Freestone Grove Partners LP Makes New $18.08 Million Investment in Microchip Technology Incorporated $MCHP

Freestone Grove Partners LP acquired a new stake in Microchip Technology Incorporated (NASDAQ:MCHP) in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 198,198 shares of the semiconductor company’s stock, valued at approximately $18,076,000.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Caisse de depot et placement du Quebec acquired a new position in shares of Microchip Technology during the second quarter worth approximately $17,336,000. Odyssean LLC acquired a new position in Microchip Technology during the second quarter worth $384,000. First Bancorp Inc ME bought a new position in shares of Microchip Technology in the second quarter valued at $130,000. Jupiter Topco LLC acquired a new position in shares of Microchip Technology during the second quarter valued at about $5,442,000. Finally, J. Goldman & Co LP bought a new stake in shares of Microchip Technology during the second quarter worth about $4,819,000. Institutional investors own 91.51% of the company’s stock.

Insider Activity at Microchip Technology

In related news, COO Richard J. Simoncic sold 5,000 shares of the company’s stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $97.52, for a total value of $487,600.00. Following the transaction, the chief operating officer owned 130,508 shares in the company, valued at approximately $12,727,140.16. This represents a 3.69% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO James Eric Bjornholt sold 4,112 shares of the stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $75.32, for a total value of $309,715.84. Following the transaction, the chief financial officer directly owned 28,573 shares of the company’s stock, valued at approximately $2,152,118.36. This trade represents a 12.58% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 9,949 shares of company stock worth $864,493. 1.79% of the stock is owned by company insiders.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on MCHP shares. Zacks Research lowered shares of Microchip Technology from a “strong-buy” rating to a “hold” rating in a report on Monday, August 17th. Citigroup decreased their price objective on Microchip Technology from $113.00 to $95.00 and set a “buy” rating for the company in a report on Friday, August 7th. BMO Capital Markets began coverage on Microchip Technology in a research note on Friday, August 21st. They issued an “outperform” rating and a $95.00 price objective for the company. Barclays raised their target price on Microchip Technology from $80.00 to $105.00 and gave the company an “equal weight” rating in a report on Monday, May 11th. Finally, Wells Fargo & Company decreased their price target on Microchip Technology from $95.00 to $88.00 and set an “equal weight” rating for the company in a report on Monday, July 20th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given 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 an average target price of $98.67.

Microchip Technology Price Performance

MCHP opened at $75.49 on Friday. Microchip Technology Incorporated has a fifty-two week low of $48.52 and a fifty-two week high of $105.91. The firm has a 50-day moving average of $82.44 and a 200 day moving average of $81.43. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.11 and a current ratio of 1.92. The firm has a market cap of $40.99 billion, a P/E ratio of 112.67, a PEG ratio of 0.52 and a beta of 1.76.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, topping the consensus estimate of $0.70 by $0.06. The business had revenue of $1.48 billion for the quarter, compared to analyst estimates of $1.46 billion. Microchip Technology had a net margin of 9.34% and a return on equity of 14.97%. The company’s revenue for the quarter was up 38.0% on a year-over-year basis. During the same quarter in the previous year, the firm posted $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 Incorporated will post 3.16 EPS for the current year.

Microchip Technology Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 9th. Investors of record on Monday, August 24th will be issued a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend is Monday, August 24th. Microchip Technology’s payout ratio is 271.64%.

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.