Microchip Technology (NASDAQ:MCHP) Releases Q1 2023 Earnings Guidance

Microchip Technology (NASDAQ:MCHPGet Rating) updated its first quarter 2023 earnings guidance on Monday. The company provided earnings per share (EPS) guidance of $1.32-$1.36 for the period, compared to the consensus estimate of $1.28. The company issued revenue guidance of $1.92 billion-$1.99 billion, compared to the consensus revenue estimate of $1.86 billion.

Several research firms have recently issued reports on MCHP. Zacks Investment Research raised Microchip Technology from a sell rating to a hold rating and set a $73.00 price target for the company in a research report on Thursday, April 21st. Citigroup lowered their price target on Microchip Technology from $78.00 to $72.00 in a research report on Tuesday, May 10th. StockNews.com raised Microchip Technology from a hold rating to a buy rating in a research report on Tuesday, May 17th. Wells Fargo & Company reduced their price objective on Microchip Technology from $80.00 to $70.00 in a report on Tuesday, May 10th. Finally, Truist Financial reduced their price objective on Microchip Technology from $94.00 to $79.00 and set a buy rating for the company in a report on Friday, April 8th. Six analysts have rated the stock with a hold rating, fifteen have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of Buy and an average price target of $93.81.

Shares of NASDAQ:MCHP opened at $71.24 on Monday. The stock has a 50 day moving average of $68.81 and a 200 day moving average of $75.21. The company has a market cap of $39.50 billion, a PE ratio of 31.45, a price-to-earnings-growth ratio of 0.63 and a beta of 1.55. The company has a current ratio of 1.75, a quick ratio of 1.14 and a debt-to-equity ratio of 1.30. Microchip Technology has a 12-month low of $63.34 and a 12-month high of $90.00.

Microchip Technology (NASDAQ:MCHPGet Rating) last posted its quarterly earnings results on Monday, May 9th. The semiconductor company reported $1.26 EPS for the quarter, topping analysts’ consensus estimates of $1.17 by $0.09. Microchip Technology had a return on equity of 41.89% and a net margin of 18.85%. The company had revenue of $1.84 billion for the quarter, compared to analysts’ expectations of $1.82 billion. During the same period in the previous year, the firm earned $0.82 EPS. The firm’s revenue was up 25.6% compared to the same quarter last year. Equities research analysts predict that Microchip Technology will post 5.14 earnings per share for the current fiscal year.

The firm also recently declared a quarterly dividend, which was paid on Friday, June 3rd. Investors of record on Friday, May 20th were issued a $0.276 dividend. The ex-dividend date of this dividend was Thursday, May 19th. This is a boost from Microchip Technology’s previous quarterly dividend of $0.25. This represents a $1.10 dividend on an annualized basis and a yield of 1.55%. Microchip Technology’s payout ratio is currently 48.57%.

In other news, Director Matthew W. Chapman sold 1,000 shares of the company’s stock in a transaction that occurred on Monday, May 23rd. The stock was sold at an average price of $66.66, for a total transaction of $66,660.00. Following the sale, the director now directly owns 36,386 shares of the company’s stock, valued at approximately $2,425,490.76. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Karlton D. Johnson sold 594 shares of the company’s stock in a transaction that occurred on Friday, May 13th. The stock was sold at an average price of $67.35, for a total value of $40,005.90. The disclosure for this sale can be found here. Over the last three months, insiders sold 9,564 shares of company stock worth $637,217. 2.03% of the stock is owned by insiders.

Large investors have recently added to or reduced their stakes in the stock. Hardman Johnston Global Advisors LLC grew its position in Microchip Technology by 100.0% in the 4th quarter. Hardman Johnston Global Advisors LLC now owns 15,000 shares of the semiconductor company’s stock valued at $1,306,000 after acquiring an additional 7,500 shares during the last quarter. Heritage Wealth Advisors raised its stake in Microchip Technology by 99.9% in the fourth quarter. Heritage Wealth Advisors now owns 7,624 shares of the semiconductor company’s stock valued at $664,000 after buying an additional 3,811 shares during the last quarter. Flagship Harbor Advisors LLC purchased a new position in shares of Microchip Technology in the fourth quarter worth about $228,000. Sequoia Financial Advisors LLC purchased a new position in shares of Microchip Technology in the fourth quarter worth about $289,000. Finally, Barclays PLC grew its holdings in Microchip Technology by 468.3% during the fourth quarter. Barclays PLC now owns 3,385,898 shares of the semiconductor company’s stock worth $294,776,000 after acquiring an additional 2,790,097 shares during the period. Institutional investors own 89.36% of the company’s stock.

Microchip Technology Company Profile (Get Rating)

Microchip Technology Incorporated develops, manufactures, and sells semiconductor products for various embedded control applications in the Americas, Europe, and Asia. The company offers general purpose 8-bit, 16-bit, and 32-bit microcontrollers; 32-bit embedded microprocessors markets; and specialized microcontrollers for automotive, industrial, computing, communications, lighting, power supplies, motor control, human machine interface, security, wired connectivity, and wireless connectivity applications.

Further Reading

Earnings History and Estimates for Microchip Technology (NASDAQ:MCHP)

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