Microchip Technology Incorporated $MCHP Stake Lifted by Hsbc Holdings PLC

Hsbc Holdings PLC lifted its stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP) by 13.0% during the first quarter, Holdings Channel.com reports. The fund owned 1,160,129 shares of the semiconductor company’s stock after purchasing an additional 133,813 shares during the period. Hsbc Holdings PLC’s holdings in Microchip Technology were worth $74,649,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in MCHP. Norges Bank acquired a new stake in Microchip Technology in the fourth quarter worth approximately $664,564,000. Barclays PLC raised its stake in shares of Microchip Technology by 66.5% in the 4th quarter. Barclays PLC now owns 13,996,883 shares of the semiconductor company’s stock worth $891,881,000 after buying an additional 5,590,210 shares in the last quarter. Rafferty Asset Management LLC raised its stake in shares of Microchip Technology by 41.0% in the 2nd quarter. Rafferty Asset Management LLC now owns 6,203,762 shares of the semiconductor company’s stock worth $436,559,000 after buying an additional 1,803,945 shares in the last quarter. Ameriprise Financial Inc. lifted its holdings in shares of Microchip Technology by 255.7% in the second quarter. Ameriprise Financial Inc. now owns 2,135,140 shares of the semiconductor company’s stock valued at $150,271,000 after buying an additional 1,534,829 shares during the period. Finally, Worldquant Millennium Advisors LLC acquired a new stake in shares of Microchip Technology in the second quarter valued at $101,359,000. Institutional investors own 91.51% of the company’s stock.

Microchip Technology Stock Performance

NASDAQ:MCHP opened at $80.96 on Monday. The company has a quick ratio of 1.18, a current ratio of 2.09 and a debt-to-equity ratio of 0.85. Microchip Technology Incorporated has a 1-year low of $48.52 and a 1-year high of $105.91. The firm has a market capitalization of $43.96 billion, a price-to-earnings ratio of 385.54, a price-to-earnings-growth ratio of 0.82 and a beta of 1.74. The stock has a fifty day simple moving average of $92.15 and a 200 day simple moving average of $80.59.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.50 by $0.07. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The firm had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.26 billion. During the same quarter in the previous year, the company earned $0.11 EPS. The business’s revenue for the quarter was up 35.1% compared to the same quarter last year. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Sell-side analysts forecast that Microchip Technology Incorporated will post 2.69 earnings per share for the current year.

Microchip Technology Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Friday, May 22nd were given a dividend of $0.455 per share. This represents a $1.82 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend was Friday, May 22nd. Microchip Technology’s payout ratio is presently 866.67%.

Insiders Place Their Bets

In other news, CEO Steve Sanghi sold 416,581 shares of the company’s stock in a transaction on Thursday, April 23rd. The shares were sold at an average price of $88.53, for a total value of $36,879,915.93. Following the transaction, the chief executive officer directly owned 9,495,805 shares of the company’s stock, valued at approximately $840,663,616.65. This represents a 4.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO James Eric Bjornholt sold 3,667 shares of the stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $90.87, for a total value of $333,220.29. Following the sale, the chief financial officer owned 28,573 shares of the company’s stock, valued at approximately $2,596,428.51. This represents a 11.37% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 553,302 shares of company stock worth $49,673,635 over the last quarter. Company insiders own 1.79% of the company’s stock.

Trending Headlines about Microchip Technology

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: KeyCorp raised long-term earnings expectations for Microchip Technology, forecasting FY2027 EPS of $3.00 and FY2028 EPS of $3.83, both above current consensus. This points to improving fundamentals and supports a more constructive outlook for NASDAQ:MCHP.
• Positive Sentiment: Recent coverage highlighted Microchip’s strong earnings surprise history and the potential to beat estimates again, reinforcing investor confidence ahead of the next report.
• Positive Sentiment: Another bullish note pointed to Microchip’s 35.3% year-to-date gain being driven by inventory recovery, stronger bookings, and AI data center demand, all of which may continue to support the stock.
• Neutral Sentiment: KeyCorp also provided quarterly estimates for FY2027 and FY2028 periods, but these updates were primarily forecast revisions rather than new company guidance or a major business announcement.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the company. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $125.00 target price on shares of Microchip Technology in a report on Wednesday, May 13th. Rosenblatt Securities upped their price target on shares of Microchip Technology from $115.00 to $120.00 and gave the company a “buy” rating in a report on Friday, May 8th. Citigroup raised their price objective on shares of Microchip Technology from $91.00 to $113.00 and gave the company a “buy” rating in a research report on Friday, May 8th. Wells Fargo & Company lifted their price objective on shares of Microchip Technology from $75.00 to $95.00 and gave the stock an “equal weight” rating in a research note on Friday, May 8th. Finally, Needham & Company LLC boosted their target price on shares of Microchip Technology from $84.00 to $120.00 and gave the stock a “buy” rating in a report on Friday, May 8th. Four analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $100.10.

Microchip Technology 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.