Wolfspeed (NYSE:WOLF) Stock Price Up 2.3% - Time to Buy?

Wolfspeed (NYSE:WOLF - Get Free Report)'s share price shot up 2.3% during trading on Wednesday . The stock traded as high as $1.63 and last traded at $1.59. 16,209,329 shares traded hands during trading, a decline of 41% from the average session volume of 27,693,690 shares. The stock had previously closed at $1.55.

Analyst Ratings Changes

Several brokerages have commented on WOLF. Citigroup reiterated a "sell" rating and set a $3.00 target price (down previously from $7.00) on shares of Wolfspeed in a research report on Friday, May 9th. Piper Sandler decreased their price target on shares of Wolfspeed from $10.00 to $6.00 and set an "overweight" rating for the company 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 decreased their price target on shares of Wolfspeed from $15.00 to $8.00 and set a "buy" rating for the company in a report on Wednesday, April 2nd. Five equities research analysts have rated the stock with a sell rating, five have assigned a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $11.15.

Wolfspeed Stock Down 7.0%

The firm's 50-day simple moving average is $1.70 and its 200 day simple moving average is $3.85. The company has a debt-to-equity ratio of 30.65, a quick ratio of 3.90 and a current ratio of 4.64. The stock has a market capitalization of $218.66 million, a P/E ratio of -0.17 and a beta of 1.09.

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

Insider Buying and Selling

In other news, CFO Neill Reynolds sold 13,909 shares of the company's stock in a transaction dated Monday, April 28th. The shares were sold at an average price of $3.99, for a total value of $55,496.91. Following the sale, the chief financial officer directly owned 195,257 shares of the company's stock, valued at approximately $779,075.43. This 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. 0.84% of the stock is owned by company insiders.

Institutional Investors Weigh In On Wolfspeed

A number of institutional investors and hedge funds have recently modified their holdings of the company. Vanguard Group Inc. raised its holdings in shares of Wolfspeed by 18.8% in the 1st quarter. Vanguard Group Inc. now owns 18,913,793 shares of the company's stock valued at $57,876,000 after purchasing an additional 2,989,503 shares during the period. Primecap Management Co. CA increased its holdings in shares of Wolfspeed by 2.2% in the first quarter. Primecap Management Co. CA now owns 6,665,270 shares of the company's stock valued at $20,396,000 after purchasing an additional 146,106 shares during the last quarter. Neuberger Berman Group LLC increased its holdings in shares of Wolfspeed by 72.7% in the first quarter. Neuberger Berman Group LLC now owns 4,329,584 shares of the company's stock valued at $13,723,000 after purchasing an additional 1,822,958 shares during the last quarter. Shah Capital Management acquired a new position in shares of Wolfspeed in the first quarter valued at $6,586,000. Finally, Frontier Capital Management Co. LLC increased its holdings in shares of Wolfspeed by 94.2% in the fourth quarter. Frontier Capital Management Co. LLC now owns 2,050,778 shares of the company's stock valued at $13,658,000 after purchasing an additional 995,020 shares during the last quarter.

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.