Microchip Technology (NASDAQ:MCHP) Given New $120.00 Price Target at Needham & Company LLC

Microchip Technology (NASDAQ:MCHP) had its target price upped by Needham & Company LLC from $84.00 to $120.00 in a research note issued to investors on Friday morning,Benzinga reports. The brokerage currently has a buy rating on the semiconductor company’s stock.

MCHP has been the topic of a number of other research reports. UBS Group increased their price target on shares of Microchip Technology from $85.00 to $95.00 and gave the company a “buy” rating in a report on Monday, January 26th. KeyCorp reaffirmed an “overweight” rating and issued a $85.00 price objective on shares of Microchip Technology in a research report on Friday, February 6th. Wells Fargo & Company increased their target price on Microchip Technology from $68.00 to $70.00 and gave the company an “equal weight” rating in a research note on Friday, February 6th. Truist Financial lifted their target price on Microchip Technology from $60.00 to $68.00 and gave the stock a “hold” rating in a report on Friday, February 6th. Finally, Citigroup decreased their price target on Microchip Technology from $92.00 to $91.00 and set a “buy” rating for the company in a research note on Friday, February 6th. Three analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eight have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $95.35.

Microchip Technology Price Performance

MCHP opened at $99.09 on Friday. The firm has a market cap of $53.62 billion, a PE ratio of 471.88, a P/E/G ratio of 1.36 and a beta of 1.75. The stock has a 50-day moving average price of $73.27 and a 200-day moving average price of $69.20. Microchip Technology has a 1 year low of $48.52 and a 1 year high of $105.91. The company has a debt-to-equity ratio of 0.82, a current ratio of 2.16 and a quick ratio of 1.16.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 EPS for the quarter, beating the consensus estimate of $0.50 by $0.07. The company had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a net margin of 4.88% and a return on equity of 10.76%. Microchip Technology’s revenue for the quarter was up 35.1% on a year-over-year basis. During the same period in the prior year, the firm posted $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Sell-side analysts predict that Microchip Technology will post 2.14 earnings per share for the current fiscal year.

Microchip Technology Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, June 5th. Investors of record on Friday, May 22nd will be issued a $0.455 dividend. The ex-dividend date is Friday, May 22nd. This represents a $1.82 annualized dividend and a yield of 1.8%. Microchip Technology’s dividend payout ratio (DPR) is currently 866.67%.

Insider Buying and Selling

In other Microchip Technology news, CEO Steve Sanghi sold 76,469 shares of the business’s stock in a transaction on Friday, May 1st. The shares were sold at an average price of $93.58, for a total transaction of $7,155,969.02. Following the completion of the sale, the chief executive officer directly owned 9,385,834 shares in the company, valued at approximately $878,326,345.72. The trade was a 0.81% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 526,552 shares of company stock valued at $47,130,465. Insiders own 1.94% of the company’s stock.

Institutional Trading of Microchip Technology

Several large investors have recently modified their holdings of the company. Winnow Wealth LLC bought a new position in Microchip Technology in the third quarter valued at about $25,000. Root Financial Partners LLC bought a new stake in shares of Microchip Technology during the 3rd quarter valued at about $28,000. EFG International AG purchased a new stake in shares of Microchip Technology during the 4th quarter valued at about $29,000. Miller Capital Partners Inc. purchased a new stake in shares of Microchip Technology during the 4th quarter valued at about $29,000. Finally, Quent Capital LLC bought a new position in shares of Microchip Technology in the 3rd quarter worth approximately $32,000. Institutional investors own 91.51% of the company’s stock.

Microchip Technology News Roundup

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

• Positive Sentiment: Microchip delivered stronger-than-expected fiscal Q4 results, with earnings and revenue topping estimates and bookings improving, which supports the case for a recovery in demand. MCHP Q4 Earnings Top Estimates, Broad-Based Demand Recovery Aids Sales
• Positive Sentiment: Analysts quickly turned more constructive after the report, with multiple firms raising price targets to $113-$120 and several reiterating buy/overweight-type ratings, signaling increased confidence in earnings momentum. Analysts Boost Their Forecasts Following Upbeat Q4 Results
• Positive Sentiment: Citigroup, JPMorgan, Susquehanna, Needham, Rosenblatt and others lifted targets, reinforcing the view that Microchip’s recovery is broadening and that shares may still have room to run. Tickerreport.com
• Positive Sentiment: The company also increased its quarterly dividend to 45.5 cents per share, which may appeal to income-focused investors and reflects confidence in cash generation. Microchip Technology Announces Quarterly Cash Dividend on Common Stock of 45.5 Cents Per Share

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.