Microchip Technology Target of Unusually High Options Trading (NASDAQ:MCHP)

Microchip Technology Incorporated (NASDAQ:MCHP) was the target of unusually large options trading on Friday. Stock traders acquired 11,939 put options on the company. This is an increase of 49% compared to the typical daily volume of 7,986 put options.

Microchip Technology Trading Down 0.0 %

Microchip Technology stock traded down $0.02 during mid-day trading on Friday, hitting $58.45. 3,336,472 shares of the company’s stock were exchanged, compared to its average volume of 6,322,826. The company’s 50 day simple moving average is $66.98 and its 200-day simple moving average is $77.68. The company has a quick ratio of 0.48, a current ratio of 0.88 and a debt-to-equity ratio of 0.71. The firm has a market capitalization of $31.39 billion, a P/E ratio of 40.87 and a beta of 1.50. Microchip Technology has a fifty-two week low of $55.27 and a fifty-two week high of $100.57.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings data on Tuesday, November 5th. The semiconductor company reported $0.46 EPS 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 business had revenue of $1.16 billion for the quarter, compared to analysts’ expectations of $1.15 billion. During the same period in the previous year, the firm posted $1.54 EPS. The firm’s revenue was down 48.4% compared to the same quarter last year. On average, equities analysts anticipate that Microchip Technology will post 1.33 earnings per share for the current year.

Microchip Technology Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 22nd were given a $0.455 dividend. This represents a $1.82 dividend on an annualized basis and a dividend yield of 3.11%. The ex-dividend date of this dividend was Friday, November 22nd. This is a boost from Microchip Technology’s previous quarterly dividend of $0.45. Microchip Technology’s payout ratio is presently 127.27%.

Analyst Ratings Changes

Several equities analysts have commented on MCHP shares. Truist Financial cut Microchip Technology from a “buy” rating to a “hold” rating and cut their price target for the company from $89.00 to $80.00 in a report on Monday, September 23rd. Mizuho set a $95.00 price target on shares of Microchip Technology in a research note on Friday, October 18th. Piper Sandler dropped their price objective on shares of Microchip Technology from $100.00 to $85.00 and set an “overweight” rating for the company in a research note on Wednesday, November 6th. Susquehanna decreased their target price on shares of Microchip Technology from $95.00 to $90.00 and set a “positive” rating on the stock in a research report on Wednesday, November 6th. Finally, Evercore ISI reissued an “outperform” rating and issued a $95.00 target price (down previously from $101.00) on shares of Microchip Technology in a research note on Wednesday, November 6th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and fourteen have assigned a buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $89.63.

Hedge Funds Weigh In On Microchip Technology

Hedge funds have recently bought and sold shares of the business. Quadrature Capital Ltd bought a new position in shares of Microchip Technology during the third quarter worth approximately $3,312,000. Benjamin Edwards Inc. increased its stake in Microchip Technology by 5,185.4% during the 3rd quarter. Benjamin Edwards Inc. now owns 9,408 shares of the semiconductor company’s stock worth $755,000 after acquiring an additional 9,230 shares during the period. Empowered Funds LLC raised its holdings in Microchip Technology by 25.7% in the 3rd quarter. Empowered Funds LLC now owns 96,163 shares of the semiconductor company’s stock valued at $7,721,000 after acquiring an additional 19,663 shares in the last quarter. Harvest Fund Management Co. Ltd lifted its position in shares of Microchip Technology by 52.1% during the 3rd quarter. Harvest Fund Management Co. Ltd now owns 24,713 shares of the semiconductor company’s stock valued at $1,984,000 after acquiring an additional 8,467 shares during the period. Finally, Harvey Partners LLC acquired a new stake in shares of Microchip Technology during the 3rd quarter worth $20,554,000. 91.51% of the stock is owned by institutional investors.

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.