Wolfspeed (NYSE:WOLF) Shares Gap Down – Time to Sell?

Wolfspeed, Inc. (NYSE:WOLF)’s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $36.63, but opened at $32.50. Wolfspeed shares last traded at $37.68, with a volume of 3,523,670 shares changing hands.

Analysts Set New Price Targets

WOLF has been the topic of a number of recent analyst reports. Susquehanna decreased their price target on Wolfspeed from $30.00 to $20.00 and set a “neutral” rating on the stock in a report on Thursday, January 22nd. Wall Street Zen cut Wolfspeed from a “hold” rating to a “sell” rating in a report on Saturday, February 7th. Weiss Ratings reissued a “sell (d-)” rating on shares of Wolfspeed in a report on Friday, March 27th. Zacks Research raised Wolfspeed to a “hold” rating in a report on Monday, February 9th. Finally, Piper Sandler reissued an “overweight” rating and set a $20.00 price target (up from $6.00) on shares of Wolfspeed in a report on Thursday, February 5th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Wolfspeed has an average rating of “Reduce” and a consensus price target of $14.33.

Wolfspeed Price Performance

The stock has a market cap of $2.11 billion and a PE ratio of -6.63. The stock has a 50-day moving average price of $21.97 and a two-hundred day moving average price of $20.63.

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

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Shah Capital Management lifted its stake in Wolfspeed by 1,419.5% in the 1st quarter. Shah Capital Management now owns 508,948 shares of the company’s stock valued at $8,306,000 after buying an additional 475,454 shares in the last quarter. Atlas Brown Inc. purchased a new position in Wolfspeed in the 1st quarter worth approximately $408,000. SG Americas Securities LLC purchased a new position in Wolfspeed in the 1st quarter worth approximately $6,671,000. Yaupon Capital Management LP purchased a new position in Wolfspeed in the 4th quarter worth approximately $7,834,000. Finally, Summit Securities Group LLC lifted its stake in Wolfspeed by 71.0% in the 4th quarter. Summit Securities Group LLC now owns 2,204 shares of the company’s stock worth $38,000 after purchasing an additional 915 shares in the last quarter.

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.