Wolfspeed (NYSE:WOLF) Trading Down 14.7% – Here’s Why

Wolfspeed, Inc. (NYSE:WOLF)’s share price traded down 14.7% during trading on Wednesday . The stock traded as low as $64.27 and last traded at $62.6890. 2,559,331 shares were traded during trading, a decline of 32% from the average session volume of 3,771,142 shares. The stock had previously closed at $73.50.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Wall Street Zen upgraded shares of Wolfspeed from a “strong sell” rating to a “sell” rating in a research report on Saturday, May 9th. Piper Sandler reiterated an “overweight” rating and set a $20.00 target price (up from $6.00) on shares of Wolfspeed in a research report on Thursday, February 5th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Wolfspeed in a research report on Friday, March 27th. Finally, Zacks Research upgraded shares of Wolfspeed to a “hold” rating in a research report on Monday, February 9th. One research analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $20.00.

Wolfspeed Trading Down 16.8%

The stock’s 50 day moving average price is $33.19 and its 200 day moving average price is $23.78. The company has a market capitalization of $2.96 billion and a price-to-earnings ratio of -5.79.

Wolfspeed (NYSE:WOLF) last announced its quarterly earnings results on Tuesday, May 5th. The company reported ($3.26) earnings per share for the quarter, topping analysts’ consensus estimates of ($3.78) by $0.52. The business had revenue of $150.20 million for the quarter, compared to analyst estimates of $150.00 million. Wolfspeed’s quarterly revenue was down 19.0% compared to the same quarter last year. During the same period last year, the firm earned ($0.72) EPS.

Hedge Funds Weigh In On Wolfspeed

Institutional investors have recently bought and sold shares of the business. Renesas Electronics America Inc. bought a new position in Wolfspeed in the 4th quarter valued at about $293,400,000. Capital Research Global Investors bought a new position in Wolfspeed in the 3rd quarter valued at about $79,426,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Wolfspeed by 94.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,868,741 shares of the company’s stock valued at $5,718,000 after acquiring an additional 906,968 shares during the period. Goldman Sachs Group Inc. raised its holdings in Wolfspeed by 176.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company’s stock valued at $4,224,000 after acquiring an additional 881,603 shares during the period. Finally, UBS Group AG raised its holdings in Wolfspeed by 3,413.9% in the 4th quarter. UBS Group AG now owns 1,269,548 shares of the company’s stock valued at $22,103,000 after acquiring an additional 1,233,419 shares during the period.

Wolfspeed Company Profile

Wolfspeed, Inc (NYSE: WOLF) is a leading developer and manufacturer of silicon carbide (SiC) and gallium nitride (GaN) semiconductor materials and devices. The company’s product portfolio addresses high-growth markets such as electric vehicles, renewable energy, fast-charging infrastructure, aerospace and defense, and telecommunications. By leveraging proprietary materials and device designs, Wolfspeed delivers solutions that offer improved energy efficiency, higher power density and greater thermal performance compared to conventional silicon-based semiconductors.

Founded as part of Cree, Inc and spun off to form an independent public company in October 2021, Wolfspeed traces its roots to the mid-1980s when it pioneered the commercial use of wide-bandgap semiconductor technology.