Seeking Alpha
 

Micrel, Incorporated (MCRL)

- NASDAQ
  • Thu, May 7, 4:35 PM
    • Along with its FQ4 results, Microchip (NASDAQ:MCHP) announces it's buying analog/mixed-signal chipmaker Micrel (NASDAQ:MCRL) for $14/share, or $744M net of cash. Micrel shareholders can opt to be paid either in cash or stock.
    • The price represents a modest 4% premium to Micrel's Thursday close. Microchip notes the price is 30% above where Micrel traded before activist Starboard Value disclosed a 12% stake last August, thus fueling hopes Micrel will take part in the chip industry's consolidation wave.
    • The deal is expected to close in early calendar Q3. No word yet on expected post-merger cost synergies. Micrel's chips often go into hardware Microchip's aims to sell microcontrollers for. Last year, Microchip bought Bluetooth chipmaker ISSC for $294M.
    • Microchip has also announced it's expanding its buyback authorization to 20M from the 2.5M that it previously had remaining. The company's FQ4 diluted share count was 220.9M.
    • FQ1 guidance is for revenue $547M-$564M and EPS of $0.69-$0.73, almost entirely below a consensus of $568.3M and $0.74. Many peers have also provided soft guidance.
    • Microchip is nearly unchanged AH.
    | Comment!
  • Mon, Apr. 13, 9:49 AM
    • Micrel's (NASDAQ:MCRL) 2015 annual meeting has been pushed back from June 19 to August 4. The analog/mixed-signal chipmaker states the move will "allow the Board and the Company's management to further evaluate the Company's strategic alternatives."
    • Micrel announced a strategic review on Jan. 20 amid a chip industry consolidation wave that still isn't showing any signs of letting up.
    | Comment!
  • Tue, Jan. 20, 10:58 AM
    • Micrel's (NASDAQ:MCRL) board has "unanimously decided to undertake a comprehensive review of strategic alternatives to enhance value for shareholders."
    • A Transactions Committee composed of three directors has been formed, and Credit Suisse hired to advise.
    • Plenty of other chipmakers have been acquired over the last 15 months.
    | Comment!
  • Tue, Jan. 6, 1:36 PM
    • Up 30% in 2014, the Philadelphia Semi Index (SOXX -2.2%) has fallen over 4% thus far in 2015. Today's decline comes as the Nasdaq drops 1.6%.
    • Many names are posting 3%+ losses. SWKS -4.2%. QRVO -5.8%. AMAT -3.4%. KLAC -3.1%. SYNA -5.4%. IPHI -9%. ARMH -5.4%. SIMO -4.5%. MCRL -3.9%. AMCC -3.9%. CODE -5.1%. CY -4.6%. QUIK -7.9%.
    • This morning, Gartner estimated global chip sales rose 7.9% in 2014 to $339.8B, a little less than the 9.4% recently estimated by IHS. Sell-side firms have forecast industry growth will fall to the ~5% range in 2015.
    • Gartner thinks memory sales rose 16.9%, fueled by a 31.7% increase in DRAM sales. All other chip markets rose by 5.4%, a marked improvement from 2013's 0.8%. Intel (15% share) and Samsung (10.4%) claimed over a quarter of industry sales between them. Qualcomm (5.6%), Micron (4.9%), and SK Hynix (4.7%) rounded out the top-5.
    • Chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG
    | 3 Comments
  • Nov. 29, 2012, 10:04 AM
    Analog chipmaker Semtech (SMTC +13.8%) has soared and is near its 52-week high after soundly beating FQ3 estimates and guiding for FQ4 revenue of $146M-$152M vs. a $147.6M consensus, pleasing investors on edge over troubles faced by peers. Semtech's gross margin rose 970 bps Q/Q to 59.2%, and is expected to be in the range of 58.3%-58.9% in seasonally weak FQ4. Micrel (MCRL +2.9%), Microsemi (MSCC +2.9%), and Intersil (ISIL +1.6%) might be rallying in sympathy.
    | Comment!
  • Oct. 25, 2012, 4:56 PM
    Micrel (MCRL): Q3 EPS of $0.10 beats by $0.01. Revenue of $62.9M (-1.2% Y/Y) misses by $0.8M. Shares -2% AH. (PR)
    | Comment!
Visit Seeking Alpha's
MCRL vs. ETF Alternatives
Company Description
Micrel Inc designs, develops, manufactures and markets analog, power and mixed-signal integrated circuits. The Company also manufactures custom analog and mixed-signal circuits and provides wafer foundry services.