Wolfspeed (NYSE:WOLF) Stock Price Up 3.8% – Should You Buy?

Wolfspeed, Inc. (NYSE:WOLF) shares traded up 3.8% during mid-day trading on Tuesday . The company traded as high as $1.61 and last traded at $1.51. 7,378,700 shares were traded during mid-day trading, a decline of 59% from the average session volume of 17,870,686 shares. The stock had previously closed at $1.45.

Analyst Ratings Changes

WOLF has been the topic of a number of recent analyst reports. JPMorgan Chase & Co. reissued an “underweight” rating on shares of Wolfspeed in a research report on Friday, May 9th. Citigroup reiterated a “sell” rating and issued a $3.00 price objective (down previously from $7.00) on shares of Wolfspeed in a research note on Friday, May 9th. Piper Sandler reduced their target price on Wolfspeed from $10.00 to $6.00 and set an “overweight” rating for the company in a report on Friday, May 9th. Finally, The Goldman Sachs Group dropped their price target on Wolfspeed from $15.00 to $8.00 and set a “buy” rating on the stock in a report on Wednesday, April 2nd. Five analysts have rated the stock with a sell rating, six have given a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $11.15.

Wolfspeed Price Performance

The firm has a market cap of $231.11 million, a PE ratio of -0.19 and a beta of 1.29. The stock has a 50 day simple moving average of $2.62 and a two-hundred day simple moving average of $5.18. The company has a debt-to-equity ratio of 17.26, a quick ratio of 2.47 and a current ratio of 3.15.

Wolfspeed (NYSE:WOLF) last released its quarterly earnings results on Thursday, May 8th. The company reported ($0.72) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.82) by $0.10. The firm had revenue of $185.40 million for the quarter, compared to analysts’ expectations of $190.03 million. Wolfspeed had a negative net margin of 125.96% and a negative return on equity of 70.84%. The firm’s revenue for the quarter was down 7.6% compared to the same quarter last year. During the same quarter last year, the company earned ($0.62) EPS. Sell-side analysts expect that Wolfspeed, Inc. will post -4 earnings per share for the current year.

Insider Buying and Selling at Wolfspeed

In other Wolfspeed news, CFO Neill Reynolds sold 13,909 shares of Wolfspeed stock in a transaction that occurred on Monday, April 28th. The stock was sold at an average price of $3.99, for a total value of $55,496.91. Following the sale, the chief financial officer now owns 195,257 shares of the company’s stock, valued at approximately $779,075.43. The trade was a 6.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.84% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Wolfspeed

A number of large investors have recently modified their holdings of the business. Vanguard Group Inc. raised its position in Wolfspeed by 18.8% in the first quarter. Vanguard Group Inc. now owns 18,913,793 shares of the company’s stock worth $57,876,000 after acquiring an additional 2,989,503 shares in the last quarter. Primecap Management Co. CA increased its holdings in shares of Wolfspeed by 2.2% in the 1st quarter. Primecap Management Co. CA now owns 6,665,270 shares of the company’s stock valued at $20,396,000 after purchasing an additional 146,106 shares in the last quarter. Neuberger Berman Group LLC lifted its stake in shares of Wolfspeed by 72.7% in the first quarter. Neuberger Berman Group LLC now owns 4,329,584 shares of the company’s stock valued at $13,723,000 after purchasing an additional 1,822,958 shares during the period. Shah Capital Management purchased a new stake in Wolfspeed during the first quarter worth about $6,586,000. Finally, Frontier Capital Management Co. LLC grew its position in Wolfspeed by 94.2% during the fourth quarter. Frontier Capital Management Co. LLC now owns 2,050,778 shares of the company’s stock worth $13,658,000 after buying an additional 995,020 shares during the period.

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.