Microchip Technology (NASDAQ:MCHP) Price Target Raised to $95.00

Microchip Technology (NASDAQ:MCHP) had its target price boosted by Wells Fargo & Company from $75.00 to $95.00 in a research note issued to investors on Friday morning,Benzinga reports. Wells Fargo & Company currently has an equal weight rating on the semiconductor company’s stock.

Several other equities analysts also recently commented on MCHP. Weiss Ratings upgraded Microchip Technology from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday, April 24th. Susquehanna increased their target price on Microchip Technology from $95.00 to $120.00 and gave the company a “positive” rating in a research report on Friday. Rosenblatt Securities increased their target price on Microchip Technology from $115.00 to $120.00 and gave the company a “buy” rating in a research report on Friday. Argus raised Microchip Technology to a “strong-buy” rating in a research note on Monday, February 9th. Finally, JPMorgan Chase & Co. increased their price target on Microchip Technology from $85.00 to $95.00 and gave the company an “overweight” rating in a research note on Friday, February 6th. Three equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $95.35.

Microchip Technology Price Performance

Microchip Technology stock opened at $99.09 on Friday. The company has a current ratio of 2.09, a quick ratio of 1.18 and a debt-to-equity ratio of 0.85. The company has a market capitalization of $53.62 billion, a PE ratio of 471.88, a P/E/G ratio of 1.32 and a beta of 1.75. Microchip Technology has a 12 month low of $48.52 and a 12 month high of $105.91. The stock has a 50-day moving average price of $73.27 and a two-hundred day moving average price of $69.20.

Microchip Technology (NASDAQ:MCHP) last posted its earnings results 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 firm had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.26 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The business’s quarterly revenue was up 35.1% on a year-over-year basis. During the same period last year, the company earned $0.11 earnings per share. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Analysts expect that Microchip Technology will post 2.14 EPS for the current year.

Microchip Technology Announces Dividend

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

Insider Buying and Selling at Microchip Technology

In other news, CEO Steve Sanghi sold 76,469 shares of the stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $93.58, for a total value of $7,155,969.02. Following the completion of the sale, the chief executive officer owned 9,385,834 shares of the company’s stock, valued at approximately $878,326,345.72. This represents a 0.81% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 526,552 shares of company stock valued at $47,130,465 over the last ninety days. Corporate insiders own 1.94% of the company’s stock.

Institutional Investors Weigh In On Microchip Technology

Several large investors have recently added to or reduced their stakes in the business. Resonant Capital Advisors LLC grew its stake in Microchip Technology by 0.9% during the first quarter. Resonant Capital Advisors LLC now owns 12,542 shares of the semiconductor company’s stock worth $810,000 after purchasing an additional 118 shares during the period. MCF Advisors LLC grew its stake in Microchip Technology by 25.8% during the fourth quarter. MCF Advisors LLC now owns 659 shares of the semiconductor company’s stock worth $42,000 after purchasing an additional 135 shares during the period. Gagnon Securities LLC grew its stake in Microchip Technology by 0.5% during the fourth quarter. Gagnon Securities LLC now owns 27,162 shares of the semiconductor company’s stock worth $1,731,000 after purchasing an additional 137 shares during the period. Evelyn Partners Investment Management LLP grew its stake in Microchip Technology by 1.5% during the fourth quarter. Evelyn Partners Investment Management LLP now owns 9,300 shares of the semiconductor company’s stock worth $593,000 after purchasing an additional 140 shares during the period. Finally, Millstone Evans Group LLC grew its stake in Microchip Technology by 23.7% during the fourth quarter. Millstone Evans Group LLC now owns 742 shares of the semiconductor company’s stock worth $47,000 after purchasing an additional 142 shares during the period. Institutional investors and hedge funds 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: 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

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.