Microchip Technology (NASDAQ:MCHP) Given New $70.00 Price Target at TD Cowen

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

MCHP has been the topic of several other reports. Needham & Company LLC reduced their price objective on Microchip Technology from $100.00 to $96.00 and set a “buy” rating on the stock in a research report on Monday, August 5th. Piper Sandler upgraded shares of Microchip Technology from a “neutral” rating to an “overweight” rating and boosted their price objective for the stock from $90.00 to $100.00 in a report on Friday, August 16th. B. Riley reduced their target price on shares of Microchip Technology from $110.00 to $103.00 and set a “buy” rating on the stock in a report on Friday, August 2nd. Truist Financial downgraded shares of Microchip Technology from a “buy” rating to a “hold” rating and lowered their price target for the stock from $89.00 to $80.00 in a research note on Monday, September 23rd. Finally, Citigroup lowered their target price on Microchip Technology from $104.00 to $92.00 and set a “buy” rating for the company in a research note on Friday, August 2nd. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating and fourteen have issued a buy rating to the company’s stock. According to data from MarketBeat.com, Microchip Technology presently has an average rating of “Moderate Buy” and a consensus target price of $92.00.

Microchip Technology Stock Performance

Shares of MCHP stock opened at $72.87 on Wednesday. The firm’s 50 day moving average is $76.73 and its 200 day moving average is $84.98. The stock has a market capitalization of $39.13 billion, a P/E ratio of 50.96 and a beta of 1.53. Microchip Technology has a 12 month low of $71.76 and a 12 month high of $100.57. The company has a current ratio of 0.88, a quick ratio of 1.08 and a debt-to-equity ratio of 0.71.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings data 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. Microchip Technology had a return on equity of 19.47% and a net margin of 14.22%. The business had revenue of $1.16 billion for the quarter, compared to analysts’ expectations of $1.15 billion. During the same quarter in the prior year, the firm posted $1.54 EPS. The firm’s quarterly revenue was down 48.4% on a year-over-year basis. On average, sell-side analysts anticipate that Microchip Technology will post 1.73 earnings per share for the current year.

Microchip Technology Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, December 6th. Investors of record on Friday, November 22nd will be paid a $0.455 dividend. This represents a $1.82 annualized dividend and a yield of 2.50%. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45. The ex-dividend date of this dividend is Friday, November 22nd. Microchip Technology’s dividend payout ratio is presently 127.27%.

Insider Transactions at Microchip Technology

In related news, CFO James Eric Bjornholt sold 2,154 shares of Microchip Technology stock in a transaction dated Friday, August 23rd. The shares were sold at an average price of $81.50, for a total transaction of $175,551.00. Following the completion of the transaction, the chief financial officer now directly owns 33,257 shares of the company’s stock, valued at $2,710,445.50. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of MCHP. Vanguard Group Inc. raised its position in Microchip Technology by 2.9% in the 1st quarter. Vanguard Group Inc. now owns 68,583,723 shares of the semiconductor company’s stock worth $6,152,646,000 after buying an additional 1,921,497 shares during the last quarter. Principal Financial Group Inc. raised its holdings in shares of Microchip Technology by 0.4% during the second quarter. Principal Financial Group Inc. now owns 9,246,403 shares of the semiconductor company’s stock valued at $846,046,000 after purchasing an additional 33,603 shares during the last quarter. Van ECK Associates Corp lifted its position in Microchip Technology by 25.1% during the third quarter. Van ECK Associates Corp now owns 7,961,200 shares of the semiconductor company’s stock valued at $599,239,000 after purchasing an additional 1,597,263 shares during the period. Boston Partners boosted its holdings in Microchip Technology by 10.7% in the first quarter. Boston Partners now owns 7,591,471 shares of the semiconductor company’s stock worth $681,838,000 after purchasing an additional 736,818 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD grew its position in Microchip Technology by 17.5% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 4,527,709 shares of the semiconductor company’s stock worth $406,182,000 after purchasing an additional 673,992 shares during the period. Hedge funds and other institutional investors own 91.51% of the company’s stock.

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.