Microchip Technology (NASDAQ:MCHP) Shares Gap Up to $86.19

Microchip Technology Incorporated (NASDAQ:MCHP) gapped up prior to trading on Wednesday . The stock had previously closed at $86.19, but opened at $90.79. Microchip Technology shares last traded at $91.01, with a volume of 1,153,804 shares traded.

Analysts Set New Price Targets

Several research analysts have commented on MCHP shares. UBS Group decreased their target price on shares of Microchip Technology from $105.00 to $95.00 and set a “buy” rating for the company in a research report on Friday, February 2nd. Wolfe Research upgraded shares of Microchip Technology from a “peer perform” rating to an “outperform” rating and set a $105.00 target price for the company in a research report on Thursday, January 18th. Susquehanna restated a “positive” rating and issued a $100.00 target price on shares of Microchip Technology in a research report on Monday, April 8th. TD Cowen upped their target price on shares of Microchip Technology from $75.00 to $80.00 and gave the stock a “market perform” rating in a research report on Friday, February 2nd. Finally, Piper Sandler cut shares of Microchip Technology from an “overweight” rating to a “neutral” rating and set a $80.00 target price for the company. in a research report on Thursday, January 4th. Six investment analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $92.50.

Microchip Technology Stock Up 1.7 %

The firm’s fifty day moving average price is $87.00 and its 200-day moving average price is $84.55. The company has a debt-to-equity ratio of 0.57, a current ratio of 0.98 and a quick ratio of 0.58. The firm has a market capitalization of $49.83 billion, a P/E ratio of 21.54, a PEG ratio of 2.63 and a beta of 1.65.

Microchip Technology (NASDAQ:MCHP) last issued its earnings results on Thursday, February 1st. The semiconductor company reported $1.08 earnings per share for the quarter, topping analysts’ consensus estimates of $1.04 by $0.04. The firm had revenue of $1.77 billion during the quarter, compared to analysts’ expectations of $1.77 billion. Microchip Technology had a net margin of 27.59% and a return on equity of 45.59%. The firm’s revenue for the quarter was down 18.6% compared to the same quarter last year. During the same period last year, the firm posted $1.48 earnings per share. As a group, equities research analysts forecast that Microchip Technology Incorporated will post 4.64 earnings per share for the current year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 8th. Investors of record on Friday, February 23rd were issued a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a yield of 1.95%. This is a boost from Microchip Technology’s previous quarterly dividend of $0.44. The ex-dividend date was Thursday, February 22nd. Microchip Technology’s dividend payout ratio (DPR) is presently 42.06%.

Insider Buying and Selling

In related news, Director Karlton D. Johnson sold 370 shares of the firm’s stock in a transaction that occurred on Tuesday, February 6th. The shares were sold at an average price of $84.00, for a total transaction of $31,080.00. Following the completion of the sale, the director now directly owns 1,789 shares in the company, valued at $150,276. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. In related news, CFO James Eric Bjornholt sold 1,970 shares of the company’s stock in a transaction that occurred on Friday, February 23rd. The shares were sold at an average price of $83.90, for a total value of $165,283.00. Following the completion of the sale, the chief financial officer now owns 32,893 shares in the company, valued at approximately $2,759,722.70. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Karlton D. Johnson sold 370 shares of the company’s stock in a transaction that occurred on Tuesday, February 6th. The shares were sold at an average price of $84.00, for a total transaction of $31,080.00. Following the completion of the sale, the director now owns 1,789 shares of the company’s stock, valued at approximately $150,276. The disclosure for this sale can be found here. 2.07% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Microchip Technology

Several hedge funds have recently made changes to their positions in MCHP. Norges Bank purchased a new stake in shares of Microchip Technology in the 4th quarter valued at approximately $672,196,000. Mizuho Markets Americas LLC purchased a new stake in Microchip Technology in the 3rd quarter worth approximately $225,800,000. Truist Financial Corp lifted its position in Microchip Technology by 324.0% in the 4th quarter. Truist Financial Corp now owns 1,815,013 shares of the semiconductor company’s stock worth $163,678,000 after buying an additional 1,386,924 shares in the last quarter. Corient Private Wealth LLC lifted its position in Microchip Technology by 76.6% in the 4th quarter. Corient Private Wealth LLC now owns 2,043,484 shares of the semiconductor company’s stock worth $184,251,000 after buying an additional 886,068 shares in the last quarter. Finally, Qube Research & Technologies Ltd lifted its position in Microchip Technology by 122.1% in the 3rd quarter. Qube Research & Technologies Ltd now owns 1,529,186 shares of the semiconductor company’s stock worth $119,353,000 after buying an additional 840,526 shares in the last quarter. Hedge funds and other institutional investors own 91.51% of the company’s stock.

About Microchip Technology

Microchip Technology Incorporated develops, manufactures, and sells smart, connected, and secure embedded control solutions in the Americas, Europe, and Asia. The company offers general purpose 8-bit, 16-bit, and 32-bit microcontrollers; 32-bit embedded mixed-signal microprocessors; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications.