Microchip Technology Incorporated (NASDAQ:MCHP) Receives $86.00 Average Target Price from Analysts

Microchip Technology Incorporated (NASDAQ:MCHP) has received an average recommendation of “Moderate Buy” from the twenty-six brokerages that are presently covering the firm, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, seven have assigned a hold recommendation, fifteen have given a buy recommendation and three have issued a strong buy recommendation on the company. The average twelve-month price objective among brokerages that have updated their coverage on the stock in the last year is $86.00.

A number of equities analysts have weighed in on the company. Needham & Company LLC boosted their price target on Microchip Technology from $77.00 to $84.00 and gave the stock a “buy” rating in a research report on Friday, February 6th. Wells Fargo & Company boosted their price target on Microchip Technology from $68.00 to $70.00 and gave the stock an “equal weight” rating in a research report on Friday, February 6th. Wall Street Zen raised Microchip Technology from a “hold” rating to a “buy” rating in a research report on Tuesday, March 31st. Bank of America raised Microchip Technology from a “neutral” rating to a “buy” rating and set a $95.00 price target on the stock in a research report on Wednesday, January 28th. Finally, Weiss Ratings downgraded Microchip Technology from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, March 27th.

Insiders Place Their Bets

In other Microchip Technology news, CEO Steve Sanghi sold 98,814 shares of the business’s stock in a transaction that occurred on Wednesday, January 28th. The stock was sold at an average price of $80.55, for a total transaction of $7,959,467.70. Following the transaction, the chief executive officer owned 9,922,319 shares of the company’s stock, valued at $799,242,795.45. The trade was a 0.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 1.94% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Microchip Technology

Institutional investors have recently bought and sold shares of the business. AQR Capital Management LLC grew its position in shares of Microchip Technology by 51.3% in the first quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock valued at $827,000 after purchasing an additional 5,835 shares during the last quarter. Geneos Wealth Management Inc. grew its position in shares of Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock valued at $59,000 after purchasing an additional 616 shares during the last quarter. Cresset Asset Management LLC grew its position in shares of Microchip Technology by 5.4% in the second quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company’s stock valued at $805,000 after purchasing an additional 589 shares during the last quarter. AXA S.A. grew its position in shares of Microchip Technology by 21.3% in the second quarter. AXA S.A. now owns 51,552 shares of the semiconductor company’s stock valued at $3,628,000 after purchasing an additional 9,043 shares during the last quarter. Finally, Treasurer of the State of North Carolina grew its position in shares of Microchip Technology by 1.6% in the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company’s stock valued at $17,348,000 after purchasing an additional 3,851 shares during the last quarter. Institutional investors and hedge funds own 91.51% of the company’s stock.

Microchip Technology Stock Up 1.7%

MCHP traded up $1.36 on Tuesday, hitting $81.75. 782,393 shares of the company were exchanged, compared to its average volume of 9,046,214. Microchip Technology has a 12 month low of $39.58 and a 12 month high of $83.35. The company has a market cap of $44.24 billion, a PE ratio of -281.34, a PEG ratio of 1.05 and a beta of 1.49. 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 stock’s fifty day moving average is $70.44 and its 200-day moving average is $67.19.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Thursday, February 5th. The semiconductor company reported $0.44 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.43 by $0.01. Microchip Technology had a positive return on equity of 7.16% and a negative net margin of 1.57%.The business had revenue of $1.19 billion for the quarter, compared to analyst estimates of $1.19 billion. During the same quarter in the prior year, the company posted $0.20 earnings per share. Microchip Technology’s revenue was up 15.6% on a year-over-year basis. Microchip Technology has set its Q4 2026 guidance at 0.480-0.520 EPS. Equities research analysts predict that Microchip Technology will post 1.16 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 10th. Shareholders of record on Monday, February 23rd were given a dividend of $0.455 per share. This represents a $1.82 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date of this dividend was Monday, February 23rd. Microchip Technology’s payout ratio is -627.59%.

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.