Microchip Technology (NASDAQ:MCHP) Releases Earnings Results, Meets Estimates

Microchip Technology (NASDAQ:MCHP) issued its quarterly earnings data on Monday. The semiconductor company reported $0.57 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.57, Briefing.com reports. Microchip Technology had a net margin of 27.59% and a return on equity of 45.59%. The company had revenue of $1.33 billion for the quarter, compared to the consensus estimate of $1.33 billion. During the same period last year, the firm posted $1.56 EPS. Microchip Technology’s revenue for the quarter was down 40.6% on a year-over-year basis. Microchip Technology updated its Q1 guidance to $0.48-0.56 EPS and its Q1 2025 guidance to 0.480-0.560 EPS.

Microchip Technology Stock Down 1.8 %

Shares of NASDAQ MCHP opened at $92.06 on Wednesday. The company has a quick ratio of 0.58, a current ratio of 0.98 and a debt-to-equity ratio of 0.57. Microchip Technology has a 52 week low of $68.75 and a 52 week high of $96.14. The firm has a 50-day moving average price of $88.45 and a 200 day moving average price of $85.37. The stock has a market capitalization of $49.75 billion, a price-to-earnings ratio of 21.51, a price-to-earnings-growth ratio of 2.79 and a beta of 1.60.

Microchip Technology Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 5th. Investors of record on Wednesday, May 22nd will be paid a $0.452 dividend. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45. The ex-dividend date is Tuesday, May 21st. This represents a $1.81 annualized dividend and a dividend yield of 1.96%. Microchip Technology’s dividend payout ratio (DPR) is 42.06%.

Insider Activity at Microchip Technology

In other Microchip Technology news, CFO James Eric Bjornholt sold 1,970 shares of Microchip Technology stock in a transaction dated Friday, February 23rd. The shares were sold at an average price of $83.90, for a total transaction of $165,283.00. Following the completion of the transaction, the chief financial officer now owns 32,893 shares in the company, valued at $2,759,722.70. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Company insiders own 2.07% of the company’s stock.

Analyst Ratings Changes

Several research analysts have issued reports on MCHP shares. B. Riley raised their price objective on shares of Microchip Technology from $105.00 to $110.00 and gave the stock a “buy” rating in a research report on Tuesday. Rosenblatt Securities reissued a “buy” rating and set a $100.00 price objective on shares of Microchip Technology in a research report on Tuesday, January 30th. Piper Sandler reaffirmed a “neutral” rating and issued a $90.00 target price (up previously from $80.00) on shares of Microchip Technology in a report on Tuesday. KeyCorp lifted their target price on shares of Microchip Technology from $90.00 to $110.00 and gave the company an “overweight” rating in a report on Tuesday. Finally, Mizuho lifted their target price on shares of Microchip Technology from $82.00 to $85.00 and gave the company a “neutral” rating in a report on Tuesday. Six investment analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the stock. According to data from MarketBeat, Microchip Technology has an average rating of “Moderate Buy” and an average price target of $98.47.

Microchip Technology Company Profile

Microchip Technology Incorporated develops, manufactures, and sells 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 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.