Microchip Technology Incorporated (NASDAQ:MCHP) Receives $98.18 Average Price Target from Analysts

Microchip Technology Incorporated (NASDAQ:MCHP) has been assigned an average recommendation of “Moderate Buy” from the twenty-five analysts that are covering the company, Marketbeat.com reports. Seven analysts have rated the stock with a hold recommendation, fourteen have assigned a buy recommendation and four have given a strong buy recommendation to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $98.1818.

Several research analysts recently commented on MCHP shares. Zacks Research upgraded shares of Microchip Technology from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 12th. JPMorgan Chase & Co. lifted their price target on shares of Microchip Technology from $95.00 to $120.00 and gave the company an “overweight” rating in a research note on Friday, May 8th. Cantor Fitzgerald reissued an “overweight” rating and set a $125.00 price target on shares of Microchip Technology in a research report on Wednesday, May 13th. Wells Fargo & Company increased their price objective on shares of Microchip Technology from $75.00 to $95.00 and gave the stock an “equal weight” rating in a research note on Friday, May 8th. Finally, Susquehanna raised their price objective on Microchip Technology from $95.00 to $120.00 and gave the company a “positive” rating in a report on Friday, May 8th.

Insider Buying and Selling

In other Microchip Technology news, Director Matthew W. Chapman sold 10,000 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $95.48, for a total transaction of $954,800.00. Following the transaction, the director owned 20,665 shares of the company’s stock, valued at $1,973,094.20. The trade was a 32.61% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, 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 sale, 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 position. The disclosure for this sale is available in the SEC filing. Insiders have sold 553,302 shares of company stock valued at $49,673,635 in the last ninety days. 1.94% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Eastern Bank lifted its stake in Microchip Technology by 11.2% in the 2nd quarter. Eastern Bank now owns 2,001 shares of the semiconductor company’s stock valued at $182,000 after purchasing an additional 201 shares during the last quarter. Sapient Capital LLC acquired a new position in Microchip Technology during the first quarter worth approximately $259,000. Parallel Advisors LLC raised its stake in Microchip Technology by 8.3% in the first quarter. Parallel Advisors LLC now owns 10,679 shares of the semiconductor company’s stock valued at $690,000 after buying an additional 814 shares during the period. Western Wealth Management LLC bought a new stake in Microchip Technology in the first quarter valued at approximately $104,000. Finally, Oddo BHF Asset Management Sas acquired a new stake in shares of Microchip Technology in the first quarter valued at approximately $3,061,000. Institutional investors own 91.51% of the company’s stock.

Microchip Technology Price Performance

NASDAQ:MCHP opened at $84.64 on Friday. The company has a debt-to-equity ratio of 0.85, a quick ratio of 1.18 and a current ratio of 2.09. The company has a market cap of $45.88 billion, a PE ratio of 403.07, a PEG ratio of 0.87 and a beta of 1.74. Microchip Technology has a 52-week low of $48.52 and a 52-week high of $105.91. The stock has a 50-day simple moving average of $93.79 and a 200 day simple moving average of $79.07.

Microchip Technology (NASDAQ:MCHP) last released 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 for the quarter, compared to analysts’ expectations 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% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, sell-side analysts expect that Microchip Technology will post 2.66 EPS for the current fiscal year.

Microchip Technology Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were given a dividend of $0.455 per share. The ex-dividend date of this dividend was Friday, May 22nd. This represents a $1.82 annualized dividend and a yield of 2.2%. Microchip Technology’s dividend payout ratio is 866.67%.

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.