s stock.

A number of other brokerages have also weighed in on MCHP. Morgan Stanley increased their price target on Microchip Technology from $68.00 to $69.00 and gave the stock an “equal weight” rating in a research note on Tuesday, January 6th. Rosenblatt Securities restated a “buy” rating and issued a $80.00 price target on shares of Microchip Technology in a report on Tuesday, January 6th. Weiss Ratings reissued a “sell (d+)” rating on shares of Microchip Technology in a research report on Thursday, January 22nd. Susquehanna lifted their price objective on shares of Microchip Technology from $75.00 to $90.00 and gave the company a “positive” rating in a research note on Thursday, January 22nd. Finally, UBS Group boosted their price target on Microchip Technology from $85.00 to $95.00 and gave the stock a “buy” rating in a research note on Monday, January 26th. Three investment analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Microchip Technology has a consensus rating of “Moderate Buy” and an average price target of $82.05.

Microchip Technology Stock Down 4.3%

Microchip Technology stock opened at $75.92 on Wednesday. Microchip Technology has a fifty-two week low of $34.13 and a fifty-two week high of $81.43. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.20 and a current ratio of 2.25. The stock’s fifty day moving average is $67.48 and its two-hundred day moving average is $65.47. The firm has a market capitalization of $41.03 billion, a price-to-earnings ratio of -168.71, a price-to-earnings-growth ratio of 2.03 and a beta of 1.46.

Microchip Technology (NASDAQ:MCHP) last posted its earnings results on Thursday, November 6th. The semiconductor company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.02. The firm had revenue of $1.14 billion during the quarter, compared to the consensus estimate of $1.13 billion. Microchip Technology had a negative net margin of 4.39% and a positive return on equity of 5.21%. The firm’s revenue for the quarter was down 2.0% on a year-over-year basis. During the same period last year, the firm posted $0.46 EPS. Microchip Technology has set its Q3 2026 guidance at 0.340-0.400 EPS. Analysts predict that Microchip Technology will post 1.03 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 9th. Stockholders of record on Monday, November 24th were given a dividend of $0.455 per share. The ex-dividend date was Monday, November 24th. This represents a $1.82 annualized dividend and a dividend yield of 2.4%. Microchip Technology’s dividend payout ratio is currently -404.44%.

Insider Activity at Microchip Technology

In related news, CFO James Eric Bjornholt sold 4,292 shares of Microchip Technology stock in a transaction dated Tuesday, November 25th. The shares were sold at an average price of $50.39, for a total transaction of $216,273.88. Following the sale, the chief financial officer directly owned 30,089 shares in the company, valued at $1,516,184.71. The trade was a 12.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Steve Sanghi sold 98,814 shares of the business’s stock in a transaction dated Wednesday, January 28th. The stock was sold at an average price of $80.55, for a total transaction of $7,959,467.70. Following the sale, the chief executive officer owned 9,922,319 shares in the company, valued at $799,242,795.45. This trade represents a 0.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 121,615 shares of company stock worth $9,641,654 in the last 90 days. 1.94% of the stock is owned by company insiders.

Institutional Trading of Microchip Technology

Hedge funds and other institutional investors have recently modified their holdings of the company. Winnow Wealth LLC bought a new stake in Microchip Technology in the third quarter worth about $25,000. Root Financial Partners LLC purchased a new stake in shares of Microchip Technology in the 3rd quarter valued at approximately $28,000. Salomon & Ludwin LLC lifted its holdings in shares of Microchip Technology by 219.3% in the third quarter. Salomon & Ludwin LLC now owns 479 shares of the semiconductor company’s stock valued at $32,000 after purchasing an additional 329 shares in the last quarter. Quent Capital LLC acquired a new stake in Microchip Technology during the 3rd quarter worth about $32,000. Finally, E Fund Management Hong Kong Co. Ltd. lifted its position in shares of Microchip Technology by 106.8% in the third quarter. E Fund Management Hong Kong Co. Ltd. now owns 517 shares of the semiconductor company’s stock worth $33,000 after purchasing an additional 267 shares in the last quarter. Institutional investors own 91.51% of the company’s stock.

Key Headlines Impacting Microchip Technology

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Bank of America upgraded MCHP to a “Buy” with a $95 target, providing a clear near‑term upside signal and helping fuel bullish sentiment and flows. Bank of America Upgrades Microchip Technology (NASDAQ:MCHP) to “Buy”
• Positive Sentiment: Zacks moved Microchip toward a stronger rating and flagged the company as having the setup for an earnings beat — a potential catalyst if upcoming results and guidance beat expectations. Microchip Technology (MCHP) Earnings Expected to Grow: Should You Buy?
• Positive Sentiment: Microchip launched the PIC32CM PL10 Arm Cortex‑M0+ MCU family, expanding its embedded/IoT product roadmap — a commercial/product catalyst that supports medium‑term revenue growth expectations. PIC32CM PL10 MCUs Expand Microchip’s Arm® Cortex®-M0+ Portfolio
• Neutral Sentiment: Market write‑ups and note pieces (AAII, Yahoo, Barchart) explain the recent ~6% rally and discuss valuation — useful context for investors but not a direct catalyst. Why Microchip Technology Incorporated’s (MCHP) Stock Is Up 6.33%
• Neutral Sentiment: Analyst coverage remains constructive (consensus “Moderate Buy”); many upgrades are already reflected in recent price gains, which tempers how much more they can move the stock immediately. Microchip Technology Incorporated (NASDAQ:MCHP) Receives Average Rating of “Moderate Buy” from Analysts
• Negative Sentiment: CEO Steve Sanghi sold 98,814 shares (~$8.0M) on Jan. 28, trimming his stake ~0.99%; insider selling often triggers short‑term concern and can weigh on the stock while investors digest the reason for the sale. SEC Form 4: Steve Sanghi Sale

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.