ABC Arbitrage SA Buys New Position in Microchip Technology Incorporated $MCHP

ABC Arbitrage SA purchased a new position in Microchip Technology Incorporated (NASDAQ:MCHP) during the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund purchased 7,591 shares of the semiconductor company’s stock, valued at approximately $487,000.

A number of other institutional investors and hedge funds also recently bought and sold shares of MCHP. Vanguard Group Inc. raised its holdings in shares of Microchip Technology by 1.8% in the 2nd quarter. Vanguard Group Inc. now owns 70,568,004 shares of the semiconductor company’s stock worth $4,965,870,000 after purchasing an additional 1,265,390 shares in the last quarter. State Street Corp grew its position in Microchip Technology by 8.5% in the second quarter. State Street Corp now owns 31,888,814 shares of the semiconductor company’s stock worth $2,244,016,000 after buying an additional 2,489,258 shares during the last quarter. Invesco Ltd. increased its holdings in shares of Microchip Technology by 10.4% in the second quarter. Invesco Ltd. now owns 18,452,546 shares of the semiconductor company’s stock valued at $1,298,506,000 after buying an additional 1,745,515 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Microchip Technology by 2.4% during the 2nd quarter. Geode Capital Management LLC now owns 14,842,341 shares of the semiconductor company’s stock valued at $1,040,544,000 after acquiring an additional 343,210 shares during the last quarter. Finally, Boston Partners boosted its stake in shares of Microchip Technology by 38.2% during the 2nd quarter. Boston Partners now owns 14,827,447 shares of the semiconductor company’s stock worth $1,041,868,000 after acquiring an additional 4,101,034 shares in the last quarter. 91.51% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the company. Bank of America raised Microchip Technology from a “neutral” rating to a “buy” rating and set a $95.00 target price on the stock in a research report on Wednesday, January 28th. Citigroup dropped their price target on Microchip Technology from $92.00 to $91.00 and set a “buy” rating on the stock in a research note on Friday, February 6th. BNP Paribas Exane raised shares of Microchip Technology from a “neutral” rating to an “outperform” rating and set a $90.00 price objective for the company in a research note on Thursday, January 22nd. UBS Group raised their target price on shares of Microchip Technology from $85.00 to $95.00 and gave the stock a “buy” rating in a report on Monday, January 26th. Finally, Wall Street Zen raised shares of Microchip Technology from a “hold” rating to a “buy” rating in a research report on Saturday, February 7th. Four investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $86.27.

Insider Activity at Microchip Technology

In other Microchip Technology news, CFO James Eric Bjornholt sold 4,292 shares of Microchip Technology stock in a transaction that occurred on Tuesday, November 25th. The shares were sold at an average price of $50.39, for a total value of $216,273.88. Following the completion of the sale, the chief financial officer directly owned 30,089 shares in the company, valued at $1,516,184.71. The trade was a 12.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, 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 completion of the sale, the chief executive officer directly owned 9,922,319 shares of the company’s stock, valued at $799,242,795.45. This represents a 0.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 121,615 shares of company stock valued at $9,641,654. 1.94% of the stock is currently owned by company insiders.

Trending Headlines about Microchip Technology

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Microchip launched production‑ready, full‑stack Edge AI solutions that package MCUs/MPUs, pre‑trained models and developer tools — positioning the company to win real‑time industrial, automotive and IoT design wins. This is a strategic product development story supporting longer‑term revenue growth and better product stickiness. Production-Ready, Full-Stack Edge AI Solutions
• Positive Sentiment: An analyst upgrade (Argus to “strong‑buy”) and recent bullish analyst coverage/price targets support near‑term buying interest and help explain upward momentum. Argus upgrade / Zacks
• Neutral Sentiment: Microchip announced and completed a convertible senior‑notes financing that was initially proposed at $600M, later priced/upsized in public filings ( ~$800M ), and reported in some outlets as $900M of 0% convertible notes. Management says proceeds will optimize capital structure and support growth initiatives, but public reports differ on the final amount — creating some short‑term uncertainty on exact proceeds and use. Upsize and Pricing of $800M Convertible Senior Notes
• Neutral Sentiment: Coverage pieces assessing valuation after the Edge AI push and the convertible offering highlight both upside from new markets and the need to justify a higher multiple — useful context for investors sizing positions. Assessing Valuation After Edge AI Expansion
• Negative Sentiment: Some analysts/commentators argue Microchip’s valuation is already steep, warning that current multiples require continued execution to justify higher targets — a catalyst for profit‑taking if growth or margins slip. Valuation Is Too Steep
• Negative Sentiment: Recent insider selling activity and large institutional reductions (reported by data aggregators) are potential near‑term headwinds for sentiment; watch for further insider or 13F disclosures. Quiver / Insider & Institutional Activity

Microchip Technology Stock Up 5.1%

Microchip Technology stock opened at $80.75 on Thursday. Microchip Technology Incorporated has a twelve month low of $34.13 and a twelve month high of $81.43. 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 firm has a market cap of $43.70 billion, a PE ratio of -278.45, a P/E/G ratio of 1.94 and a beta of 1.46. The firm’s 50 day moving average price is $71.17 and its two-hundred day moving average price is $65.69.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings results on Thursday, February 5th. The semiconductor company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.43 by $0.01. Microchip Technology had a negative net margin of 1.57% and a positive return on equity of 7.16%. The business had revenue of $1.19 billion for the quarter, compared to analysts’ expectations of $1.19 billion. During the same period in the previous year, the company posted $0.20 EPS. 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. On average, research analysts predict that Microchip Technology Incorporated will post 1.03 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Monday, February 23rd will be issued a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a dividend yield of 2.3%. The ex-dividend date is Monday, February 23rd. Microchip Technology’s payout ratio is currently -627.59%.

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.