Microchip Technology (NASDAQ:MCHP) Issues Q2 2027 Earnings Guidance

Microchip Technology (NASDAQ:MCHP) updated its second quarter 2027 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 0.910-0.950 for the period, compared to the consensus earnings per share estimate of 0.760. The company issued revenue guidance of $1.6 billion-$1.6 billion, compared to the consensus revenue estimate of $1.5 billion.

Wall Street Analyst Weigh In

A number of research analysts recently commented on MCHP shares. Citigroup increased their target price 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. Barclays raised their price objective on Microchip Technology from $80.00 to $105.00 and gave the stock an “equal weight” rating in a report on Monday, May 11th. Needham & Company LLC boosted their target price on Microchip Technology from $84.00 to $120.00 and gave the company a “buy” rating in a report on Friday, May 8th. Wall Street Zen upgraded Microchip Technology from a “hold” rating to a “buy” rating in a research note on Saturday, May 9th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and set a $125.00 price target on shares of Microchip Technology in a research report on Monday. Four investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $99.76.

Microchip Technology Stock Performance

Shares of NASDAQ:MCHP traded down $3.43 on Thursday, reaching $74.36. The company’s stock had a trading volume of 15,775,966 shares, compared to its average volume of 10,880,010. Microchip Technology has a 52-week low of $48.52 and a 52-week high of $105.91. The stock has a market capitalization of $40.38 billion, a P/E ratio of 354.11, a PEG ratio of 0.78 and a beta of 1.76. The stock’s 50-day moving average is $87.34 and its two-hundred day moving average is $81.28. The company has a debt-to-equity ratio of 0.85, a current ratio of 2.09 and a quick ratio of 1.18.

Microchip Technology (NASDAQ:MCHP) last released its quarterly earnings results on Thursday, August 6th. The semiconductor company reported $0.76 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.70 by $0.06. The firm had revenue of $1.48 billion for the quarter, compared to analyst estimates of $1.46 billion. Microchip Technology had a return on equity of 10.87% and a net margin of 4.88%.The business’s revenue was up 38.0% on a year-over-year basis. During the same quarter last year, the company posted $0.27 earnings per share. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS. As a group, sell-side analysts forecast that Microchip Technology will post 2.7 EPS for the current year.

Insider Buying and Selling at Microchip Technology

In other news, Director Matthew W. Chapman sold 10,000 shares of the company’s stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $95.48, for a total transaction of $954,800.00. Following the completion of the sale, the director owned 20,665 shares in the company, valued at $1,973,094.20. This represents a 32.61% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 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 directly 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. In the last ninety days, insiders have sold 26,750 shares of company stock worth $2,543,170. 1.79% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Microchip Technology

Large investors have recently bought and sold shares of the company. AQR Capital Management LLC boosted its stake in shares of Microchip Technology by 51.3% in the first quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock valued at $827,000 after buying an additional 5,835 shares in the last quarter. Geneos Wealth Management Inc. raised its position in Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock worth $59,000 after acquiring an additional 616 shares in the last quarter. Cresset Asset Management LLC lifted its holdings in Microchip Technology by 5.4% in the second quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company’s stock valued at $805,000 after acquiring an additional 589 shares during the period. AXA S.A. boosted its position in shares of Microchip Technology by 21.3% during the 2nd quarter. AXA S.A. now owns 51,552 shares of the semiconductor company’s stock worth $3,628,000 after purchasing an additional 9,043 shares in the last quarter. Finally, Treasurer of the State of North Carolina boosted its holdings in Microchip Technology by 1.6% during the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company’s stock worth $17,348,000 after buying an additional 3,851 shares in the last quarter. Hedge funds and other institutional investors own 91.51% of the company’s stock.

About Microchip Technology

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.