Microchip Technology Incorporated (NASDAQ:MCHP) Shareholders to Get $0.46 Quarterly Dividend

Microchip Technology Incorporated (NASDAQ:MCHP) announced a quarterly dividend on Thursday, November 5th. Shareholders of record on Monday, November 23rd will be given a dividend of $0.4550 per share by the semiconductor company on Tuesday, December 8th. This represents a $1.82 annualized dividend and a yield of 2.8%. The ex-dividend date of this dividend is Monday, November 23rd.

Microchip Technology has raised its dividend by an average of 0.2% annually over the last three years and has increased its dividend every year for the last 23 years. Microchip Technology has a dividend payout ratio of 72.2% indicating that its dividend is sufficiently covered by earnings. Analysts expect Microchip Technology to earn $4.09 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 44.5%.

Microchip Technology Stock Performance

NASDAQ MCHP opened at $64.85 on Friday. The company’s fifty day moving average is $75.19 and its two-hundred day moving average is $79.48. Microchip Technology has a 52-week low of $48.52 and a 52-week high of $105.91. The company has a debt-to-equity ratio of 0.83, a current ratio of 1.92 and a quick ratio of 1.11. The firm has a market capitalization of $35.21 billion, a price-to-earnings ratio of 96.79, a P/E/G ratio of 0.52 and a beta of 1.84.

Microchip Technology (NASDAQ:MCHP) last announced its quarterly earnings data on Thursday, November 5th. The semiconductor company reported $0.97 EPS for the quarter, beating analysts’ consensus estimates of $0.94 by $0.03. Microchip Technology had a net margin of 9.34% and a return on equity of 14.97%. The business had revenue of $1.62 billion during the quarter, compared to analyst estimates of $1.61 billion. During the same quarter in the prior year, the business earned $0.35 earnings per share. The firm’s revenue for the quarter was up 42.2% on a year-over-year basis. Equities research analysts forecast that Microchip Technology will post 3.20 EPS for the current year.

Analyst Ratings Changes

Several brokerages recently issued reports on MCHP. Needham & Company LLC lowered their price target on Microchip Technology from $120.00 to $85.00 and set a “buy” rating on the stock in a research note on Friday. Susquehanna reduced their price objective on Microchip Technology from $120.00 to $100.00 and set a “positive” rating for the company in a research report on Friday. Truist Financial decreased their price objective on Microchip Technology from $105.00 to $90.00 and set a “hold” rating on the stock in a report on Friday, August 7th. Weiss Ratings upgraded Microchip Technology from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, August 11th. Finally, Cantor Fitzgerald cut their target price on Microchip Technology from $125.00 to $100.00 and set an “overweight” rating for the company in a research note on Friday. Three analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat, Microchip Technology currently has an average rating of “Moderate Buy” and a consensus price target of $93.67.

Microchip Technology Company Profile

Microchip Technology Incorporated (NASDAQ:MCHP) develops and manufactures semiconductor products used in embedded control and connected electronic systems. Its portfolio includes microcontrollers, microprocessors, analog and power-management devices, memory products, timing and connectivity components, security solutions, and field-programmable gate arrays. The company also provides development tools, software, evaluation kits, and technical support to help customers design and produce electronic equipment.

Microchip’s products are used across a range of markets, including automotive, industrial, aerospace and defense, communications, consumer electronics, data centers, and medical applications.