Wolfspeed (NYSE:WOLF) Shares Down 7.9% - Here's What Happened

Wolfspeed (NYSE:WOLF - Get Free Report) shares fell 7.9% on Friday . The stock traded as low as $1.46 and last traded at $1.47. 32,708,183 shares were traded during mid-day trading, an increase of 21% from the average session volume of 27,001,721 shares. The stock had previously closed at $1.59.

Analyst Ratings Changes

Several research firms have recently weighed in on WOLF. Citigroup reiterated a "sell" rating and issued 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 reduced their price objective on shares of Wolfspeed from $15.00 to $8.00 and set a "buy" rating for the company in a research note on Wednesday, April 2nd. JPMorgan Chase & Co. reaffirmed an "underweight" rating on shares of Wolfspeed in a research note on Friday, May 9th. Finally, Piper Sandler reduced their price objective on shares of Wolfspeed from $10.00 to $6.00 and set an "overweight" rating for the company in a research note on Friday, May 9th. Five research analysts have rated the stock with a sell rating, five have assigned a hold rating and four have given a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $11.15.

Wolfspeed Trading Down 15.7%

The firm has a market capitalization of $208.54 million, a P/E ratio of -0.16 and a beta of 1.09. The company has a quick ratio of 3.90, a current ratio of 4.64 and a debt-to-equity ratio of 30.65. The firm's 50-day simple moving average is $1.85 and its 200-day simple moving average is $3.97.

Wolfspeed (NYSE:WOLF - Get Free Report) last announced its quarterly earnings data on Thursday, May 8th. The company reported ($0.72) earnings per share for the quarter, topping analysts' consensus estimates of ($0.82) by $0.10. The firm had revenue of $185.40 million during the quarter, compared to analyst estimates of $190.03 million. Wolfspeed had a negative net margin of 146.43% and a negative return on equity of 103.97%. The business's quarterly revenue was down 7.6% on a year-over-year basis. During the same period in the previous year, the business posted ($0.62) EPS. Analysts anticipate that Wolfspeed will post -4 EPS for the current year.

Insider Buying and Selling at Wolfspeed

In other news, CFO Neill Reynolds sold 13,909 shares of the business's stock in a transaction that occurred on Monday, April 28th. The shares were sold at an average price of $3.99, for a total value of $55,496.91. Following the completion of the sale, the chief financial officer directly owned 195,257 shares in the company, valued at approximately $779,075.43. The trade was a 6.65% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 0.84% of the company's stock.

Institutional Investors Weigh In On Wolfspeed

Hedge funds have recently made changes to their positions in the business. Jones Financial Companies Lllp raised its holdings in Wolfspeed by 1,240.6% during 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 during the last quarter. N.E.W. Advisory Services LLC bought a new stake in Wolfspeed during the 1st quarter valued at $28,000. Steward Partners Investment Advisory LLC raised its holdings in Wolfspeed by 192.0% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 4,429 shares of the company's stock valued at $29,000 after buying an additional 2,912 shares during the last quarter. Beacon Capital Management LLC bought a new stake in Wolfspeed during the 1st quarter valued at $31,000. Finally, Wealthfront Advisers LLC purchased a new position in Wolfspeed during the 1st quarter valued at $32,000.

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.