Wolfspeed, Inc. (NYSE:WOLF) Receives Average Recommendation of "Reduce" from Analysts

Key Points

• Seven brokerages give Wolfspeed an average rating of "Reduce" (3 sell, 2 hold, 2 buy) with a mean 12‑month price target of $12.75.
• Wolfspeed badly missed the latest quarter, reporting EPS of -$6.11 vs. -$0.74 expected and revenue of $168.5M (down 6.6% YoY), and sell‑side analysts forecast about -4 EPS for the current year.
• Large institutions have been buying stakes (Renesas ~$293.4M, Capital Research ~$79.4M), yet the stock trades around $16.56 (down 12.6%), with a market cap of roughly $746.7M and a 52‑week range of $8.05–$36.60.

Wolfspeed, Inc. (NYSE:WOLF - Get Free Report) has received an average rating of "Reduce" from the seven brokerages that are covering the firm, MarketBeat reports. Three analysts have rated the stock with a sell recommendation, two have given a hold recommendation and two have assigned a buy recommendation to the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $12.75.

A number of research analysts have issued reports on WOLF shares. Zacks Research raised shares of Wolfspeed to a "hold" rating in a report on Monday, February 9th. Piper Sandler reissued an "overweight" rating and set a $20.00 price objective (up from $6.00) on shares of Wolfspeed in a research note on Thursday, February 5th. Weiss Ratings reissued a "sell (d-)" rating on shares of Wolfspeed in a research note on Monday, December 29th. Susquehanna reduced their target price on Wolfspeed from $30.00 to $20.00 and set a "neutral" rating on the stock in a report on Thursday, January 22nd. Finally, Wall Street Zen cut shares of Wolfspeed from a "hold" rating to a "sell" rating in a research report on Saturday, February 7th.

Hedge Funds Weigh In On Wolfspeed

Several hedge funds and other institutional investors have recently modified their holdings of WOLF. Renesas Electronics America Inc. bought a new position in shares of Wolfspeed in the fourth quarter valued at approximately $293,400,000. Capital Research Global Investors purchased a new position in shares of Wolfspeed in the third quarter worth approximately $79,426,000. Two Seas Capital LP acquired a new position in Wolfspeed during the second quarter valued at $962,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Wolfspeed by 94.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,868,741 shares of the company's stock worth $5,718,000 after buying an additional 906,968 shares in the last quarter. Finally, Goldman Sachs Group Inc. lifted its holdings in shares of Wolfspeed by 176.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company's stock valued at $4,224,000 after buying an additional 881,603 shares during the last quarter.

Wolfspeed Stock Down 12.6%

WOLF stock opened at $16.56 on Friday. The business has a 50 day moving average price of $18.41 and a 200 day moving average price of $17.30. Wolfspeed has a fifty-two week low of $8.05 and a fifty-two week high of $36.60. The stock has a market cap of $746.69 million and a price-to-earnings ratio of -2.35.

Wolfspeed (NYSE:WOLF - Get Free Report) last posted its earnings results on Wednesday, February 4th. The company reported ($6.11) earnings per share for the quarter, missing the consensus estimate of ($0.74) by ($5.37). The firm had revenue of $168.50 million during the quarter, compared to analyst estimates of $170.00 million. During the same period in the prior year, the firm earned ($0.95) earnings per share. The business's revenue was down 6.6% on a year-over-year basis. As a group, sell-side analysts anticipate that Wolfspeed will post -4 EPS for the current year.

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.

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