Brokerages Set Microchip Technology Incorporated (NASDAQ:MCHP) Price Target at $85.00

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) has received an average rating of "Moderate Buy" from the eighteen analysts that are currently covering the firm, Marketbeat reports. One analyst has rated the stock with a sell recommendation, four have given a hold recommendation and thirteen have given a buy recommendation to the company. The average 12 month target price among brokers that have updated their coverage on the stock in the last year is $85.00.

MCHP has been the subject of a number of analyst reports. The Goldman Sachs Group decreased their target price on shares of Microchip Technology from $72.00 to $63.00 and set a "neutral" rating for the company in a research note on Friday, January 10th. Piper Sandler cut their price objective on Microchip Technology from $100.00 to $85.00 and set an "overweight" rating for the company in a research note on Wednesday, November 6th. Stifel Nicolaus decreased their price objective on shares of Microchip Technology from $90.00 to $87.00 and set a "buy" rating on the stock in a research report on Tuesday, December 3rd. Rosenblatt Securities reaffirmed a "buy" rating and issued a $90.00 price objective on shares of Microchip Technology in a research note on Wednesday, November 6th. Finally, Bank of America lowered shares of Microchip Technology from a "neutral" rating to an "underperform" rating and dropped their target price for the stock from $80.00 to $65.00 in a research report on Monday, December 16th.

Institutional Investors Weigh In On Microchip Technology

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Pallas Capital Advisors LLC purchased a new stake in shares of Microchip Technology during the fourth quarter worth approximately $5,917,000. Quadrature Capital Ltd purchased a new stake in Microchip Technology in the third quarter valued at approximately $3,312,000. Benjamin Edwards Inc. boosted its holdings in shares of Microchip Technology by 5,185.4% in the third quarter. Benjamin Edwards Inc. now owns 9,408 shares of the semiconductor company's stock valued at $755,000 after acquiring an additional 9,230 shares during the period. Empowered Funds LLC increased its holdings in shares of Microchip Technology by 25.7% in the 3rd quarter. Empowered Funds LLC now owns 96,163 shares of the semiconductor company's stock valued at $7,721,000 after acquiring an additional 19,663 shares during the period. Finally, Assenagon Asset Management S.A. raised its position in Microchip Technology by 9,901.6% in the 4th quarter. Assenagon Asset Management S.A. now owns 2,857,654 shares of the semiconductor company's stock valued at $163,886,000 after purchasing an additional 2,829,082 shares during the last quarter. Institutional investors and hedge funds own 91.51% of the company's stock.

Microchip Technology Price Performance

NASDAQ MCHP traded up $1.78 during trading hours on Friday, hitting $57.97. The company had a trading volume of 8,270,268 shares, compared to its average volume of 7,615,781. Microchip Technology has a 52 week low of $54.47 and a 52 week high of $100.57. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.48 and a current ratio of 0.88. The firm has a market capitalization of $31.13 billion, a price-to-earnings ratio of 40.54 and a beta of 1.52. The firm has a 50 day simple moving average of $61.11 and a 200 day simple moving average of $73.57.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last released its earnings results on Tuesday, November 5th. The semiconductor company reported $0.46 earnings per share for the quarter, topping analysts' consensus estimates of $0.43 by $0.03. The company had revenue of $1.16 billion during the quarter, compared to the consensus estimate of $1.15 billion. Microchip Technology had a return on equity of 19.47% and a net margin of 14.22%. Microchip Technology's quarterly revenue was down 48.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.54 EPS. Equities research analysts expect that Microchip Technology will post 1.32 earnings per share for the current year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 22nd were given a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 3.14%. This is a boost from Microchip Technology's previous quarterly dividend of $0.45. The ex-dividend date of this dividend was Friday, November 22nd. Microchip Technology's dividend payout ratio is 127.27%.

Microchip Technology Company Profile

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.