Applied Finance Capital Management LLC Grows Stake in Microchip Technology Incorporated $MCHP

Applied Finance Capital Management LLC increased its holdings in shares of Microchip Technology Incorporated (NASDAQ:MCHP) by 5.8% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 13,886 shares of the semiconductor company’s stock after purchasing an additional 758 shares during the quarter. Applied Finance Capital Management LLC’s holdings in Microchip Technology were worth $977,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Sagespring Wealth Partners LLC boosted its stake in Microchip Technology by 2.7% during the second quarter. Sagespring Wealth Partners LLC now owns 5,787 shares of the semiconductor company’s stock valued at $407,000 after buying an additional 154 shares during the last quarter. Mechanics Financial Corp boosted its stake in 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 last quarter. Global X Japan Co. Ltd. boosted its stake in Microchip Technology by 0.4% during the second quarter. Global X Japan Co. Ltd. now owns 45,705 shares of the semiconductor company’s stock valued at $3,216,000 after buying an additional 174 shares during the last quarter. Pinnacle Bancorp Inc. boosted its stake in Microchip Technology by 18.9% during the second quarter. Pinnacle Bancorp Inc. now owns 1,206 shares of the semiconductor company’s stock valued at $85,000 after buying an additional 192 shares during the last quarter. Finally, Grimes & Company Inc. boosted its stake in Microchip Technology by 4.3% during the second quarter. Grimes & Company Inc. now owns 5,237 shares of the semiconductor company’s stock valued at $369,000 after buying an additional 217 shares during the last quarter. 91.51% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on the company. Wall Street Zen raised Microchip Technology from a “sell” rating to a “hold” rating in a research note on Friday, June 27th. TD Cowen lowered their price objective on Microchip Technology from $75.00 to $60.00 and set a “hold” rating for the company in a research note on Friday, August 8th. UBS Group raised their price objective on Microchip Technology from $65.00 to $85.00 and gave the company a “buy” rating in a research note on Monday, July 7th. Wells Fargo & Company assumed coverage on Microchip Technology in a research note on Monday, September 15th. They issued an “equal weight” rating and a $60.00 price objective for the company. Finally, The Goldman Sachs Group assumed coverage on Microchip Technology in a research note on Thursday, July 10th. They issued a “buy” rating and a $88.00 price objective for the company. One investment 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 given a Sell rating to the stock. Based on data from MarketBeat.com, Microchip Technology has a consensus rating of “Moderate Buy” and a consensus price target of $75.75.

Insider Buying and Selling

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 stock was sold at an average price of $68.72, for a total transaction of $505,504.32. Following the completion of the sale, the chief financial officer directly owned 30,010 shares of the company’s stock, valued at approximately $2,062,287.20. This trade represents a 19.69% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible 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 value of $682,500.00. Following the sale, the director directly owned 30,665 shares of the company’s stock, valued at $2,092,886.25. This represents a 24.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. 1.94% of the stock is currently owned by company insiders.

Microchip Technology Price Performance

Shares of MCHP stock opened at $65.14 on Friday. Microchip Technology Incorporated has a 52-week low of $34.13 and a 52-week high of $79.44. The company has a debt-to-equity ratio of 0.80, a quick ratio of 1.33 and a current ratio of 2.31. The firm has a market capitalization of $35.15 billion, a P/E ratio of -191.59, a P/E/G ratio of 1.87 and a beta of 1.55. The stock has a 50 day moving average price of $65.19 and a 200 day moving average price of $61.52.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.03. Microchip Technology had a positive return on equity of 6.24% and a negative net margin of 3.50%.The firm had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.05 billion. During the same period last year, the company earned $0.53 EPS. Microchip Technology’s quarterly revenue was down 13.3% compared to the same quarter last year. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. As a group, sell-side analysts predict that Microchip Technology Incorporated will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 5th. Investors of record on Friday, August 22nd were paid a dividend of $0.455 per share. This represents a $1.82 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend was Friday, August 22nd. Microchip Technology’s dividend payout ratio (DPR) is currently -535.29%.

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.