Microchip Technology (NASDAQ:MCHP) Downgraded to Hold Rating by Wall Street Zen

Microchip Technology (NASDAQ:MCHP) was downgraded by equities researchers at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday.

A number of other research firms also recently weighed in on MCHP. TD Cowen dropped their target price on Microchip Technology from $65.00 to $60.00 and set a “hold” rating for the company in a report on Friday, November 7th. Morgan Stanley raised their price target on shares of Microchip Technology from $68.00 to $69.00 and gave the stock an “equal weight” rating in a research report on Tuesday, January 6th. Mizuho lifted their price objective on shares of Microchip Technology from $83.00 to $90.00 and gave the stock an “outperform” rating in a research note on Friday, February 6th. Bank of America raised shares of Microchip Technology from a “neutral” rating to a “buy” rating and set a $95.00 price objective for the company in a report on Wednesday, January 28th. Finally, B. Riley Financial 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 12th. Three analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, Microchip Technology has a consensus rating of “Moderate Buy” and a consensus target price of $86.00.

Microchip Technology Trading Down 4.4%

Shares of NASDAQ:MCHP opened at $64.82 on Friday. Microchip Technology has a 12-month low of $34.13 and a 12-month high of $83.35. The business has a 50 day moving average of $74.23 and a 200-day moving average of $66.72. The company has a quick ratio of 1.16, a current ratio of 2.16 and a debt-to-equity ratio of 0.82. The stock has a market cap of $35.08 billion, a PE ratio of -223.52, a P/E/G ratio of 1.71 and a beta of 1.45.

Microchip Technology (NASDAQ:MCHP) last announced its earnings results on Thursday, February 5th. The semiconductor company reported $0.44 earnings per share for the quarter, topping analysts’ consensus estimates 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 company had revenue of $1.19 billion for the quarter, compared to analyst estimates of $1.19 billion. During the same quarter last year, the company earned $0.20 earnings per share. The firm’s quarterly revenue was up 15.6% compared to the same quarter last year. Microchip Technology has set its Q4 2026 guidance at 0.480-0.520 EPS. As a group, equities research analysts forecast that Microchip Technology will post 1.03 earnings per share for the current year.

Insider Activity

In related news, CEO Steve Sanghi sold 98,814 shares of Microchip Technology stock in a transaction that occurred on Wednesday, January 28th. The shares were sold at an average price of $80.55, for a total transaction of $7,959,467.70. Following the sale, the chief executive officer directly owned 9,922,319 shares of the company’s stock, valued at approximately $799,242,795.45. The trade was a 0.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 1.94% of the company’s stock.

Institutional Trading of Microchip Technology

A number of hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its holdings in shares of Microchip Technology by 2.0% during the fourth quarter. Vanguard Group Inc. now owns 73,506,339 shares of the semiconductor company’s stock worth $4,683,824,000 after buying an additional 1,430,781 shares in the last quarter. State Street Corp boosted its holdings in shares of Microchip Technology by 8.5% during the 2nd quarter. State Street Corp now owns 31,888,814 shares of the semiconductor company’s stock valued at $2,244,016,000 after acquiring an additional 2,489,258 shares in the last quarter. Invesco Ltd. boosted its holdings in shares of Microchip Technology by 10.4% during the 2nd quarter. Invesco Ltd. now owns 18,452,546 shares of the semiconductor company’s stock valued at $1,298,506,000 after acquiring an additional 1,745,515 shares in the last quarter. Boston Partners grew its position in Microchip Technology by 9.5% during the 3rd quarter. Boston Partners now owns 16,234,332 shares of the semiconductor company’s stock worth $1,044,024,000 after acquiring an additional 1,406,885 shares during the last quarter. Finally, Geode Capital Management LLC grew its position in Microchip Technology by 1.4% during the 4th quarter. Geode Capital Management LLC now owns 15,394,985 shares of the semiconductor company’s stock worth $977,638,000 after acquiring an additional 213,188 shares during the last quarter. Institutional investors and hedge funds own 91.51% of the company’s stock.

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.