Research Analysts Issue Forecasts for MCHP Q2 Earnings

Microchip Technology Incorporated (NASDAQ:MCHP) – Research analysts at KeyCorp upped their Q2 2027 earnings per share estimates for Microchip Technology in a research report issued to clients and investors on Wednesday, October 14th. KeyCorp analyst J. Vinh now anticipates that the semiconductor company will post earnings per share of $0.85 for the quarter, up from their previous forecast of $0.74. The consensus estimate for Microchip Technology’s current full-year earnings is $3.16 per share. KeyCorp also issued estimates for Microchip Technology’s Q4 2027 earnings at $0.98 EPS and Q1 2028 earnings at $1.03 EPS.

Several other analysts also recently weighed in on the company. Rosenblatt Securities reiterated a “buy” rating and set a $120.00 price target on shares of Microchip Technology in a research note on Friday, August 7th. Truist Financial dropped their target price on shares of Microchip Technology from $105.00 to $90.00 and set a “hold” rating for the company in a report on Friday, August 7th. Weiss Ratings upgraded shares of Microchip Technology from a “hold (c-)” rating to a “hold (c)” rating in a research note on Tuesday, August 11th. Wells Fargo & Company reduced their price objective on Microchip Technology from $95.00 to $88.00 and set an “equal weight” rating for the company in a research note on Monday, July 20th. Finally, UBS Group reissued a “buy” rating and issued a $120.00 price target (down from $130.00) on shares of Microchip Technology in a report on Friday, August 7th. Three investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eight have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $98.67.

Microchip Technology Trading Up 4.2%

NASDAQ MCHP opened at $74.26 on Friday. The company’s 50-day moving average price is $75.76 and its 200-day moving average price is $82.50. Microchip Technology has a 12 month low of $48.52 and a 12 month high of $105.91. The stock has a market cap of $40.32 billion, a PE ratio of 43.44, a PEG ratio of 0.50 and a beta of 1.77. The company has a current ratio of 1.92, a quick ratio of 1.11 and a debt-to-equity ratio of 0.83.

Microchip Technology (NASDAQ:MCHP) last released its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.76 EPS for the quarter, beating the consensus estimate of $0.70 by $0.06. Microchip Technology had a net margin of 9.34% and a return on equity of 14.97%. The business had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.46 billion. During the same quarter in the prior year, the firm earned $0.27 EPS. The business’s revenue was up 38.0% on a year-over-year basis. Microchip Technology has set its Q2 2027 guidance at 0.910-0.950 EPS.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in Microchip Technology in the 2nd quarter worth $537,423,000. Legal & General Group Plc acquired a new position in shares of Microchip Technology in the 2nd quarter valued at approximately $312,597,000. Van ECK Associates Corp boosted its position in Microchip Technology by 18.3% during the 2nd quarter. Van ECK Associates Corp now owns 8,224,808 shares of the semiconductor company’s stock worth $750,102,000 after acquiring an additional 1,272,838 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in shares of Microchip Technology by 23.5% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 5,060,528 shares of the semiconductor company’s stock worth $461,520,000 after acquiring an additional 962,362 shares during the last quarter. Finally, Healthcare of Ontario Pension Plan Trust Fund raised its holdings in Microchip Technology by 52.8% in the 1st quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 2,601,121 shares of the semiconductor company’s stock valued at $168,058,000 after acquiring an additional 898,503 shares in the last quarter. Institutional investors own 91.51% of the company’s stock.

Insider Activity

In related news, CFO James Bjornholt sold 4,112 shares of the business’s stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $75.32, for a total transaction of $309,715.84. Following the transaction, the chief financial officer directly 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 ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.79% of the stock is owned by insiders.

Microchip Technology Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 9th. Stockholders of record on Monday, August 24th were paid a dividend of $0.4550 per share. The ex-dividend date of this dividend was Monday, August 24th. This represents a $1.82 annualized dividend and a dividend yield of 2.5%. Microchip Technology’s dividend payout ratio (DPR) is currently 271.64%.

Microchip Technology Company Profile

Microchip Technology Inc is a semiconductor company that develops and manufactures embedded control solutions for automotive, industrial, aerospace and defense, communications, consumer, and computing applications. Its products are designed to help customers manage processing, connectivity, power, timing, security, and data storage within electronic systems.

The company’s product portfolio includes microcontrollers, microprocessors, analog and mixed-signal devices, power-management products, timing and synchronization solutions, memory products, connectivity components, and field-programmable gate arrays.