Microchip Technology (NASDAQ:MCHP) Rating Increased to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Microchip Technology (NASDAQ:MCHP) from a hold rating to a buy rating in a research note published on Sunday morning.

Other research analysts also recently issued reports about the company. Cantor Fitzgerald increased their target price on Microchip Technology from $85.00 to $100.00 and gave the company an “overweight” rating in a research report on Monday, February 2nd. Rosenblatt Securities increased their price objective on shares of Microchip Technology from $80.00 to $115.00 and gave the company a “buy” rating in a research report on Friday, February 6th. Barclays began coverage on shares of Microchip Technology in a research note on Thursday, February 12th. They issued an “equal weight” rating and a $80.00 price objective for the company. KeyCorp restated an “overweight” rating and issued a $85.00 target price on shares of Microchip Technology in a report on Friday, February 6th. Finally, JPMorgan Chase & Co. upped their price objective on Microchip Technology from $85.00 to $95.00 and gave the company an “overweight” rating in a research report on Friday, February 6th. Three analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and eight have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $86.00.

Microchip Technology Price Performance

Shares of NASDAQ:MCHP opened at $61.94 on Friday. The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.16 and a current ratio of 2.16. The firm has a fifty day moving average price of $74.21 and a 200 day moving average price of $66.61. Microchip Technology has a fifty-two week low of $34.13 and a fifty-two week high of $83.35. The firm has a market cap of $33.52 billion, a price-to-earnings ratio of -213.59, a P/E/G ratio of 1.56 and a beta of 1.45.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings data on Thursday, February 5th. The semiconductor company reported $0.44 earnings per share for the quarter, beating analysts’ consensus estimates of $0.43 by $0.01. The firm had revenue of $1.19 billion during the quarter, compared to analyst estimates of $1.19 billion. Microchip Technology had a positive return on equity of 7.16% and a negative net margin of 1.57%.The business’s quarterly revenue was up 15.6% compared to the same quarter last year. During the same quarter last year, the business posted $0.20 earnings per share. Microchip Technology has set its Q4 2026 guidance at 0.480-0.520 EPS. As a group, sell-side analysts expect that Microchip Technology will post 1.03 earnings per share for the current fiscal year.

Microchip Technology Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 10th. Investors of record on Monday, February 23rd were issued a dividend of $0.455 per share. The ex-dividend date was Monday, February 23rd. This represents a $1.82 dividend on an annualized basis and a yield of 2.9%. Microchip Technology’s payout ratio is presently -627.59%.

Insider Buying and Selling

In other Microchip Technology news, CEO Steve Sanghi sold 98,814 shares of the stock in a transaction on Wednesday, January 28th. The stock was sold at an average price of $80.55, for a total value 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. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 1.94% of the stock is owned by company insiders.

Institutional Trading of Microchip Technology

A number of large investors have recently made changes to their positions in the stock. AQR Capital Management LLC lifted its holdings in shares of Microchip Technology by 51.3% in the 1st quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock worth $827,000 after buying an additional 5,835 shares during the period. Geneos Wealth Management Inc. raised its stake in Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock worth $59,000 after buying an additional 616 shares in the last quarter. Allworth Financial LP lifted its holdings in Microchip Technology by 41.8% during the second quarter. Allworth Financial LP now owns 7,821 shares of the semiconductor company’s stock worth $550,000 after buying an additional 2,307 shares during the period. Mitsubishi UFJ Trust & Banking Corp boosted its position in Microchip Technology by 2.3% during the 2nd quarter. Mitsubishi UFJ Trust & Banking Corp now owns 236,391 shares of the semiconductor company’s stock valued at $16,635,000 after acquiring an additional 5,261 shares in the last quarter. Finally, PNC Financial Services Group Inc. boosted its position in Microchip Technology by 39.0% during the 2nd quarter. PNC Financial Services Group Inc. now owns 184,421 shares of the semiconductor company’s stock valued at $12,978,000 after acquiring an additional 51,724 shares in the last quarter. 91.51% of the stock is owned by hedge funds and other institutional investors.

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.