Wolfspeed (NYSE:WOLF) Stock Price Down 11.6% - Time to Sell?

Wolfspeed (NYSE:WOLF - Get Free Report)'s share price traded down 11.6% on Thursday . The stock traded as low as $1.76 and last traded at $1.79. 35,136,721 shares changed hands during mid-day trading, an increase of 32% from the average session volume of 26,691,736 shares. The stock had previously closed at $2.02.

Wall Street Analyst Weigh In

A number of research analysts have commented on the company. Piper Sandler decreased their price target on Wolfspeed from $10.00 to $6.00 and set an "overweight" rating on the stock in a research note on Friday, May 9th. Citigroup reissued a "sell" rating and set a $3.00 target price (down previously from $7.00) on shares of Wolfspeed in a research note on Friday, May 9th. The Goldman Sachs Group dropped their target price on Wolfspeed from $15.00 to $8.00 and set a "buy" rating for the company in a research report on Wednesday, April 2nd. Finally, JPMorgan Chase & Co. reissued an "underweight" rating on shares of Wolfspeed in a research report on Friday, May 9th. Five equities research analysts have rated the stock with a sell rating, five have given a hold rating and four have given a buy rating to the company's stock. According to data from MarketBeat.com, Wolfspeed presently has a consensus rating of "Hold" and a consensus price target of $11.15.

Wolfspeed Stock Performance

The stock's 50-day simple moving average is $1.85 and its 200 day simple moving average is $3.92. The company has a market capitalization of $208.54 million, a PE ratio of -0.16 and a beta of 1.09. The company has a debt-to-equity ratio of 30.65, a quick ratio of 3.90 and a current ratio of 4.64.

Wolfspeed (NYSE:WOLF - Get Free Report) last posted its earnings results on Thursday, May 8th. The company reported ($0.72) EPS for the quarter, beating the consensus estimate of ($0.82) by $0.10. The firm had revenue of $185.40 million for the quarter, compared to analyst estimates of $190.03 million. Wolfspeed had a negative return on equity of 103.97% and a negative net margin of 146.43%. Wolfspeed's revenue for the quarter was down 7.6% compared to the same quarter last year. During the same quarter in the prior year, the company posted ($0.62) earnings per share. As a group, research analysts expect that Wolfspeed will post -4 earnings per share for the current fiscal year.

Insider Activity at Wolfspeed

In related news, CFO Neill Reynolds sold 13,909 shares of the business's stock in a transaction that occurred on Monday, April 28th. The stock was sold at an average price of $3.99, for a total transaction of $55,496.91. Following the completion of the sale, the chief financial officer owned 195,257 shares in the company, valued at $779,075.43. The trade was a 6.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.84% of the company's stock.

Institutional Trading of Wolfspeed

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Jones Financial Companies Lllp boosted its holdings in shares of Wolfspeed by 1,240.6% in the 4th quarter. Jones Financial Companies Lllp now owns 3,834 shares of the company's stock valued at $26,000 after buying an additional 3,548 shares in the last quarter. Steward Partners Investment Advisory LLC lifted its position in Wolfspeed by 192.0% in the fourth quarter. Steward Partners Investment Advisory LLC now owns 4,429 shares of the company's stock valued at $29,000 after acquiring an additional 2,912 shares during the last quarter. Sterling Capital Management LLC boosted its stake in Wolfspeed by 51.4% in the fourth quarter. Sterling Capital Management LLC now owns 7,463 shares of the company's stock valued at $50,000 after acquiring an additional 2,533 shares in the last quarter. N.E.W. Advisory Services LLC purchased a new position in shares of Wolfspeed during the first quarter worth about $28,000. Finally, GABELLI & Co INVESTMENT ADVISERS INC. acquired a new stake in shares of Wolfspeed during the fourth quarter worth about $67,000.

About Wolfspeed

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.