Analysts expect Microchip Technology Inc. (NASDAQ:MCHP) to post sales of $1.51 billion for the current quarter, according to Zacks Investment Research. Seven analysts have issued estimates for Microchip Technology’s earnings. The lowest sales estimate is $1.51 billion and the highest is $1.52 billion. Microchip Technology reported sales of $1.01 billion during the same quarter last year, which would suggest a positive year over year growth rate of 49.5%. The business is scheduled to issue its next earnings report on Monday, November 5th.
According to Zacks, analysts expect that Microchip Technology will report full year sales of $5.71 billion for the current year, with estimates ranging from $5.63 billion to $5.81 billion. For the next year, analysts anticipate that the business will report sales of $6.27 billion per share, with estimates ranging from $6.08 billion to $6.39 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of research firms that follow Microchip Technology.
Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings results on Thursday, August 9th. The semiconductor company reported $1.61 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $1.48 by $0.13. Microchip Technology had a return on equity of 36.33% and a net margin of 2.85%. The company had revenue of $1.21 billion during the quarter, compared to the consensus estimate of $1.21 billion. During the same period in the previous year, the company posted $1.31 earnings per share. Microchip Technology’s revenue for the quarter was up 24.7% on a year-over-year basis.
MCHP has been the subject of a number of analyst reports. Argus boosted their price target on Microchip Technology to $115.00 and gave the company an “average” rating in a report on Monday, June 25th. They noted that the move was a valuation call. Nomura initiated coverage on Microchip Technology in a report on Wednesday, July 18th. They issued a “buy” rating and a $110.00 price target for the company. BidaskClub downgraded Microchip Technology from a “strong-buy” rating to a “buy” rating in a report on Tuesday, June 26th. Zacks Investment Research upgraded Microchip Technology from a “hold” rating to a “buy” rating and set a $114.00 price objective for the company in a research report on Wednesday, June 6th. Finally, Rosenblatt Securities restated a “buy” rating and issued a $125.00 price objective on shares of Microchip Technology in a research report on Wednesday, June 6th. One research analyst has rated the stock with a sell rating, five have issued a hold rating, twelve have assigned a buy rating and one has assigned a strong buy rating to the stock. Microchip Technology presently has an average rating of “Buy” and a consensus target price of $115.76.
In related news, CFO James Eric Bjornholt sold 1,887 shares of the business’s stock in a transaction that occurred on Wednesday, August 22nd. The stock was sold at an average price of $84.33, for a total transaction of $159,130.71. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO Ganesh Moorthy purchased 12,000 shares of the company’s stock in a transaction that occurred on Tuesday, August 14th. The shares were purchased at an average price of $84.10 per share, with a total value of $1,009,200.00. The disclosure for this purchase can be found here. 2.13% of the stock is currently owned by insiders.
Several institutional investors and hedge funds have recently modified their holdings of the stock. Townsend & Associates Inc increased its position in shares of Microchip Technology by 6.1% during the second quarter. Townsend & Associates Inc now owns 9,413 shares of the semiconductor company’s stock worth $856,000 after purchasing an additional 539 shares in the last quarter. Capital Analysts LLC increased its position in shares of Microchip Technology by 1.6% during the second quarter. Capital Analysts LLC now owns 34,565 shares of the semiconductor company’s stock worth $3,144,000 after purchasing an additional 543 shares in the last quarter. Gulf International Bank UK Ltd increased its position in shares of Microchip Technology by 0.7% during the second quarter. Gulf International Bank UK Ltd now owns 73,979 shares of the semiconductor company’s stock worth $6,728,000 after purchasing an additional 550 shares in the last quarter. Caisse DE Depot ET Placement DU Quebec increased its position in shares of Microchip Technology by 1.3% during the first quarter. Caisse DE Depot ET Placement DU Quebec now owns 46,500 shares of the semiconductor company’s stock worth $4,248,000 after purchasing an additional 600 shares in the last quarter. Finally, Stephens Inc. AR increased its position in shares of Microchip Technology by 3.3% during the second quarter. Stephens Inc. AR now owns 18,796 shares of the semiconductor company’s stock worth $1,710,000 after purchasing an additional 600 shares in the last quarter.
NASDAQ:MCHP traded down $0.85 during trading hours on Tuesday, reaching $83.05. The company had a trading volume of 3,504,200 shares, compared to its average volume of 2,863,772. Microchip Technology has a 1-year low of $78.33 and a 1-year high of $104.20. The company has a market capitalization of $20.06 billion, a PE ratio of 16.00, a PEG ratio of 0.89 and a beta of 1.09. The company has a current ratio of 1.32, a quick ratio of 0.80 and a debt-to-equity ratio of 1.96.
The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 4th. Stockholders of record on Tuesday, August 21st were given a $0.364 dividend. The ex-dividend date of this dividend was Monday, August 20th. This is a boost from Microchip Technology’s previous quarterly dividend of $0.36. This represents a $1.46 dividend on an annualized basis and a dividend yield of 1.75%. Microchip Technology’s payout ratio is 28.13%.
Microchip Technology Company Profile
Microchip Technology Incorporated develops, manufactures, and sells semiconductor products for various embedded control applications. The company offers general purpose and specialized 8-bit, 16-bit, and 32-bit microcontrollers; 32-bit microprocessors; and microcontrollers for automotive networking, computing, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity.
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