Wolfspeed (NYSE:WOLF) Shares Down 9% – Here’s What Happened

Wolfspeed, Inc. (NYSE:WOLF) traded down 9% during mid-day trading on Wednesday . The company traded as low as $28.89 and last traded at $28.6250. 906,640 shares were traded during mid-day trading, a decline of 79% from the average session volume of 4,422,336 shares. The stock had previously closed at $31.46.

More Wolfspeed News

Here are the key news stories impacting Wolfspeed this week:

• Positive Sentiment: Wolfspeed said fiscal 2026 revenue from AI data centers more than doubled year over year and rose about 20% sequentially in the fourth quarter. The company also launched its fifth-generation silicon-carbide MOSFET, supporting its longer-term technology strategy. Wolfspeed Reports Financial Results for the Fourth Quarter of Fiscal 2026
• Positive Sentiment: The company reported a fiscal fourth-quarter loss of $2.26 per share, better than the consensus estimate for a $2.45 loss. However, the improvement was overshadowed by revenue weakness and concerns about the quality and sustainability of the earnings beat. Wolfspeed quarterly earnings report
• Neutral Sentiment: Wolfspeed guided to fiscal first-quarter 2027 revenue of $140 million to $160 million, broadly in line with the approximately $150.4 million analyst consensus. The range suggests limited near-term upside expectations. Wolfspeed targets fiscal first-quarter revenue
• Negative Sentiment: Fourth-quarter revenue was $149.6 million, essentially matching estimates but falling 24.1% from the prior year. Reports also highlighted a wider-than-expected adjusted loss, reinforcing concerns that Wolfspeed’s AI and silicon-carbide investments have not yet translated into profitability. Wolfspeed loss and semiconductor-sector report
• Negative Sentiment: Analysts said Wolfspeed faces a long path to profitability, with continued negative gross margins adding pressure to the investment case. TD Cowen reaffirmed a “Hold” rating and set a $25 price target, signaling limited confidence in a near-term recovery. Analyst view on Wolfspeed’s profitability outlook
• Negative Sentiment: The reported departure of longtime chief technology officer Elif Balkas adds an additional leadership-transition concern as Wolfspeed executes its chip strategy. Wolfspeed CTO departure

Analysts Set New Price Targets

Several research firms have recently weighed in on WOLF. TD Cowen reissued a “hold” rating and issued a $25.00 target price on shares of Wolfspeed in a research report on Thursday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Wolfspeed in a research note on Wednesday, June 24th. Wall Street Zen lowered Wolfspeed from a “sell” rating to a “strong sell” rating in a report on Saturday, August 1st. Finally, Susquehanna decreased their target price on Wolfspeed from $40.00 to $30.00 and set a “neutral” rating for the company in a research report on Tuesday, July 21st. One equities research analyst has rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $25.00.

Wolfspeed Trading Down 9.9%

The firm has a market cap of $1.36 billion and a price-to-earnings ratio of -1.66. The firm has a 50-day moving average of $35.44 and a two-hundred day moving average of $32.77.

Wolfspeed (NYSE:WOLF) last released its earnings results on Wednesday, August 19th. The company reported ($2.26) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($2.45) by $0.19. The business had revenue of $149.60 million during the quarter, compared to analyst estimates of $150.00 million. The business’s quarterly revenue was down 24.1% compared to the same quarter last year. During the same period last year, the business earned ($0.77) EPS.

Hedge Funds Weigh In On Wolfspeed

Several institutional investors and hedge funds have recently added to or reduced their stakes in WOLF. Goldman Sachs Group Inc. grew its holdings 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 purchasing an additional 881,603 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted 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 worth $5,718,000 after purchasing an additional 906,968 shares during the period. WINTON GROUP Ltd acquired a new stake in Wolfspeed during the second quarter worth $47,000. Ilex Capital Partners UK LLP increased its holdings in Wolfspeed by 499.1% in the 2nd quarter. Ilex Capital Partners UK LLP now owns 665,697 shares of the company’s stock valued at $265,000 after buying an additional 554,587 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of Wolfspeed in the 2nd quarter valued at $34,000.

About Wolfspeed

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.