Microchip Technology Incorporated (MCHP) to Issue Quarterly Dividend of $0.45 on June 5th

Microchip Technology Incorporated (NASDAQ:MCHP) announced a quarterly dividend on Monday, May 6th, RTT News reports. Shareholders of record on Wednesday, May 22nd will be paid a dividend of 0.452 per share by the semiconductor company on Wednesday, June 5th. This represents a $1.81 dividend on an annualized basis and a yield of 1.96%. The ex-dividend date of this dividend is Tuesday, May 21st. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45.

Microchip Technology has raised its dividend payment by an average of 29.3% per year over the last three years and has raised its dividend every year for the last 23 years. Microchip Technology has a payout ratio of 40.4% meaning its dividend is sufficiently covered by earnings. Research analysts expect Microchip Technology to earn $2.72 per share next year, which means the company should continue to be able to cover its $1.80 annual dividend with an expected future payout ratio of 66.2%.

Microchip Technology Stock Down 1.8 %

Shares of NASDAQ:MCHP opened at $92.06 on Wednesday. The company’s fifty day moving average is $88.45 and its 200-day moving average is $85.37. 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 has a 52 week low of $68.75 and a 52 week high of $96.14. The company has a market capitalization of $49.75 billion, a PE ratio of 21.51, a P/E/G ratio of 2.79 and a beta of 1.60.

Microchip Technology (NASDAQ:MCHP) last released its quarterly earnings results on Monday, May 6th. The semiconductor company reported $0.57 EPS for the quarter, meeting analysts’ consensus estimates of $0.57. The firm had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.33 billion. Microchip Technology had a net margin of 27.59% and a return on equity of 45.59%. The company’s revenue for the quarter was down 40.6% compared to the same quarter last year. During the same period in the previous year, the business earned $1.56 earnings per share. Equities research analysts predict that Microchip Technology will post 4.64 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Microchip Technology news, CFO James Eric Bjornholt sold 1,970 shares of the stock in a transaction 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 sale, the chief financial officer now directly owns 32,893 shares in the company, valued at $2,759,722.70. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. 2.07% of the stock is currently owned by insiders.

Analyst Ratings Changes

Several equities analysts have issued reports on MCHP shares. Mizuho lifted their price objective on Microchip Technology from $82.00 to $85.00 and gave the company a “neutral” rating in a research report on Tuesday. Needham & Company LLC upped their price target on shares of Microchip Technology from $90.00 to $100.00 and gave the stock a “buy” rating in a research report on Tuesday. KeyCorp raised their price objective on shares of Microchip Technology from $90.00 to $110.00 and gave the company an “overweight” rating in a research report on Tuesday. Stifel Nicolaus upped their target price on shares of Microchip Technology from $98.00 to $102.00 and gave the stock a “buy” rating in a research report on Wednesday, May 1st. Finally, Truist Financial raised their price target on shares of Microchip Technology from $93.00 to $96.00 and gave the company a “buy” rating in a report on Tuesday. Six analysts have rated the stock with a hold rating and twelve have given a buy rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $98.47.

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.