Microchip Technology Incorporated (MCHP) To Go Ex-Dividend on May 22nd

Microchip Technology Incorporated (NASDAQ:MCHP) announced a quarterly dividend on Thursday, May 7th. Investors of record on Friday, May 22nd will be paid a dividend of 0.455 per share by the semiconductor company on Friday, June 5th. This represents a c) dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend is Friday, May 22nd.

Microchip Technology has raised its dividend by an average of 0.2%annually over the last three years and has increased its dividend annually for the last 23 consecutive years. Microchip Technology has a dividend payout ratio of 72.2% meaning its dividend is sufficiently covered by earnings. Research analysts expect Microchip Technology to earn $2.74 per share next year, which means the company should continue to be able to cover its $1.82 annual dividend with an expected future payout ratio of 66.4%.

Microchip Technology Trading Down 2.5%

Shares of Microchip Technology stock opened at $99.09 on Friday. Microchip Technology has a 12-month low of $48.52 and a 12-month high of $105.91. The company has a 50-day simple moving average of $73.27 and a 200 day simple moving average of $69.20. The company has a quick ratio of 1.16, a current ratio of 2.16 and a debt-to-equity ratio of 0.82. The stock has a market capitalization of $53.62 billion, a P/E ratio of 471.88, a price-to-earnings-growth ratio of 1.36 and a beta of 1.75.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings data on Thursday, May 7th. The semiconductor company reported $0.57 EPS for the quarter, topping analysts’ consensus estimates of $0.50 by $0.07. Microchip Technology had a net margin of 4.88% and a return on equity of 10.76%. The firm had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.26 billion. During the same quarter in the prior year, the firm earned $0.11 EPS. The company’s revenue was up 35.1% on a year-over-year basis. Microchip Technology has set its Q1 2027 guidance at 0.670-0.710 EPS. Research analysts expect that Microchip Technology will post 2.14 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Microchip Technology news, CEO Steve Sanghi sold 76,469 shares of the firm’s stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $93.58, for a total transaction of $7,155,969.02. Following the sale, the chief executive officer directly owned 9,385,834 shares in the company, valued at approximately $878,326,345.72. This trade represents a 0.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 526,552 shares of company stock worth $47,130,465. Company insiders own 1.94% of the company’s stock.

Institutional Trading of Microchip Technology

Several hedge funds have recently bought and sold shares of MCHP. AQR Capital Management LLC raised its holdings in Microchip Technology by 51.3% during the 1st quarter. AQR Capital Management LLC now owns 17,201 shares of the semiconductor company’s stock worth $827,000 after buying an additional 5,835 shares during the period. Geneos Wealth Management Inc. raised its holdings in shares of Microchip Technology by 101.8% in the first quarter. Geneos Wealth Management Inc. now owns 1,221 shares of the semiconductor company’s stock valued at $59,000 after purchasing an additional 616 shares during the last quarter. Cresset Asset Management LLC raised its holdings in shares of Microchip Technology by 5.4% in the second quarter. Cresset Asset Management LLC now owns 11,433 shares of the semiconductor company’s stock valued at $805,000 after purchasing an additional 589 shares during the last quarter. AXA S.A. raised its holdings in shares of Microchip Technology by 21.3% in the second quarter. AXA S.A. now owns 51,552 shares of the semiconductor company’s stock valued at $3,628,000 after purchasing an additional 9,043 shares during the last quarter. Finally, Treasurer of the State of North Carolina raised its holdings in shares of Microchip Technology by 1.6% in the second quarter. Treasurer of the State of North Carolina now owns 246,530 shares of the semiconductor company’s stock valued at $17,348,000 after purchasing an additional 3,851 shares during the last quarter. 91.51% of the stock is currently owned by institutional investors and hedge funds.

About Microchip Technology

Microchip Technology Inc is a semiconductor company headquartered in Chandler, Arizona, that designs, develops and supplies a broad portfolio of embedded control and analog semiconductors. Its product lineup centers on microcontrollers (including the well-known PIC family), digital signal controllers and associated development tools and software, along with a range of mixed-signal and analog devices, nonvolatile memory, power management, timing, interface, wireless and security products. The company also provides integrated hardware and software solutions intended to simplify embedded design and accelerate time to market for OEMs and contract manufacturers.

Microchip’s products are used across a wide range of end markets, including automotive, industrial automation, consumer electronics, communications, aerospace and defense, and Internet of Things (IoT) applications.