Brokerages Set Microchip Technology Incorporated (NASDAQ:MCHP) Price Target at $75.75

Shares of Microchip Technology Incorporated (NASDAQ:MCHP) have been given a consensus recommendation of “Moderate Buy” by the twenty-one brokerages that are covering the stock, MarketBeat reports. Seven investment analysts have rated the stock with a hold recommendation, thirteen have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month target price among brokerages that have updated their coverage on the stock in the last year is $75.75.

Several equities research analysts have recently weighed in on the company. Susquehanna increased their price objective on Microchip Technology from $60.00 to $90.00 and gave the company a “positive” rating in a research report on Tuesday, July 22nd. TD Cowen reduced their price objective on Microchip Technology from $75.00 to $60.00 and set a “hold” rating for the company in a research report on Friday, August 8th. Wall Street Zen raised Microchip Technology from a “sell” rating to a “hold” rating in a research report on Friday, June 27th. Wells Fargo & Company assumed coverage on Microchip Technology in a research report on Monday, September 15th. They issued an “equal weight” rating and a $60.00 price objective for the company. Finally, Truist Financial increased their price objective on Microchip Technology from $52.00 to $64.00 and gave the company a “hold” rating in a research report on Wednesday, June 18th.

Insiders Place Their Bets

In related news, Director Matthew W. Chapman sold 10,000 shares of the company’s stock in a transaction on Monday, August 25th. The stock was sold at an average price of $68.25, for a total value of $682,500.00. Following the completion of the transaction, the director directly owned 30,665 shares in the company, valued at approximately $2,092,886.25. This represents a 24.59% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO James Eric Bjornholt sold 7,356 shares of the company’s stock in a transaction on Monday, August 25th. The shares were sold at an average price of $68.72, for a total value of $505,504.32. Following the completion of the transaction, the chief financial officer owned 30,010 shares of the company’s stock, valued at $2,062,287.20. The trade was a 19.69% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.94% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Central Pacific Bank Trust Division raised its stake in shares of Microchip Technology by 5.2% in the third quarter. Central Pacific Bank Trust Division now owns 33,326 shares of the semiconductor company’s stock valued at $2,140,000 after purchasing an additional 1,649 shares in the last quarter. Praxis Investment Management Inc. raised its stake in shares of Microchip Technology by 38.7% in the third quarter. Praxis Investment Management Inc. now owns 13,819 shares of the semiconductor company’s stock valued at $887,000 after purchasing an additional 3,859 shares in the last quarter. Corient Private Wealth LLC raised its stake in shares of Microchip Technology by 79.9% in the second quarter. Corient Private Wealth LLC now owns 2,109,062 shares of the semiconductor company’s stock valued at $148,415,000 after purchasing an additional 936,405 shares in the last quarter. Texas Permanent School Fund Corp raised its stake in shares of Microchip Technology by 22.0% in the second quarter. Texas Permanent School Fund Corp now owns 70,731 shares of the semiconductor company’s stock valued at $4,977,000 after purchasing an additional 12,737 shares in the last quarter. Finally, Caldwell Trust Co acquired a new position in Microchip Technology during the second quarter worth $537,000. 91.51% of the stock is currently owned by institutional investors and hedge funds.

Microchip Technology Stock Up 3.2%

Shares of Microchip Technology stock opened at $66.13 on Friday. The stock has a market capitalization of $35.69 billion, a P/E ratio of -194.50, a PEG ratio of 1.84 and a beta of 1.55. The company has a quick ratio of 1.33, a current ratio of 2.31 and a debt-to-equity ratio of 0.80. The stock has a 50 day moving average price of $65.72 and a two-hundred day moving average price of $60.49. Microchip Technology has a 12-month low of $34.13 and a 12-month high of $79.53.

Microchip Technology (NASDAQ:MCHP) last announced its earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.03. The firm had revenue of $1.08 billion during the quarter, compared to analysts’ expectations of $1.05 billion. Microchip Technology had a positive return on equity of 6.24% and a negative net margin of 3.50%.The company’s revenue was down 13.3% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.53 earnings per share. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. Equities analysts expect that Microchip Technology will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 5th. Stockholders of record on Friday, August 22nd were given a $0.455 dividend. This represents a $1.82 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend was Friday, August 22nd. Microchip Technology’s dividend payout ratio is currently -535.29%.

About Microchip Technology

Microchip Technology Incorporated engages in the development, manufacture, and sale of 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 mixed-signal 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.