Microchip Technology Incorporated (MCHP) to Issue Quarterly Dividend of $0.46 on June 5th

Microchip Technology Incorporated (NASDAQ:MCHP) declared a quarterly dividend on Thursday, May 7th. Shareholders of record on Friday, May 22nd will be given a dividend of 0.455 per share by the semiconductor company on Friday, June 5th. This represents a c) dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Friday, May 22nd.

Microchip Technology has raised its dividend payment by an average of 0.2%annually over the last three years and has increased its dividend annually for the last 23 consecutive years. Microchip Technology has a dividend payout ratio of 72.2% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Microchip Technology to earn $2.97 per share next year, which means the company should continue to be able to cover its $1.82 annual dividend with an expected future payout ratio of 61.3%.

Microchip Technology Stock Performance

NASDAQ:MCHP opened at $91.81 on Wednesday. The company has a debt-to-equity ratio of 0.85, a current ratio of 2.09 and a quick ratio of 1.18. The firm has a 50-day moving average of $77.16 and a two-hundred day moving average of $70.96. The stock has a market cap of $49.68 billion, a P/E ratio of 437.21, a PEG ratio of 1.14 and a beta of 1.75. Microchip Technology has a 1-year low of $48.52 and a 1-year high of $105.91.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share for the quarter, beating analysts’ consensus estimates of $0.50 by $0.07. The company had revenue of $1.31 billion during the quarter, compared to analysts’ expectations of $1.26 billion. Microchip Technology had a net margin of 4.88% and a return on equity of 10.87%. The firm’s revenue for the quarter was up 35.1% on a year-over-year basis. During the same period in the prior year, the company posted $0.11 EPS. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. On average, research analysts expect that Microchip Technology will post 2.2 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on MCHP. Susquehanna upped their price objective on shares of Microchip Technology from $95.00 to $120.00 and gave the company a “positive” rating in a research report on Friday, May 8th. Mizuho upped their price objective on shares of Microchip Technology from $83.00 to $90.00 and gave the company an “outperform” rating in a research report on Friday, February 6th. Jefferies Financial Group restated a “hold” rating on shares of Microchip Technology in a research note on Wednesday, February 4th. Wall Street Zen upgraded shares of Microchip Technology from a “hold” rating to a “buy” rating in a research note on Saturday, May 9th. Finally, UBS Group upped their target price on shares of Microchip Technology from $115.00 to $130.00 and gave the company a “buy” rating in a research note on Friday, May 8th. Four research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Microchip Technology currently has a consensus rating of “Moderate Buy” and an average target price of $97.52.

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.