Optas LLC Purchases New Position in Microchip Technology Incorporated $MCHP

Optas LLC purchased a new stake in shares of Microchip Technology Incorporated (NASDAQ:MCHP) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund purchased 3,142 shares of the semiconductor company’s stock, valued at approximately $221,000.

Several other hedge funds and other institutional investors also recently modified their holdings of the stock. Mechanics Financial Corp increased its position in shares of Microchip Technology by 3.4% during the second quarter. Mechanics Financial Corp now owns 5,014 shares of the semiconductor company’s stock valued at $353,000 after buying an additional 167 shares during the period. Global X Japan Co. Ltd. grew its holdings in Microchip Technology by 0.4% in the second quarter. Global X Japan Co. Ltd. now owns 45,705 shares of the semiconductor company’s stock worth $3,216,000 after purchasing an additional 174 shares during the period. Pinnacle Bancorp Inc. grew its holdings in Microchip Technology by 18.9% in the second quarter. Pinnacle Bancorp Inc. now owns 1,206 shares of the semiconductor company’s stock worth $85,000 after purchasing an additional 192 shares during the period. Grimes & Company Inc. grew its holdings in Microchip Technology by 4.3% in the second quarter. Grimes & Company Inc. now owns 5,237 shares of the semiconductor company’s stock worth $369,000 after purchasing an additional 217 shares during the period. Finally, Clearstead Trust LLC grew its holdings in Microchip Technology by 10.5% in the first quarter. Clearstead Trust LLC now owns 2,356 shares of the semiconductor company’s stock worth $114,000 after purchasing an additional 224 shares during the period. Hedge funds and other institutional investors own 91.51% of the company’s stock.

Insider Activity at Microchip Technology

In related news, CFO James Eric Bjornholt sold 7,356 shares of the firm’s stock in a transaction that occurred on Monday, August 25th. The shares were sold at an average price of $68.72, for a total value of $505,504.32. Following the sale, the chief financial officer owned 30,010 shares in the company, valued at approximately $2,062,287.20. This trade represents a 19.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Matthew W. Chapman sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, August 25th. The stock was sold at an average price of $68.25, for a total transaction of $682,500.00. Following the completion of the sale, the director owned 30,665 shares in the company, valued at $2,092,886.25. This represents a 24.59% decrease in their position. The disclosure for this sale can be found here. Company insiders own 1.94% of the company’s stock.

Microchip Technology Trading Down 8.3%

NASDAQ:MCHP opened at $60.41 on Friday. The company’s 50 day moving average price is $65.26 and its 200-day moving average price is $61.00. Microchip Technology Incorporated has a 52 week low of $34.13 and a 52 week high of $79.44. The company has a quick ratio of 1.33, a current ratio of 2.31 and a debt-to-equity ratio of 0.80. The stock has a market cap of $32.60 billion, a price-to-earnings ratio of -177.68, a PEG ratio of 1.89 and a beta of 1.55.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.27 EPS for the quarter, beating analysts’ consensus estimates of $0.24 by $0.03. Microchip Technology had a negative net margin of 3.50% and a positive return on equity of 6.24%. The firm had revenue of $1.08 billion for the quarter, compared to analysts’ expectations of $1.05 billion. During the same quarter in the prior year, the company posted $0.53 earnings per share. The business’s revenue for the quarter was down 13.3% on a year-over-year basis. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. On average, equities research analysts forecast that Microchip Technology Incorporated will post 1.03 earnings per share for the current fiscal year.

Microchip Technology Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, September 5th. Investors of record on Friday, August 22nd were issued a $0.455 dividend. The ex-dividend date was Friday, August 22nd. This represents a $1.82 annualized dividend and a yield of 3.0%. Microchip Technology’s dividend payout ratio (DPR) is currently -535.29%.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the stock. Weiss Ratings restated a “sell (d+)” rating on shares of Microchip Technology in a report on Wednesday. Susquehanna upped their price objective on shares of Microchip Technology from $60.00 to $90.00 and gave the stock a “positive” rating in a report on Tuesday, July 22nd. Wells Fargo & Company assumed coverage on shares of Microchip Technology in a report on Monday, September 15th. They issued an “equal weight” rating and a $60.00 price objective on the stock. Truist Financial upped their price objective on shares of Microchip Technology from $52.00 to $64.00 and gave the stock a “hold” rating in a report on Wednesday, June 18th. Finally, Piper Sandler upped their price objective on shares of Microchip Technology from $65.00 to $80.00 and gave the stock an “overweight” rating in a report on Friday, August 8th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Microchip Technology currently has a consensus rating of “Moderate Buy” and an average target price of $75.75.

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.