Microchip Technology Analysts Increase Their Forecasts After Better-Than-Expected Q1 Results

Group 1 - Microchip Technology reported first-quarter earnings of 27 cents per share, exceeding the analyst consensus estimate of 23 cents per share [1] - The company achieved quarterly sales of $1.075 billion, surpassing the analyst consensus estimate of $1.054 billion [1] - For the second quarter, Microchip expects adjusted EPS between 34 cents to 37 cents per share, compared to market estimates of 30 cents per share [2] Group 2 - Microchip projects sales for the second quarter to be between $1.110 billion and $1.150 billion, slightly below expectations of $1.115 billion [2] - CEO Steve Sanghi highlighted a 10.8% sequential revenue growth to approximately $1.0755 billion, indicating a strong start to fiscal 2026 [3] - The company is executing a nine-point recovery plan, leading to improvements in key financial metrics and a strengthened financial position [3] Group 3 - Analysts have adjusted their price targets for Microchip Technology, with Needham maintaining a Buy rating and raising the target from $66 to $77 [6] - Piper Sandler also maintained an Overweight rating, increasing the price target from $65 to $80 [6]