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

Microchip Technology Incorporated (NASDAQ:MCHP) declared a quarterly dividend on Thursday, February 6th,RTT News reports. Investors of record on Monday, February 24th will be given a dividend of 0.455 per share by the semiconductor company on Friday, March 7th. This represents a $1.82 dividend on an annualized basis and a dividend yield of 3.43%.

Microchip Technology has increased its dividend by an average of 28.6% per year over the last three years and has increased its dividend every year for the last 14 years. Microchip Technology has a payout ratio of 53.1% indicating that its dividend is sufficiently covered by earnings. Analysts expect Microchip Technology to earn $2.02 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 90.1%.

Microchip Technology Stock Performance

NASDAQ MCHP traded down $0.39 on Thursday, reaching $53.11. The stock had a trading volume of 12,895,091 shares, compared to its average volume of 8,772,884. The company has a debt-to-equity ratio of 0.71, a current ratio of 0.88 and a quick ratio of 0.48. The firm has a fifty day moving average of $58.34 and a two-hundred day moving average of $70.38. Microchip Technology has a 1-year low of $51.37 and a 1-year high of $100.57. The company has a market cap of $28.52 billion, a P/E ratio of 37.14 and a beta of 1.50.

Microchip Technology (NASDAQ:MCHP) last issued its quarterly earnings data on Thursday, February 6th. The semiconductor company reported $0.13 EPS for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.15). Microchip Technology had a net margin of 14.22% and a return on equity of 19.47%. On average, equities research analysts anticipate that Microchip Technology will post 1.31 EPS for the current year.

Analyst Ratings Changes

A number of analysts have recently weighed in on the company. Needham & Company LLC reiterated a “buy” rating and set a $85.00 target price on shares of Microchip Technology in a research report on Tuesday, December 3rd. Rosenblatt Securities reissued a “buy” rating and issued a $90.00 price target on shares of Microchip Technology in a research note on Thursday. Evercore ISI reissued an “outperform” rating and issued a $95.00 price target (down previously from $101.00) on shares of Microchip Technology in a research note on Wednesday, November 6th. TD Cowen decreased their price target on Microchip Technology from $80.00 to $70.00 and set a “hold” rating for the company in a research note on Wednesday, November 6th. Finally, Mizuho decreased their price target on Microchip Technology from $85.00 to $72.00 and set an “outperform” rating for the company in a research note on Friday, January 10th. One research analyst has rated the stock with a sell rating, five have given a hold rating and thirteen have given a buy rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $81.67.

Microchip Technology Company Profile

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.