Wolfspeed (NYSE:WOLF) Shares Gap Up – What’s Next?

Wolfspeed, Inc. (NYSE:WOLF)’s share price gapped up before the market opened on Tuesday . The stock had previously closed at $69.89, but opened at $77.78. Wolfspeed shares last traded at $75.24, with a volume of 2,827,300 shares.

Analysts Set New Price Targets

Several research analysts have recently weighed in on the company. Piper Sandler restated 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. Zacks Research upgraded Wolfspeed to a “hold” rating in a report on Monday, February 9th. Weiss Ratings restated a “sell (d-)” rating on shares of Wolfspeed in a report on Friday, March 27th. Finally, Wall Street Zen upgraded Wolfspeed from a “strong sell” rating to a “sell” rating in a report on Saturday, May 9th. One investment analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Wolfspeed currently has a consensus rating of “Hold” and a consensus target price of $20.00.

Wolfspeed Price Performance

The stock has a market capitalization of $3.48 billion and a price-to-earnings ratio of -6.82. The business has a fifty day moving average of $32.06 and a 200 day moving average of $23.40.

Wolfspeed (NYSE:WOLF) last released its quarterly earnings data on Tuesday, May 5th. The company reported ($3.26) EPS for the quarter, beating analysts’ consensus estimates of ($3.78) by $0.52. The business had revenue of $150.20 million during the quarter, compared to analyst estimates of $150.00 million. The company’s revenue was down 19.0% on a year-over-year basis. During the same quarter in the prior year, the company posted ($0.72) earnings per share.

Institutional Trading of Wolfspeed

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Renesas Electronics America Inc. purchased a new stake in Wolfspeed in the fourth quarter valued at approximately $293,400,000. Capital Research Global Investors purchased a new stake in Wolfspeed in the third quarter valued at approximately $79,426,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Wolfspeed by 94.3% in the first 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 purchasing an additional 906,968 shares during the period. Goldman Sachs Group Inc. raised its position in Wolfspeed by 176.7% in the first quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company’s stock valued at $4,224,000 after purchasing an additional 881,603 shares during the period. Finally, UBS Group AG raised its position in Wolfspeed by 3,413.9% in the fourth quarter. UBS Group AG now owns 1,269,548 shares of the company’s stock valued at $22,103,000 after purchasing 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.