Nicholas Company Inc. Reduces Stock Position in Microchip Technology Incorporated $MCHP

Nicholas Company Inc. cut its stake in Microchip Technology Incorporated (NASDAQ:MCHP) by 2.8% in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 379,372 shares of the semiconductor company’s stock after selling 10,730 shares during the period. Nicholas Company Inc. owned approximately 0.07% of Microchip Technology worth $26,696,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors have also made changes to their positions in the company. Mizuho Markets Cayman LP purchased a new stake in shares of Microchip Technology in the second quarter valued at approximately $107,584,000. Argonautica Private Wealth Management Inc. purchased a new stake in shares of Microchip Technology in the first quarter valued at approximately $428,000. Charles Schwab Investment Management Inc. grew its position in shares of Microchip Technology by 3.9% in the first quarter. Charles Schwab Investment Management Inc. now owns 3,266,402 shares of the semiconductor company’s stock valued at $158,127,000 after purchasing an additional 122,633 shares in the last quarter. Victory Capital Management Inc. grew its position in shares of Microchip Technology by 18.2% in the first quarter. Victory Capital Management Inc. now owns 602,783 shares of the semiconductor company’s stock valued at $29,181,000 after purchasing an additional 92,962 shares in the last quarter. Finally, T. Rowe Price Investment Management Inc. grew its position in shares of Microchip Technology by 0.9% in the first quarter. T. Rowe Price Investment Management Inc. now owns 16,630,574 shares of the semiconductor company’s stock valued at $805,087,000 after purchasing an additional 152,434 shares in the last quarter. 91.51% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several equities research analysts have issued reports on the company. Mizuho raised their target price on Microchip Technology from $78.00 to $85.00 and gave the stock an “outperform” rating in a research note on Tuesday, July 8th. TD Cowen cut their price objective on Microchip Technology from $75.00 to $60.00 and set a “hold” rating for the company in a research report on Friday, August 8th. Citigroup boosted their price objective on shares of Microchip Technology from $68.00 to $90.00 and gave the company a “buy” rating in a report on Monday, July 7th. UBS Group upped their target price on shares of Microchip Technology from $65.00 to $85.00 and gave the company a “buy” rating in a research report on Monday, July 7th. Finally, Zacks Research cut shares of Microchip Technology from a “strong-buy” rating to a “hold” rating in a research report on Monday, August 18th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $75.75.

Insider Activity

In related news, CFO James Eric Bjornholt sold 7,356 shares of Microchip Technology stock in a transaction on Monday, August 25th. The stock was sold at an average price of $68.72, for a total value of $505,504.32. Following the completion of the transaction, the chief financial officer directly 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 transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Matthew W. Chapman sold 10,000 shares of Microchip Technology stock in a transaction on Monday, August 25th. The shares were sold at an average price of $68.25, for a total value of $682,500.00. Following the completion of the transaction, the director owned 30,665 shares of the company’s stock, valued at approximately $2,092,886.25. This trade represents a 24.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 1.94% of the stock is currently owned by corporate insiders.

Microchip Technology Price Performance

MCHP opened at $62.42 on Friday. The stock’s 50-day moving average price is $64.94 and its 200 day moving average price is $63.53. Microchip Technology Incorporated has a 12-month low of $34.13 and a 12-month high of $77.20. The company has a current ratio of 2.31, a quick ratio of 1.33 and a debt-to-equity ratio of 0.80. The firm has a market cap of $33.69 billion, a price-to-earnings ratio of -183.59, a PEG ratio of 1.79 and a beta of 1.55.

Microchip Technology (NASDAQ:MCHP) last posted its earnings results on Thursday, August 7th. The semiconductor company reported $0.27 earnings per share (EPS) for the quarter, topping the consensus estimate 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 for the quarter, compared to analyst estimates of $1.05 billion. During the same quarter in the prior year, the company earned $0.53 EPS. Microchip Technology’s revenue was down 13.3% on a year-over-year basis. Microchip Technology has set its Q2 2026 guidance at 0.340-0.370 EPS. As a group, sell-side analysts expect that Microchip Technology Incorporated will post 1.03 earnings per share for the current year.

Microchip Technology Announces Dividend

The company also recently announced 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. The ex-dividend date of this dividend was Friday, August 22nd. This represents a $1.82 annualized dividend and a yield of 2.9%. Microchip Technology’s dividend payout ratio is presently -535.29%.

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.