Microchip Technology (NASDAQ:MCHP) Stock Gets Price Target Cut from Rosenblatt Securities

Microchip Technology (NASDAQ:MCHP) had its price objective decreased by stock analysts at Rosenblatt Securities from $120.00 to $115.00 in a report released on Friday, Benzinga reports. The brokerage currently has a “buy” rating on the semiconductor company’s stock. Rosenblatt Securities‘s target price would indicate a potential upside of 77.33% from the stock’s previous close.

MCHP has been the topic of a number of other reports. Needham & Company LLC cut their price objective on Microchip Technology from $120.00 to $85.00 and set a “buy” rating on the stock in a research note on Friday. TD Cowen decreased their target price on Microchip Technology from $90.00 to $75.00 and set a “hold” rating for the company in a research report on Monday, October 19th. BMO Capital Markets assumed coverage on Microchip Technology in a report on Friday, August 21st. They set an “outperform” rating and a $95.00 price target on the stock. Cantor Fitzgerald lowered their price target on Microchip Technology from $125.00 to $100.00 and set an “overweight” rating on the stock in a report on Friday. Finally, Zacks Research lowered shares of Microchip Technology from a “strong-buy” rating to a “hold” rating in a research report on Monday, August 17th. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Microchip Technology has an average rating of “Moderate Buy” and a consensus target price of $94.62.

Microchip Technology Trading Down 13.9%

Microchip Technology stock opened at $64.85 on Friday. Microchip Technology has a one year low of $48.52 and a one year high of $105.91. The company’s fifty day moving average price is $75.19 and its two-hundred day moving average price is $79.48. The company has a debt-to-equity ratio of 0.83, a current ratio of 1.92 and a quick ratio of 1.11. The company has a market capitalization of $35.21 billion, a price-to-earnings ratio of 96.79, a PEG ratio of 0.52 and a beta of 1.84.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings results on Thursday, November 5th. The semiconductor company reported $0.97 earnings per share for the quarter, topping analysts’ consensus estimates of $0.94 by $0.03. The company had revenue of $1.62 billion during the quarter, compared to analysts’ expectations of $1.61 billion. Microchip Technology had a return on equity of 14.97% and a net margin of 9.34%. The business’s quarterly revenue was up 42.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.35 earnings per share. On average, analysts forecast that Microchip Technology will post 3.20 earnings per share for the current fiscal year.

Insider Activity at Microchip Technology

In related news, CFO James Bjornholt sold 4,112 shares of the business’s stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $75.32, for a total transaction of $309,715.84. Following the completion of the transaction, the chief financial officer owned 28,573 shares of the company’s stock, valued at approximately $2,152,118.36. The trade was a 12.58% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.79% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in MCHP. TOP Private Wealth LLC. bought a new stake in shares of Microchip Technology in the second quarter valued at approximately $29,000. GK Wealth Management LLC bought a new position in Microchip Technology during the third quarter worth $29,000. Continuum Advisory LLC bought a new position in Microchip Technology during the second quarter worth $30,000. Johnson Financial Group Inc. bought a new position in Microchip Technology during the second quarter worth $31,000. Finally, Rakuten Securities Inc. acquired a new position in Microchip Technology during the 2nd quarter valued at $34,000. 91.51% of the stock is owned by institutional investors.

Microchip Technology News Roundup

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

• Positive Sentiment: For the quarter ended September 30, Microchip reported $0.97 per share versus analysts’ $0.94 estimate, and revenue of $1.62 billion versus $1.61 billion expected. EPS was up from $0.35 a year earlier, marking a sixth consecutive earnings beat. Article: Microchip Technology Q2 Earnings and Revenues Top Estimates
• Negative Sentiment: The company forecast December-quarter revenue ranging from a 3% decline to 1% growth, with non-GAAP EPS of $0.87–$0.95. Reports characterized the guidance as below consensus, tempering the positive impact of the quarterly beat and pointing to limited near-term momentum. Article: Microchip December-Quarter Outlook

About Microchip Technology

Microchip Technology Incorporated (NASDAQ:MCHP) develops and manufactures semiconductor products used in embedded control and connected electronic systems. Its portfolio includes microcontrollers, microprocessors, analog and power-management devices, memory products, timing and connectivity components, security solutions, and field-programmable gate arrays. The company also provides development tools, software, evaluation kits, and technical support to help customers design and produce electronic equipment.

Microchip’s products are used across a range of markets, including automotive, industrial, aerospace and defense, communications, consumer electronics, data centers, and medical applications.