UPDATE: J.P. Morgan Raises PT on Microchip Technology on June Quarter Guidance

In a report published Tuesday, J.P. Morgan analyst Christopher Danely raised the price target on Microchip Technology MCHP from $34 to $35 and maintained a Neutral rating on the company.

In the report, J.P. Morgan stated, "Yesterday after the close, Microchip raised its June quarter guidance due to stronger bookings and improving visibility. As a result, we are raising our estimates. However, the SMSC business (roughly 21% of F4Q13 sales) is diluting Microchip’s margins, and we remain Neutral due to lack of leverage.Microchip Technology is trading up 2.06, or 5.59%, pre-market."

Microchip Technology closed Monday at $36.84.