Microchip Technology (NASDAQ:MCHP) Rating Lowered to Sell at StockNews.com

Microchip Technology (NASDAQ:MCHP) was downgraded by stock analysts at StockNews.com from a “hold” rating to a “sell” rating in a research note issued to investors on Thursday.

A number of other equities analysts have also recently issued reports on the stock. Jefferies Financial Group cut their target price on shares of Microchip Technology from $100.00 to $90.00 and set a “buy” rating on the stock in a report on Wednesday. B. Riley reduced their price objective on Microchip Technology from $110.00 to $103.00 and set a “buy” rating for the company in a research report on Friday, August 2nd. Morgan Stanley lowered Microchip Technology from an “overweight” rating to an “equal weight” rating and dropped their target price for the stock from $102.00 to $100.00 in a research report on Thursday, July 11th. Bank of America downgraded shares of Microchip Technology from a “buy” rating to a “neutral” rating and reduced their price target for the company from $110.00 to $90.00 in a report on Friday, August 2nd. Finally, Piper Sandler lowered their price target on shares of Microchip Technology from $100.00 to $85.00 and set an “overweight” rating for the company in a research report on Wednesday. One investment analyst has rated the stock with a sell rating, five have assigned a hold rating and fourteen have assigned a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $92.00.

Microchip Technology Price Performance

Shares of MCHP opened at $72.87 on Thursday. Microchip Technology has a 52 week low of $71.76 and a 52 week high of $100.57. The company has a current ratio of 0.88, a quick ratio of 1.08 and a debt-to-equity ratio of 0.71. The firm has a market cap of $39.13 billion, a price-to-earnings ratio of 50.96 and a beta of 1.53. The stock has a 50 day moving average of $76.73 and a 200-day moving average of $84.98.

Microchip Technology (NASDAQ:MCHP) last released its earnings results on Tuesday, November 5th. The semiconductor company reported $0.46 earnings per share for the quarter, beating the consensus estimate of $0.43 by $0.03. Microchip Technology had a net margin of 14.22% and a return on equity of 19.47%. The firm had revenue of $1.16 billion during the quarter, compared to analyst estimates of $1.15 billion. During the same quarter in the previous year, the firm earned $1.54 earnings per share. The firm’s revenue for the quarter was down 48.4% compared to the same quarter last year. As a group, analysts forecast that Microchip Technology will post 1.73 EPS for the current year.

Insider Buying and Selling at Microchip Technology

In other news, CFO James Eric Bjornholt sold 2,154 shares of Microchip Technology stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $81.50, for a total transaction of $175,551.00. Following the transaction, the chief financial officer now directly owns 33,257 shares in the company, valued at approximately $2,710,445.50. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 2.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Microchip Technology

Several hedge funds have recently made changes to their positions in MCHP. Norden Group LLC increased its holdings in shares of Microchip Technology by 23.9% in the first quarter. Norden Group LLC now owns 3,418 shares of the semiconductor company’s stock valued at $307,000 after buying an additional 660 shares in the last quarter. Larson Financial Group LLC purchased a new stake in shares of Microchip Technology during the first quarter valued at $85,000. Advisory Services Network LLC lifted its holdings in shares of Microchip Technology by 4.7% during the first quarter. Advisory Services Network LLC now owns 33,927 shares of the semiconductor company’s stock valued at $3,044,000 after purchasing an additional 1,531 shares during the last quarter. Empirical Finance LLC boosted its position in shares of Microchip Technology by 3.5% in the 1st quarter. Empirical Finance LLC now owns 19,574 shares of the semiconductor company’s stock valued at $1,756,000 after purchasing an additional 661 shares during the period. Finally, Envestnet Portfolio Solutions Inc. increased its stake in Microchip Technology by 200.5% in the 1st quarter. Envestnet Portfolio Solutions Inc. now owns 122,533 shares of the semiconductor company’s stock worth $10,992,000 after purchasing an additional 81,757 shares in the last quarter. Institutional investors and hedge funds own 91.51% of the company’s stock.

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.