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

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

Analyst Ratings Changes

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

Wolfspeed Stock Down 16.8%

The company’s fifty 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 P/E ratio of -5.79.

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

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Renesas Electronics America Inc. acquired a new stake in shares of Wolfspeed during the 4th quarter worth approximately $293,400,000. Capital Research Global Investors acquired a new stake in shares of Wolfspeed during the 3rd quarter worth approximately $79,426,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its position in shares of Wolfspeed by 94.3% during 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 worth $5,718,000 after acquiring an additional 906,968 shares in the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Wolfspeed by 176.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company’s stock worth $4,224,000 after acquiring an additional 881,603 shares in the last quarter. Finally, UBS Group AG boosted its position in shares of Wolfspeed by 3,413.9% during the 4th quarter. UBS Group AG now owns 1,269,548 shares of the company’s stock worth $22,103,000 after acquiring an additional 1,233,419 shares in the last quarter.

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.