Microchip Technology (NASDAQ:MCHP) Price Target Cut to $70.00 by Analysts at TD Cowen

Microchip Technology (NASDAQ:MCHP) had its price target lowered by TD Cowen from $80.00 to $70.00 in a research report released on Wednesday, Marketbeat.com reports. TD Cowen currently has a hold rating on the semiconductor company’s stock.

A number of other brokerages have also weighed in on MCHP. StockNews.com raised Microchip Technology from a “sell” rating to a “hold” rating in a report on Thursday, October 17th. Truist Financial cut shares of Microchip Technology from a “buy” rating to a “hold” rating and reduced their price objective for the company from $89.00 to $80.00 in a research note on Monday, September 23rd. Rosenblatt Securities restated a “buy” rating and set a $100.00 target price on shares of Microchip Technology in a research report on Wednesday, July 31st. B. Riley reduced their price target on shares of Microchip Technology from $110.00 to $103.00 and set a “buy” rating for the company in a research report on Friday, August 2nd. Finally, Needham & Company LLC lowered their price target on Microchip Technology from $100.00 to $96.00 and set a “buy” rating on the stock in a report on Monday, August 5th. Six investment analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $92.00.

Microchip Technology Stock Performance

Shares of Microchip Technology stock traded up $0.78 during trading hours on Wednesday, hitting $74.53. 1,346,125 shares of the company were exchanged, compared to its average volume of 5,937,729. The company has a current ratio of 1.94, a quick ratio of 1.08 and a debt-to-equity ratio of 0.96. The business has a 50-day moving average of $77.05 and a 200-day moving average of $85.12. Microchip Technology has a 1 year low of $71.76 and a 1 year high of $100.57. The stock has a market capitalization of $39.99 billion, a price-to-earnings ratio of 51.57 and a beta of 1.53.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings results on Tuesday, November 5th. The semiconductor company reported $0.46 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.43 by $0.03. The business had revenue of $1.16 billion for the quarter, compared to analyst estimates of $1.15 billion. Microchip Technology had a net margin of 20.80% and a return on equity of 28.33%. The business’s revenue was down 48.4% compared to the same quarter last year. During the same period in the previous year, the business posted $1.54 earnings per share. As a group, analysts expect that Microchip Technology will post 1.73 EPS for the current fiscal year.

Microchip Technology Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 6th. Investors of record on Friday, November 22nd will be given a dividend of $0.455 per share. The ex-dividend date is Friday, November 22nd. This represents a $1.82 dividend on an annualized basis and a yield of 2.44%. This is a positive change from Microchip Technology’s previous quarterly dividend of $0.45. Microchip Technology’s dividend payout ratio (DPR) is 126.57%.

Insider Buying and Selling at Microchip Technology

In other news, CFO James Eric Bjornholt sold 2,154 shares of the firm’s stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $81.50, for a total transaction of $175,551.00. Following the sale, the chief financial officer now owns 33,257 shares in the company, valued at $2,710,445.50. This trade represents a 0.00 % 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. 2.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Microchip Technology

Several hedge funds have recently modified their holdings of MCHP. Pinnacle Associates Ltd. raised its stake in Microchip Technology by 50.0% during the third quarter. Pinnacle Associates Ltd. now owns 105,694 shares of the semiconductor company’s stock worth $8,486,000 after purchasing an additional 35,213 shares during the period. Swedbank AB acquired a new position in Microchip Technology in the first quarter valued at $1,079,000. Mirae Asset Global Investments Co. Ltd. grew its position in Microchip Technology by 12.0% during the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 870,072 shares of the semiconductor company’s stock valued at $69,355,000 after acquiring an additional 93,464 shares during the period. SageView Advisory Group LLC lifted its stake in shares of Microchip Technology by 507.5% in the 1st quarter. SageView Advisory Group LLC now owns 17,307 shares of the semiconductor company’s stock valued at $1,553,000 after purchasing an additional 14,458 shares in the last quarter. Finally, Zurich Insurance Group Ltd FI acquired a new stake in Microchip Technology during the 2nd quarter worth approximately $42,538,000. 91.51% of the stock is owned by institutional investors and hedge funds.

About Microchip Technology

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.