Wolfspeed (NYSE:WOLF) Shares Gap Down Following Analyst Downgrade

Shares of Wolfspeed, Inc. (NYSE:WOLF) gapped down before the market opened on Thursday after Canaccord Genuity Group lowered their price target on the stock from $25.00 to $18.00. The stock had previously closed at $13.71, but opened at $10.68. Canaccord Genuity Group currently has a buy rating on the stock. Wolfspeed shares last traded at $10.38, with a volume of 4,968,062 shares traded.

A number of other analysts have also issued reports on the stock. Mizuho lowered shares of Wolfspeed from a “neutral” rating to an “underperform” rating and dropped their price target for the stock from $17.00 to $8.00 in a research note on Thursday, October 3rd. Morgan Stanley increased their price objective on Wolfspeed from $10.00 to $15.00 and gave the stock an “equal weight” rating in a research note on Wednesday, October 16th. Deutsche Bank Aktiengesellschaft lowered their price target on Wolfspeed from $17.00 to $14.00 and set a “hold” rating for the company in a research note on Thursday, August 22nd. New Street Research cut Wolfspeed from a “buy” rating to a “neutral” rating and set a $18.00 target price for the company. in a research report on Wednesday, August 7th. Finally, Bank of America cut their target price on Wolfspeed from $25.00 to $15.00 and set an “underperform” rating for the company in a research note on Friday, August 23rd. Two investment analysts have rated the stock with a sell rating, ten have given a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat, Wolfspeed has an average rating of “Hold” and a consensus price target of $17.36.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in WOLF. Primecap Management Co. CA increased its position in shares of Wolfspeed by 15.3% during the second quarter. Primecap Management Co. CA now owns 6,045,310 shares of the company’s stock valued at $137,591,000 after acquiring an additional 800,540 shares during the last quarter. Vanguard Group Inc. increased its position in shares of Wolfspeed by 3.6% during the first quarter. Vanguard Group Inc. now owns 13,079,067 shares of the company’s stock valued at $385,832,000 after acquiring an additional 449,732 shares during the last quarter. Iridian Asset Management LLC CT increased its position in shares of Wolfspeed by 319.9% during the third quarter. Iridian Asset Management LLC CT now owns 521,158 shares of the company’s stock valued at $5,055,000 after acquiring an additional 397,057 shares during the last quarter. Samlyn Capital LLC grew its holdings in Wolfspeed by 51.6% during the second quarter. Samlyn Capital LLC now owns 1,009,137 shares of the company’s stock valued at $22,968,000 after purchasing an additional 343,277 shares during the period. Finally, Yong Rong HK Asset Management Ltd bought a new position in Wolfspeed during the third quarter valued at $2,988,000.

Wolfspeed Trading Down 39.4 %

The firm has a fifty day simple moving average of $10.92 and a two-hundred day simple moving average of $18.16. The firm has a market capitalization of $1.05 billion, a P/E ratio of -1.20 and a beta of 1.46. The company has a debt-to-equity ratio of 6.99, a current ratio of 4.51 and a quick ratio of 3.85.

Wolfspeed (NYSE:WOLF) last posted its quarterly earnings results on Wednesday, November 6th. The company reported ($1.11) EPS for the quarter, topping analysts’ consensus estimates of ($1.20) by $0.09. Wolfspeed had a negative return on equity of 37.76% and a negative net margin of 107.93%. The firm had revenue of $194.70 million during the quarter, compared to analyst estimates of $200.11 million. On average, equities research analysts anticipate that Wolfspeed, Inc. will post -4.07 earnings per share for the current fiscal year.

Wolfspeed Company Profile

Wolfspeed, Inc operates as a powerhouse semiconductor company focuses on silicon carbide and gallium nitride (GaN) technologies in Europe, Hong Kong, China, rest of Asia-Pacific, the United States, and internationally. It offers silicon carbide and GaN materials, including silicon carbide bare wafers, epitaxial wafers, and GaN epitaxial layers on silicon carbide wafers to manufacture products for RF, power, and other applications.