Microchip Technology (NASDAQ:MCHP) Stock Price Target Lowered at TD Cowen

Microchip Technology (NASDAQ:MCHP) had its price objective cut by TD Cowen from $90.00 to $75.00 in a report issued on Monday,Benzinga reports. They currently have a hold rating on the semiconductor company’s stock.

Other research analysts have also recently issued reports about the stock. Rosenblatt Securities reissued a “buy” rating and issued a $120.00 price objective on shares of Microchip Technology in a research note on Friday, August 7th. Truist Financial cut their target price on Microchip Technology from $105.00 to $90.00 and set a “hold” rating for the company in a research note on Friday, August 7th. Zacks Research downgraded Microchip Technology from a “strong-buy” rating to a “hold” rating in a report on Monday, August 17th. Wells Fargo & Company decreased their price target on Microchip Technology from $95.00 to $88.00 and set an “equal weight” rating on the stock in a research note on Monday, July 20th. Finally, Cantor Fitzgerald reiterated an “overweight” rating on shares of Microchip Technology in a research note on Wednesday, September 9th. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, Microchip Technology presently has an average rating of “Moderate Buy” and a consensus target price of $97.95.

Microchip Technology Trading Up 0.8%

MCHP opened at $74.41 on Monday. The stock has a market capitalization of $40.40 billion, a price-to-earnings ratio of 111.06, a P/E/G ratio of 0.51 and a beta of 1.77. The company has a quick ratio of 1.11, a current ratio of 1.92 and a debt-to-equity ratio of 0.83. Microchip Technology has a twelve month low of $48.52 and a twelve month high of $105.91. The company has a 50-day simple moving average of $75.41 and a 200 day simple moving average of $82.66.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, beating the consensus estimate of $0.70 by $0.06. The firm 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 business’s quarterly revenue was up 38.0% compared to the same quarter last year. During the same period last year, the firm earned $0.27 EPS. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. Analysts predict that Microchip Technology will post 3.20 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 9th. Investors of record on Monday, August 24th were given a dividend of $0.4550 per share. This represents a $1.82 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date was Monday, August 24th. Microchip Technology’s dividend payout ratio is currently 271.64%.

Insider Buying and Selling

In other Microchip Technology news, CFO James Bjornholt sold 4,112 shares of the firm’s stock in a transaction that occurred 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 sale, the chief financial officer owned 28,573 shares in the company, valued at $2,152,118.36. This trade represents a 12.58% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.79% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. CFS Investment Advisory Services LLC boosted its stake in shares of Microchip Technology by 10.9% in the 3rd quarter. CFS Investment Advisory Services LLC now owns 3,343 shares of the semiconductor company’s stock valued at $272,000 after purchasing an additional 328 shares during the last quarter. Jackson Square Capital LLC acquired a new stake in shares of Microchip Technology during the third quarter worth $995,000. IFP Advisors Inc increased its position in shares of Microchip Technology by 102.7% during the third quarter. IFP Advisors Inc now owns 3,568 shares of the semiconductor company’s stock worth $277,000 after buying an additional 1,808 shares during the period. TD Waterhouse Canada Inc. raised its stake in Microchip Technology by 5.8% during the third quarter. TD Waterhouse Canada Inc. now owns 12,817 shares of the semiconductor company’s stock worth $1,005,000 after buying an additional 706 shares during the last quarter. Finally, Pension & Wealth Management Advisors Inc. raised its stake in Microchip Technology by 88.5% during the third quarter. Pension & Wealth Management Advisors Inc. now owns 1,278 shares of the semiconductor company’s stock worth $99,000 after buying an additional 600 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors and hedge funds.

About Microchip Technology

Microchip Technology Incorporated (NASDAQ:MCHP) develops and manufactures semiconductor products used in embedded control and connected electronic systems. Its portfolio includes microcontrollers, microprocessors, analog and power-management devices, memory products, timing and connectivity components, security solutions, and field-programmable gate arrays. The company also provides development tools, software, evaluation kits, and technical support to help customers design and produce electronic equipment.

Microchip’s products are used across a range of markets, including automotive, industrial, aerospace and defense, communications, consumer electronics, data centers, and medical applications.