TD Cowen Issues Pessimistic Forecast for Wolfspeed (NYSE:WOLF) Stock Price

Key Points

• TD Cowen cut its Wolfspeed price target to $23 from $25 and maintained a Hold rating, implying about 14.5% upside from the prior close.
• Analyst sentiment is broadly neutral: MarketBeat’s consensus is Hold, with an average target of $22.67.
• Wolfspeed’s latest quarter missed earnings estimates, reporting a $2.03 loss per share versus expectations of a $1.99 loss; revenue was $155 million, down 21.2% year over year.

Wolfspeed (NYSE:WOLF - Get Free Report) had its target price cut by equities research analysts at TD Cowen from $25.00 to $23.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage currently has a "hold" rating on the stock. TD Cowen's price target indicates a potential upside of 14.49% from the stock's previous close.

Several other research analysts also recently commented on WOLF. Susquehanna reduced their target price on Wolfspeed from $30.00 to $25.00 and set a "neutral" rating on the stock in a report on Wednesday, October 21st. Wall Street Zen lowered shares of Wolfspeed from a "sell" rating to a "strong sell" rating in a research note on Saturday, September 19th. Weiss Ratings downgraded Wolfspeed from a "sell (d+)" rating to a "sell (d)" rating in a report on Friday, October 23rd. Finally, Zacks Research upgraded shares of Wolfspeed to a "hold" rating in a report on Friday, September 25th. One research analyst has rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and an average target price of $22.67.

Wolfspeed Stock Performance

Shares of NYSE:WOLF traded down $2.70 during midday trading on Thursday, reaching $20.09. 5,819,643 shares of the company's stock were exchanged, compared to its average volume of 4,262,647. The firm has a market capitalization of $1.06 billion, a PE ratio of -1.28 and a beta of 8.67. Wolfspeed has a 12 month low of $13.48 and a 12 month high of $80.82. The company's 50 day simple moving average is $26.48 and its two-hundred day simple moving average is $30.17.

Wolfspeed (NYSE:WOLF - Get Free Report) last released its quarterly earnings data on Wednesday, November 4th. The company reported ($2.03) earnings per share for the quarter, missing the consensus estimate of ($1.99) by ($0.04). The firm had revenue of $155.00 million during the quarter, compared to the consensus estimate of $149.86 million. The company's revenue for the quarter was down 21.2% on a year-over-year basis. During the same quarter in the prior year, the company posted ($0.55) EPS. On average, research analysts anticipate that Wolfspeed will post -8.27 earnings per share for the current year.

Hedge Funds Weigh In On Wolfspeed

Hedge funds have recently modified their holdings of the stock. Renesas Electronics America Inc. acquired a new position in shares of Wolfspeed during the 2nd quarter worth approximately $813,126,949. Brooklands Fund Management Ltd acquired a new stake in shares of Wolfspeed during the third quarter worth $25,376,000. Penn Capital Management Company LLC raised its stake in Wolfspeed by 12.4% in the 3rd quarter. Penn Capital Management Company LLC now owns 577,475 shares of the company's stock worth $16,270,000 after purchasing an additional 63,500 shares in the last quarter. Panview Capital Ltd bought a new stake in shares of Wolfspeed in the second quarter valued at approximately $6,952,000. Finally, Readystate Asset Management LP bought a new stake in shares of Wolfspeed during the 2nd quarter valued at $6,841,000.

About Wolfspeed

Wolfspeed, Inc is a semiconductor company focused on silicon carbide (SiC) technologies. Its products are designed to support the conversion and management of electrical power in applications that require high efficiency, high voltage, and operation at elevated temperatures.

The company develops and manufactures SiC power devices, including metal-oxide-semiconductor field-effect transistors, diodes, power modules, and related components. It also produces SiC materials such as wafers and epitaxial substrates used by semiconductor manufacturers.

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