Wolfspeed (NYSE:WOLF) Shares Up 17.5% - Here's Why

Wolfspeed (NYSE:WOLF - Get Free Report) was up 17.5% during trading on Tuesday . The company traded as high as $3.33 and last traded at $2.72. Approximately 196,358,280 shares were traded during trading, an increase of 661% from the average daily volume of 25,793,679 shares. The stock had previously closed at $2.31.

Analysts Set New Price Targets

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

Wolfspeed Price Performance

The stock has a market cap of $201.54 million, a price-to-earnings ratio of -0.15 and a beta of 1.09. The stock has a fifty day simple moving average of $1.92 and a 200-day simple moving average of $4.02. The company has a current ratio of 4.64, a quick ratio of 3.90 and a debt-to-equity ratio of 30.65.

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 the consensus estimate of ($0.82) by $0.10. Wolfspeed had a negative return on equity of 103.97% and a negative net margin of 146.43%. The company had revenue of $185.40 million for the quarter, compared to analyst estimates of $190.03 million. During the same quarter last year, the firm earned ($0.62) EPS. Wolfspeed's revenue for the quarter was down 7.6% compared to the same quarter last year. As a group, equities research analysts expect 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 Wolfspeed 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 sale, the chief financial officer owned 195,257 shares of the company's stock, valued at approximately $779,075.43. This trade represents a 6.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.84% of the company's stock.

Hedge Funds Weigh In On Wolfspeed

Hedge funds and other institutional investors have recently modified their holdings of the stock. Jones Financial Companies Lllp lifted its position in shares of Wolfspeed by 1,240.6% during the 4th quarter. Jones Financial Companies Lllp now owns 3,834 shares of the company's stock worth $26,000 after buying an additional 3,548 shares during the period. N.E.W. Advisory Services LLC bought a new position in shares of Wolfspeed during the 1st quarter worth approximately $28,000. Steward Partners Investment Advisory LLC lifted its position in shares of Wolfspeed by 192.0% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 4,429 shares of the company's stock worth $29,000 after buying an additional 2,912 shares during the period. Beacon Capital Management LLC bought a new position in shares of Wolfspeed during the 1st quarter worth approximately $31,000. Finally, Wealthfront Advisers LLC bought a new position in shares of Wolfspeed during the 1st quarter worth approximately $32,000.

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.