Microchip Technology (NASDAQ:MCHP) Price Target Cut to $91.00 by Analysts at Citigroup

Microchip Technology (NASDAQ:MCHP) had its price objective reduced by stock analysts at Citigroup from $92.00 to $91.00 in a note issued to investors on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the semiconductor company’s stock. Citigroup’s price objective would suggest a potential upside of 20.13% from the stock’s current price.

A number of other analysts have also issued reports on the stock. UBS Group boosted their target price on shares of Microchip Technology from $85.00 to $95.00 and gave the company a “buy” rating in a research note on Monday, January 26th. Truist Financial increased their price target on shares of Microchip Technology from $60.00 to $68.00 and gave the company a “hold” rating in a research report on Friday. Stifel Nicolaus set a $80.00 price target on Microchip Technology and gave the stock a “buy” rating in a report on Tuesday, January 6th. Zacks Research raised shares of Microchip Technology from a “hold” rating to a “strong-buy” rating in a report on Monday, January 26th. Finally, Susquehanna increased their price target on shares of Microchip Technology from $75.00 to $90.00 and gave the stock a “positive” rating in a report on Thursday, January 22nd. Three equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $85.82.

Microchip Technology Price Performance

Shares of MCHP traded down $2.29 during mid-day trading on Friday, reaching $75.75. The stock had a trading volume of 11,636,461 shares, compared to its average volume of 9,634,809. The firm has a market cap of $40.94 billion, a price-to-earnings ratio of -168.55, a PEG ratio of 2.00 and a beta of 1.46. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.20 and a current ratio of 2.25. The business has a fifty day moving average of $69.54 and a 200 day moving average of $65.57. Microchip Technology has a 12 month low of $34.13 and a 12 month high of $81.43.

Microchip Technology (NASDAQ:MCHP) last released its quarterly earnings data on Thursday, February 5th. The semiconductor company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.43 by $0.01. Microchip Technology had a negative net margin of 4.39% and a positive return on equity of 5.21%. The business had revenue of $1.19 billion during the quarter, compared to the consensus estimate of $1.19 billion. During the same quarter in the prior year, the firm earned $0.20 EPS. The business’s revenue was up 15.6% on a year-over-year basis. Microchip Technology has set its Q4 2026 guidance at 0.480-0.520 EPS. Equities analysts predict that Microchip Technology will post 1.03 EPS for the current year.

Insiders Place Their Bets

In other news, CEO Steve Sanghi sold 98,814 shares of the firm’s stock in a transaction that occurred on Wednesday, January 28th. The shares were sold at an average price of $80.55, for a total transaction of $7,959,467.70. Following the transaction, the chief executive officer directly owned 9,922,319 shares in the company, valued at approximately $799,242,795.45. This trade represents a 0.99% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO James Eric Bjornholt sold 4,292 shares of Microchip Technology stock in a transaction that occurred on Tuesday, November 25th. The shares were sold at an average price of $50.39, for a total value of $216,273.88. Following the completion of the transaction, the chief financial officer owned 30,089 shares in the company, valued at $1,516,184.71. This trade represents a 12.48% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 121,615 shares of company stock valued at $9,641,654. 1.94% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Microchip Technology

Several hedge funds have recently made changes to their positions in the business. AQR Capital Management LLC lifted its holdings in shares of Microchip Technology by 51.3% during the 1st quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock valued at $827,000 after acquiring an additional 5,835 shares in the last quarter. Geneos Wealth Management Inc. grew its holdings in Microchip Technology by 101.8% during the 1st quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock worth $59,000 after acquiring an additional 616 shares in the last quarter. Optas LLC bought a new stake in Microchip Technology in the second quarter valued at about $221,000. Maryland State Retirement & Pension System raised its position in shares of Microchip Technology by 3.5% during the 2nd quarter. Maryland State Retirement & Pension System now owns 25,651 shares of the semiconductor company’s stock valued at $1,805,000 after acquiring an additional 863 shares in the last quarter. Finally, Tectonic Advisors LLC raised its holdings in shares of Microchip Technology by 10.6% during the second quarter. Tectonic Advisors LLC now owns 8,897 shares of the semiconductor company’s stock worth $626,000 after purchasing an additional 856 shares during the period. Institutional investors and hedge funds own 91.51% of the company’s stock.

Trending Headlines about Microchip Technology

Here are the key news stories impacting Microchip Technology this week:

• Positive Sentiment: Q3 results beat consensus and showed recovery: revenue was $1.19B (+15.6% YoY) and adjusted EPS $0.44 (beat $0.43). Management set Q4 EPS guidance of $0.480–0.520 and signaled sequential sales growth, which supports a momentum recovery thesis. Microchip Q3 Results Press Release
• Positive Sentiment: Management highlighted automotive and connectivity strength (industrial Ethernet) as drivers of the recovery and flagged ~6.2% sequential sales growth expectations for Q4 — a positive signal for exposure to auto/industrial end markets. Q4 Sequential Growth / Automotive Momentum
• Positive Sentiment: Strategic partnership: Microchip and Hyundai are collaborating to explore Single‑Pair Ethernet (10BASE‑T1S) for vehicles — reinforces auto content opportunities. Hyundai Collaboration
• Positive Sentiment: Capital returns: board declared a $0.455 quarterly dividend (ex‑div Feb 23), supporting income investors and signaling confidence in cash generation. Dividend Announcement
• Positive Sentiment: Bullish analyst activity and positioning: several firms raised price targets (examples include Mizuho, Rosenblatt, Needham) and there was heavy call‑option buying (≈87,550 calls), indicating strong speculative/bullish interest. Analyst Price Target Moves (Benzinga)
• Neutral Sentiment: MarketBeat and other commentary frame Q3 as a technical/earnings inflection (return to growth and improving margins) — useful context for longer‑term thesis but not an immediate price driver by itself. MarketBeat Analysis
• Negative Sentiment: Supply‑side risk: Reuters flagged that Microchip forecasted quarterly profit below some estimates and cited memory‑supply shortages as a headwind — a near‑term risk that can pressure sentiment and margins. Reuters: Profit Forecast / Memory Shortages
• Negative Sentiment: Market reaction and analyst caution: despite the beat, shares pulled back and some analysts remain cautious or trimmed targets (TD Cowen lowered to $70; Truist holds a $68 target), which can limit near‑term upside. Zacks: Shares Drop Despite Beat TD Cowen / TipRanks

Microchip Technology Company Profile

Microchip Technology Inc is a semiconductor company headquartered in Chandler, Arizona, that designs, develops and supplies a broad portfolio of embedded control and analog semiconductors. Its product lineup centers on microcontrollers (including the well-known PIC family), digital signal controllers and associated development tools and software, along with a range of mixed-signal and analog devices, nonvolatile memory, power management, timing, interface, wireless and security products. The company also provides integrated hardware and software solutions intended to simplify embedded design and accelerate time to market for OEMs and contract manufacturers.

Microchip’s products are used across a wide range of end markets, including automotive, industrial automation, consumer electronics, communications, aerospace and defense, and Internet of Things (IoT) applications.