Microchip Technology Incorporated (NASDAQ:MCHP) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Shares of Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) have been assigned an average recommendation of "Moderate Buy" from the nineteen brokerages that are covering the company, Marketbeat.com reports. One analyst has rated the stock with a sell recommendation, four have issued a hold recommendation, thirteen have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year target price among analysts that have covered the stock in the last year is $74.37.

A number of brokerages have issued reports on MCHP. StockNews.com cut shares of Microchip Technology from a "hold" rating to a "sell" rating in a report on Monday, February 10th. TD Cowen raised their price objective on Microchip Technology from $50.00 to $60.00 and gave the company a "hold" rating in a research note on Tuesday, March 4th. The Goldman Sachs Group decreased their target price on Microchip Technology from $72.00 to $63.00 and set a "neutral" rating on the stock in a research report on Friday, January 10th. Morgan Stanley dropped their price target on Microchip Technology from $71.00 to $58.00 and set an "equal weight" rating for the company in a research report on Tuesday, February 4th. Finally, Bank of America lowered shares of Microchip Technology from a "neutral" rating to an "underperform" rating and decreased their price objective for the stock from $80.00 to $65.00 in a research report on Monday, December 16th.

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Microchip Technology Price Performance

Shares of MCHP traded down $2.75 during mid-day trading on Friday, hitting $35.34. The company's stock had a trading volume of 17,278,983 shares, compared to its average volume of 7,739,726. The company has a current ratio of 2.25, a quick ratio of 1.23 and a debt-to-equity ratio of 1.12. Microchip Technology has a 1-year low of $34.13 and a 1-year high of $100.57. The firm has a market capitalization of $19.01 billion, a P/E ratio of 63.11 and a beta of 1.51. The firm has a 50-day simple moving average of $53.07 and a 200 day simple moving average of $61.90.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last issued its earnings results on Thursday, February 6th. The semiconductor company reported $0.13 EPS for the quarter, missing the consensus estimate of $0.28 by ($0.15). Microchip Technology had a return on equity of 12.62% and a net margin of 6.49%. Analysts predict that Microchip Technology will post 1.03 EPS for the current fiscal year.

Microchip Technology Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, March 7th. Shareholders of record on Monday, February 24th were issued a $0.455 dividend. This represents a $1.82 annualized dividend and a yield of 5.15%. The ex-dividend date was Monday, February 24th. Microchip Technology's dividend payout ratio (DPR) is 325.00%.

Insider Activity

In other news, CFO James Eric Bjornholt sold 3,724 shares of the company's stock in a transaction on Tuesday, February 25th. The stock was sold at an average price of $60.88, for a total transaction of $226,717.12. Following the completion of the sale, the chief financial officer now directly owns 33,272 shares in the company, valued at $2,025,599.36. This represents a 10.07 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Corporate insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Microchip Technology

A number of institutional investors have recently added to or reduced their stakes in the company. Federated Hermes Inc. raised its holdings in Microchip Technology by 0.5% in the fourth quarter. Federated Hermes Inc. now owns 39,298 shares of the semiconductor company's stock valued at $2,254,000 after buying an additional 209 shares during the period. Northwest Bank & Trust Co raised its stake in shares of Microchip Technology by 3.0% in the 4th quarter. Northwest Bank & Trust Co now owns 7,392 shares of the semiconductor company's stock valued at $424,000 after acquiring an additional 217 shares during the period. Coldstream Capital Management Inc. lifted its holdings in shares of Microchip Technology by 2.4% during the 3rd quarter. Coldstream Capital Management Inc. now owns 11,052 shares of the semiconductor company's stock valued at $878,000 after acquiring an additional 260 shares in the last quarter. EP Wealth Advisors LLC boosted its position in Microchip Technology by 1.8% during the 3rd quarter. EP Wealth Advisors LLC now owns 14,725 shares of the semiconductor company's stock worth $1,182,000 after purchasing an additional 264 shares during the period. Finally, Lebenthal Global Advisors LLC raised its position in Microchip Technology by 7.3% in the fourth quarter. Lebenthal Global Advisors LLC now owns 3,894 shares of the semiconductor company's stock valued at $223,000 after purchasing an additional 266 shares during the period. Hedge funds and other institutional investors own 91.51% of the company's stock.

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.