Microchip Technology Incorporated Declares Quarterly Dividend of $0.46 (NASDAQ:MCHP)

Microchip Technology Incorporated (NASDAQ:MCHP) announced a quarterly dividend on Thursday, February 6th,RTT News reports. Stockholders 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 raised its dividend payment by an average of 28.6% annually over the last three years and has raised its dividend annually for the last 14 consecutive years. Microchip Technology has a payout ratio of 53.1% meaning its dividend is sufficiently covered by earnings. Equities research 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 Down 0.7 %

MCHP traded down $0.39 during trading hours on Thursday, hitting $53.11. 12,895,091 shares of the company’s stock were exchanged, compared to its average volume of 8,772,884. Microchip Technology has a 12-month low of $51.37 and a 12-month high of $100.57. The firm has a 50 day moving average of $58.34 and a 200 day moving average of $70.38. The firm has a market cap of $28.52 billion, a P/E ratio of 37.14 and a beta of 1.50. The company has a current ratio of 0.88, a quick ratio of 0.48 and a debt-to-equity ratio of 0.71.

Microchip Technology (NASDAQ:MCHP) last posted its quarterly earnings results on Thursday, February 6th. The semiconductor company reported $0.13 EPS for the quarter, missing the consensus estimate of $0.28 by ($0.15). Microchip Technology had a return on equity of 19.47% and a net margin of 14.22%. Analysts predict that Microchip Technology will post 1.31 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on MCHP. Bank of America downgraded shares of Microchip Technology from a “neutral” rating to an “underperform” rating and cut their price objective for the stock from $80.00 to $65.00 in a research report on Monday, December 16th. StockNews.com upgraded shares of Microchip Technology from a “sell” rating to a “hold” rating in a research note on Friday, December 13th. Jefferies Financial Group dropped their price target on shares of Microchip Technology from $100.00 to $90.00 and set a “buy” rating for the company in a research note on Wednesday, November 6th. Piper Sandler reduced their price target on shares of Microchip Technology from $100.00 to $85.00 and set an “overweight” rating for the company in a report on Wednesday, November 6th. Finally, B. Riley cut their price objective on shares of Microchip Technology from $93.00 to $85.00 and set a “buy” rating on the stock in a research note on Friday, January 24th. One 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 MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $81.67.

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.