Key Points
- Microchip Technology CFO James Eric Bjornholt sold 3,667 shares on May 22 at an average price of $90.87, for proceeds of about $333,220. The sale was made under a pre-arranged Rule 10b5-1 trading plan.
- After the transaction, Bjornholt held 28,573 shares worth roughly $2.6 million, a decrease of 11.37% in his ownership stake.
- The company recently reported strong quarterly results, with EPS of $0.57 beating estimates and revenue rising 35.1% year over year to $1.31 billion. Microchip also announced a quarterly dividend of $0.455 per share, while analysts currently rate the stock a “Moderate Buy” with an average price target of $97.52.
Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) CFO James Eric Bjornholt sold 3,667 shares of the business's stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $90.87, for a total transaction of $333,220.29. Following the sale, the chief financial officer owned 28,573 shares of the company's stock, valued at approximately $2,596,428.51. This represents a 11.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Microchip Technology Price Performance
MCHP opened at $98.05 on Wednesday. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85. Microchip Technology Incorporated has a 52-week low of $48.52 and a 52-week high of $105.91. The company has a 50 day moving average of $80.15 and a two-hundred day moving average of $72.11. The company has a market cap of $53.15 billion, a P/E ratio of 466.93, a P/E/G ratio of 0.98 and a beta of 1.75.
Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.50 by $0.07. Microchip Technology had a net margin of 4.88% and a return on equity of 10.87%. The company had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.26 billion. During the same period in the previous year, the firm earned $0.11 earnings per share. Microchip Technology's revenue for the quarter was up 35.1% on a year-over-year basis. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, analysts expect that Microchip Technology Incorporated will post 2.58 earnings per share for the current year.
Microchip Technology Dividend Announcement
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 5th. Shareholders of record on Friday, May 22nd will be paid a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a yield of 1.9%. The ex-dividend date is Friday, May 22nd. Microchip Technology's payout ratio is currently 866.67%.
Institutional Inflows and Outflows
Several institutional investors and hedge funds have recently made changes to their positions in the company. Western Wealth Management LLC purchased a new position in shares of Microchip Technology in the first quarter valued at $104,000. Oddo BHF Asset Management Sas bought a new position in Microchip Technology during the 1st quarter valued at $3,061,000. Strategic Investment Advisors MI boosted its stake in Microchip Technology by 6.1% during the 1st quarter. Strategic Investment Advisors MI now owns 6,252 shares of the semiconductor company's stock valued at $404,000 after acquiring an additional 360 shares during the last quarter. EverSource Wealth Advisors LLC boosted its stake in Microchip Technology by 37.6% during the 1st quarter. EverSource Wealth Advisors LLC now owns 5,062 shares of the semiconductor company's stock valued at $327,000 after acquiring an additional 1,383 shares during the last quarter. Finally, Empowered Funds LLC boosted its stake in Microchip Technology by 14.7% during the 1st quarter. Empowered Funds LLC now owns 59,518 shares of the semiconductor company's stock valued at $3,845,000 after acquiring an additional 7,631 shares during the last quarter. 91.51% of the stock is currently owned by hedge funds and other institutional investors.
Analysts Set New Price Targets
Several equities research analysts have issued reports on MCHP shares. Stifel Nicolaus set a $90.00 price objective on shares of Microchip Technology in a research note on Friday, February 6th. Bank of America upgraded shares of Microchip Technology from a "neutral" rating to a "buy" rating and set a $95.00 target price for the company in a research note on Wednesday, January 28th. KeyCorp restated an "overweight" rating and issued a $85.00 target price on shares of Microchip Technology in a research note on Friday, February 6th. Needham & Company LLC upped their target price on shares of Microchip Technology from $84.00 to $120.00 and gave the company a "buy" rating in a research note on Friday, May 8th. Finally, Susquehanna upped their target price on shares of Microchip Technology from $95.00 to $120.00 and gave the company a "positive" rating in a research note on Friday, May 8th. Four analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $97.52.
Get Our Latest Report on MCHP
Microchip Technology Company Profile
(
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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.
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