Microchip Technology (NASDAQ:MCHP) Stock Rating Lowered by Wall Street Zen

Microchip Technology (NASDAQ:MCHP) was downgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a report issued on Saturday.

Other analysts have also recently issued reports about the stock. Citigroup upped their price target on shares of Microchip Technology from $50.00 to $55.00 and gave the company a “buy” rating in a report on Friday, May 9th. Piper Sandler restated an “overweight” rating and issued a $65.00 target price (down previously from $85.00) on shares of Microchip Technology in a research note on Friday, February 7th. Truist Financial increased their price target on shares of Microchip Technology from $43.00 to $52.00 and gave the stock a “hold” rating in a research report on Friday, May 9th. B. Riley increased their target price on Microchip Technology from $60.00 to $75.00 and gave the stock a “buy” rating in a report on Friday, May 9th. Finally, Rosenblatt Securities boosted their price target on Microchip Technology from $63.00 to $70.00 and gave the company a “buy” rating in a report on Friday, May 30th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, thirteen have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Microchip Technology presently has an average rating of “Moderate Buy” and a consensus price target of $67.68.

Microchip Technology Stock Up 1.4%

NASDAQ MCHP opened at $65.25 on Friday. The company has a quick ratio of 1.23, a current ratio of 2.25 and a debt-to-equity ratio of 1.12. Microchip Technology has a fifty-two week low of $34.13 and a fifty-two week high of $96.98. The business has a 50 day moving average price of $49.94 and a two-hundred day moving average price of $54.81. The stock has a market cap of $35.20 billion, a PE ratio of 116.52 and a beta of 1.48.

Microchip Technology (NASDAQ:MCHP) last announced its earnings results on Thursday, May 8th. The semiconductor company reported $0.11 earnings per share for the quarter, beating the consensus estimate of $0.10 by $0.01. Microchip Technology had a net margin of 6.49% and a return on equity of 12.62%. The business had revenue of $970.50 million during the quarter, compared to the consensus estimate of $962.86 million. During the same period in the prior year, the firm earned $0.57 earnings per share. The business’s quarterly revenue was down 26.8% compared to the same quarter last year. As a group, sell-side analysts predict that Microchip Technology will post 1.03 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CFO James Eric Bjornholt sold 2,015 shares of the company’s stock in a transaction dated Friday, May 23rd. The shares were sold at an average price of $55.78, for a total value of $112,396.70. Following the completion of the sale, the chief financial officer now owns 34,313 shares of the company’s stock, valued at $1,913,979.14. This represents a 5.55% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Karlton D. Johnson sold 494 shares of the firm’s stock in a transaction dated Tuesday, May 20th. The shares were sold at an average price of $60.69, for a total transaction of $29,980.86. Following the transaction, the director now directly owns 3,468 shares in the company, valued at approximately $210,472.92. The trade was a 12.47% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Microchip Technology

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Mainstream Capital Management LLC acquired a new position in shares of Microchip Technology during the 4th quarter valued at $26,000. Rakuten Securities Inc. boosted its stake in Microchip Technology by 309.5% during the fourth quarter. Rakuten Securities Inc. now owns 475 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 359 shares in the last quarter. OFI Invest Asset Management acquired a new position in Microchip Technology during the fourth quarter worth about $29,000. Kohmann Bosshard Financial Services LLC acquired a new position in Microchip Technology during the fourth quarter worth about $34,000. Finally, Millstone Evans Group LLC bought a new stake in Microchip Technology in the fourth quarter worth about $34,000. 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.