Microchip Technology (NASDAQ:MCHP) Stock Price Up 24.4% - What's Next?

Microchip Technology Incorporated (NASDAQ:MCHP - Get Free Report) shot up 24.4% during mid-day trading on Wednesday . The company traded as high as $43.60 and last traded at $43.95. 10,942,233 shares changed hands during trading, an increase of 1% from the average session volume of 10,870,131 shares. The stock had previously closed at $35.34.

Analyst Upgrades and Downgrades

A number of equities analysts have issued reports on MCHP shares. KeyCorp lowered their target price on Microchip Technology from $70.00 to $60.00 and set an "overweight" rating for the company in a report on Friday, February 7th. The Goldman Sachs Group cut their price target 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. Morgan Stanley reduced their target price on Microchip Technology from $71.00 to $58.00 and set an "equal weight" rating for the company in a research note on Tuesday, February 4th. Citigroup lowered their price target on shares of Microchip Technology from $65.00 to $50.00 and set a "buy" rating on the stock in a report on Friday. Finally, TD Cowen increased their price objective on Microchip Technology from $50.00 to $60.00 and gave the stock a "hold" rating in a research report on Tuesday, March 4th. Two research analysts have rated the stock with a sell rating, four have assigned a hold rating, thirteen have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $72.68.

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Microchip Technology Price Performance

The company has a current ratio of 2.25, a quick ratio of 1.23 and a debt-to-equity ratio of 1.12. The firm has a 50 day moving average of $52.13 and a 200-day moving average of $60.90. The company has a market cap of $20.91 billion, a P/E ratio of 69.43 and a beta of 1.51.

Microchip Technology (NASDAQ:MCHP - Get Free Report) last announced its quarterly earnings results on Thursday, February 6th. The semiconductor company reported $0.13 earnings per share 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%. On average, equities research analysts predict that Microchip Technology Incorporated will post 1.03 EPS for the current year.

Microchip Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, March 7th. Investors of record on Monday, February 24th were issued a $0.455 dividend. The ex-dividend date was Monday, February 24th. This represents a $1.82 dividend on an annualized basis and a dividend yield of 4.68%. Microchip Technology's payout ratio is 325.00%.

Insider Transactions at Microchip Technology

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

Institutional Investors Weigh In On Microchip Technology

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Federated Hermes Inc. grew its position 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 acquiring an additional 209 shares in the last quarter. Northwest Bank & Trust Co increased its position 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 worth $424,000 after purchasing an additional 217 shares during the last quarter. Lebenthal Global Advisors LLC raised its stake in Microchip Technology by 7.3% during the fourth quarter. Lebenthal Global Advisors LLC now owns 3,894 shares of the semiconductor company's stock valued at $223,000 after buying an additional 266 shares in the last quarter. State of Wyoming lifted its stake in Microchip Technology by 27.3% during the fourth quarter. State of Wyoming now owns 1,300 shares of the semiconductor company's stock worth $75,000 after purchasing an additional 279 shares during the last quarter. Finally, CreativeOne Wealth LLC lifted its position in shares of Microchip Technology by 1.0% in the 4th quarter. CreativeOne Wealth LLC now owns 28,842 shares of the semiconductor company's stock worth $1,654,000 after buying an additional 283 shares during the last quarter. Institutional investors and hedge funds 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.