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

Shares of Wolfspeed, Inc. (NYSE:WOLF) gapped down before the market opened on Thursday after JPMorgan Chase & Co. lowered their price target on the stock from $20.00 to $17.00. The stock had previously closed at $13.71, but opened at $10.68. JPMorgan Chase & Co. currently has a neutral rating on the stock. Wolfspeed shares last traded at $10.38, with a volume of 4,968,062 shares.

A number of other equities analysts have also recently commented on the stock. Canaccord Genuity Group dropped their price target on shares of Wolfspeed from $45.00 to $25.00 and set a “buy” rating for the company in a research note on Thursday, August 29th. Morgan Stanley lifted their price target on shares of Wolfspeed from $10.00 to $15.00 and gave the stock an “equal weight” rating in a research note on Wednesday, October 16th. TD Cowen dropped their price target on shares of Wolfspeed from $25.00 to $15.00 and set a “hold” rating for the company in a research note on Thursday, August 22nd. Susquehanna lowered their price objective on shares of Wolfspeed from $16.00 to $11.00 and set a “neutral” rating for the company in a research report on Thursday. Finally, Deutsche Bank Aktiengesellschaft lowered their price objective on shares of Wolfspeed from $17.00 to $14.00 and set a “hold” rating for the company in a research report on Thursday, August 22nd. Two investment analysts have rated the stock with a sell rating, ten have given a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $17.86.

Institutional Investors Weigh In On Wolfspeed

Several large investors have recently modified their holdings of the business. Seven Eight Capital LP raised its stake in shares of Wolfspeed by 0.5% during the 1st quarter. Seven Eight Capital LP now owns 125,954 shares of the company’s stock worth $3,716,000 after acquiring an additional 675 shares in the last quarter. Advisors Asset Management Inc. raised its stake in shares of Wolfspeed by 64.8% during the 1st quarter. Advisors Asset Management Inc. now owns 1,757 shares of the company’s stock worth $52,000 after acquiring an additional 691 shares in the last quarter. Arizona State Retirement System raised its stake in shares of Wolfspeed by 2.3% during the 2nd quarter. Arizona State Retirement System now owns 35,217 shares of the company’s stock worth $802,000 after acquiring an additional 775 shares in the last quarter. Mather Group LLC. raised its stake in shares of Wolfspeed by 385.5% during the 2nd quarter. Mather Group LLC. now owns 1,175 shares of the company’s stock worth $27,000 after acquiring an additional 933 shares in the last quarter. Finally, Signaturefd LLC raised its stake in shares of Wolfspeed by 284.3% during the 2nd quarter. Signaturefd LLC now owns 2,087 shares of the company’s stock worth $48,000 after acquiring an additional 1,544 shares in the last quarter.

Wolfspeed Price Performance

The company has a debt-to-equity ratio of 6.99, a quick ratio of 3.85 and a current ratio of 4.51. The firm has a market cap of $1.11 billion, a price-to-earnings ratio of -1.31 and a beta of 1.46. The stock’s 50 day simple moving average is $10.96 and its 200-day simple moving average is $18.23.

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