Evercore ISI Initiates Coverage on Microchip Technology (NASDAQ:MCHP)

Evercore ISI initiated coverage on shares of Microchip Technology (NASDAQ:MCHP) in a research report report published on Tuesday, MarketBeat.com reports. The brokerage issued an outperform rating and a $106.00 price objective on the semiconductor company’s stock.

MCHP has been the topic of several other reports. Needham & Company LLC lifted their price target on shares of Microchip Technology from $85.00 to $90.00 and gave the stock a buy rating in a research note 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 on the stock in a report on Thursday, January 18th. Piper Sandler cut shares of Microchip Technology from an overweight rating to a neutral rating and set a $80.00 target price on the stock. in a report on Thursday, January 4th. Truist Financial cut their target price on shares of Microchip Technology from $97.00 to $93.00 and set a buy rating on the stock in a report on Tuesday, January 9th. Finally, Susquehanna restated a positive rating and issued a $100.00 target price on shares of Microchip Technology in a report on Monday, April 8th. Six research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of Moderate Buy and a consensus price target of $92.50.

Microchip Technology Trading Down 1.0 %

MCHP stock opened at $84.21 on Tuesday. The company has a market capitalization of $45.51 billion, a PE ratio of 19.68, a price-to-earnings-growth ratio of 2.62 and a beta of 1.65. Microchip Technology has a one year low of $68.75 and a one year high of $94.30. The company’s 50 day moving average price is $86.58 and its two-hundred day moving average price is $84.24. The company has a debt-to-equity ratio of 0.57, a quick ratio of 0.58 and a current ratio of 0.98.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings results on Thursday, February 1st. The semiconductor company reported $1.08 EPS for the quarter, topping the consensus estimate of $1.04 by $0.04. The firm had revenue of $1.77 billion for the quarter, compared to the consensus estimate of $1.77 billion. Microchip Technology had a net margin of 27.59% and a return on equity of 45.59%. The business’s revenue 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, analysts predict that Microchip Technology will post 4.64 earnings per share for the current fiscal year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 8th. Stockholders 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 dividend yield of 2.14%. The ex-dividend date was Thursday, February 22nd. This is a boost from Microchip Technology’s previous quarterly dividend of $0.44. Microchip Technology’s payout ratio is 42.06%.

Insider Activity

In other news, Director Karlton D. Johnson sold 370 shares of the business’s stock in a transaction 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 sale, the director now owns 1,789 shares in the company, valued at approximately $150,276. The sale was disclosed in a document filed with the SEC, which is accessible through this link. In other news, Director Karlton D. Johnson sold 370 shares of the business’s stock in a transaction 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 sale, the director now owns 1,789 shares in the company, valued at approximately $150,276. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, CFO James Eric Bjornholt sold 1,970 shares of the business’s stock in a transaction on Friday, February 23rd. The shares were sold at an average price of $83.90, for a total transaction of $165,283.00. Following the sale, the chief financial officer now owns 32,893 shares in the company, valued at approximately $2,759,722.70. The disclosure for this sale can be found here. Company insiders own 2.07% of the company’s stock.

Hedge Funds Weigh In On Microchip Technology

Several large investors have recently modified their holdings of MCHP. Norges Bank purchased a new position in shares of Microchip Technology in the 4th quarter worth about $672,196,000. Mizuho Markets Americas LLC purchased a new position in shares of Microchip Technology in the 3rd quarter worth about $225,800,000. Truist Financial Corp raised its position in shares of 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 purchasing an additional 1,386,924 shares during the last quarter. Prudential Financial Inc. raised its position in shares of Microchip Technology by 98.5% in the 1st quarter. Prudential Financial Inc. now owns 2,056,405 shares of the semiconductor company’s stock worth $154,518,000 after purchasing an additional 1,020,624 shares during the last quarter. Finally, Corient Private Wealth LLC raised its position in shares of 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 purchasing an additional 886,068 shares during 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.