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

Wolfspeed, Inc. (NYSE:WOLF) gapped down prior to trading on Tuesday after Mizuho lowered their price target on the stock from $10.00 to $6.00. The stock had previously closed at $7.02, but opened at $6.75. Mizuho currently has an underperform rating on the stock. Wolfspeed shares last traded at $6.72, with a volume of 1,479,146 shares trading hands.

Other research analysts have also issued reports about the stock. Deutsche Bank Aktiengesellschaft dropped their price target on shares of Wolfspeed from $17.00 to $14.00 and set a “hold” rating on the stock in a research report on Thursday, August 22nd. Roth Mkm cut their target price on Wolfspeed from $25.00 to $20.00 and set a “buy” rating on the stock in a research note on Thursday, November 7th. Susquehanna decreased their price target on Wolfspeed from $16.00 to $11.00 and set a “neutral” rating for the company in a research report on Thursday, November 7th. Bank of America dropped their price target on Wolfspeed from $25.00 to $15.00 and set an “underperform” rating on the stock in a report on Friday, August 23rd. Finally, JPMorgan Chase & Co. decreased their target price on Wolfspeed from $20.00 to $17.00 and set a “neutral” rating for the company in a research report on Thursday, November 7th. Two analysts have rated the stock with a sell rating, ten have issued a hold rating and four have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $17.21.

Hedge Funds Weigh In On Wolfspeed

A number of institutional investors and hedge funds have recently modified their holdings of the company. Mather Group LLC. increased its holdings in Wolfspeed by 385.5% during the second quarter. Mather Group LLC. now owns 1,175 shares of the company’s stock valued at $27,000 after buying an additional 933 shares during the last quarter. Eastern Bank purchased a new position in shares of Wolfspeed during the 3rd quarter valued at about $27,000. GAMMA Investing LLC increased its stake in shares of Wolfspeed by 416.4% in the third quarter. GAMMA Investing LLC now owns 4,544 shares of the company’s stock worth $44,000 after purchasing an additional 3,664 shares in the last quarter. Signaturefd LLC increased its holdings in shares of Wolfspeed by 284.3% in the second quarter. Signaturefd LLC now owns 2,087 shares of the company’s stock worth $48,000 after purchasing an additional 1,544 shares during the last quarter. Finally, Advisors Asset Management Inc. boosted its position in shares of Wolfspeed by 64.8% during the first quarter. Advisors Asset Management Inc. now owns 1,757 shares of the company’s stock valued at $52,000 after buying an additional 691 shares during the period.

Wolfspeed Stock Performance

The company has a quick ratio of 2.54, a current ratio of 3.14 and a debt-to-equity ratio of 9.82. The stock has a market cap of $882.48 million, a PE ratio of -1.17 and a beta of 1.46. The firm has a 50 day moving average price of $10.80 and a 200 day moving average price of $17.22.

Wolfspeed (NYSE:WOLF) last posted its earnings results on Wednesday, August 21st. The company reported ($1.06) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($1.03) by ($0.03). The business had revenue of $200.70 million for the quarter, compared to analyst estimates of $201.11 million. Wolfspeed had a negative net margin of 93.31% and a negative return on equity of 49.86%. As a group, research analysts forecast that Wolfspeed, Inc. will post -4.13 earnings per share for the current 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.