Microchip Technology Incorporated (NASDAQ:MCHP) Receives $85.00 Consensus Target Price from Brokerages

Microchip Technology Incorporated (NASDAQ:MCHP) has been assigned a consensus recommendation of “Moderate Buy” from the eighteen research firms that are presently covering the stock, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and thirteen have assigned a buy rating to the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $85.00.

Several equities research analysts have recently issued reports on MCHP shares. Bank of America cut Microchip Technology from a “neutral” rating to an “underperform” rating and reduced their target price for the stock from $80.00 to $65.00 in a report on Monday, December 16th. Citigroup dropped their price objective on shares of Microchip Technology from $92.00 to $82.00 and set a “buy” rating for the company in a research note on Wednesday, November 6th. TD Cowen lowered their price target on shares of Microchip Technology from $80.00 to $70.00 and set a “hold” rating for the company in a report on Wednesday, November 6th. StockNews.com raised Microchip Technology from a “sell” rating to a “hold” rating in a research note on Friday, December 13th. Finally, Susquehanna decreased their price target on Microchip Technology from $95.00 to $90.00 and set a “positive” rating on the stock in a report on Wednesday, November 6th.

Microchip Technology Price Performance

NASDAQ:MCHP opened at $59.57 on Friday. The stock has a market cap of $31.99 billion, a PE ratio of 41.66 and a beta of 1.52. The company has a quick ratio of 0.48, a current ratio of 0.88 and a debt-to-equity ratio of 0.71. The business’s 50-day simple moving average is $60.53 and its two-hundred day simple moving average is $72.98. Microchip Technology has a 52 week low of $54.47 and a 52 week high of $100.57.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings data on Tuesday, November 5th. The semiconductor company reported $0.46 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.43 by $0.03. Microchip Technology had a net margin of 14.22% and a return on equity of 19.47%. The business had revenue of $1.16 billion during the quarter, compared to analyst estimates of $1.15 billion. During the same period last year, the firm posted $1.54 EPS. The company’s revenue was down 48.4% on a year-over-year basis. As a group, analysts forecast that Microchip Technology will post 1.31 EPS for the current fiscal year.

Microchip Technology Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 22nd were issued a $0.455 dividend. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45. This represents a $1.82 dividend on an annualized basis and a dividend yield of 3.06%. The ex-dividend date of this dividend was Friday, November 22nd. Microchip Technology’s dividend payout ratio (DPR) is currently 127.27%.

Institutional Investors Weigh In On Microchip Technology

Hedge funds and other institutional investors have recently bought and sold shares of the company. Boomfish Wealth Group LLC boosted its position in shares of Microchip Technology by 36.1% in the 4th quarter. Boomfish Wealth Group LLC now owns 38,863 shares of the semiconductor company’s stock worth $2,229,000 after purchasing an additional 10,311 shares in the last quarter. Gilbert & Cook Inc. boosted its holdings in Microchip Technology by 15.9% in the fourth quarter. Gilbert & Cook Inc. now owns 5,343 shares of the semiconductor company’s stock worth $306,000 after acquiring an additional 734 shares in the last quarter. Swedbank AB grew its stake in shares of Microchip Technology by 6.4% during the fourth quarter. Swedbank AB now owns 37,132 shares of the semiconductor company’s stock worth $2,130,000 after acquiring an additional 2,247 shares during the last quarter. Iams Wealth Management LLC increased its holdings in shares of Microchip Technology by 38.9% during the fourth quarter. Iams Wealth Management LLC now owns 26,194 shares of the semiconductor company’s stock valued at $1,502,000 after acquiring an additional 7,338 shares in the last quarter. Finally, Forsta AP Fonden raised its position in shares of Microchip Technology by 3.9% in the 4th quarter. Forsta AP Fonden now owns 116,200 shares of the semiconductor company’s stock valued at $6,664,000 after purchasing an additional 4,400 shares during the last quarter. 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.