Wolfspeed (NYSE:WOLF) Short Interest Up 134,445.5% in July

Key Points

• Wolfspeed saw a dramatic increase in short interest of 134,445.5% in July, with a total of 53.28 million shares shorted, indicating strong bearish sentiment towards the stock.
• Institutional investors have been active, with Vanguard Group Inc. raising its holdings by 18.8%, and Neuberger Berman Group LLC increasing its stake by 72.7%.
• Wolfspeed's most recent earnings report showed a negative EPS of ($0.72) and a decline in quarterly revenue compared to the prior year, highlighting ongoing financial challenges.

Wolfspeed (NYSE:WOLF - Get Free Report) was the target of a significant increase in short interest in the month of July. As of July 15th, there was short interest totaling 53,280,000 shares, anincreaseof134,445.5% from the June 30th total of 39,600 shares. Currently,34.6% of the company's shares are short sold. Based on an average daily trading volume, of 65,610,000 shares, the short-interest ratio is currently 0.8 days. Based on an average daily trading volume, of 65,610,000 shares, the short-interest ratio is currently 0.8 days. Currently,34.6% of the company's shares are short sold.

Institutional Investors Weigh In On Wolfspeed

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Sterling Capital Management LLC lifted its holdings in Wolfspeed by 51.4% during the fourth quarter. Sterling Capital Management LLC now owns 7,463 shares of the company's stock worth $50,000 after acquiring an additional 2,533 shares during the period. Ground Swell Capital LLC increased its position in shares of Wolfspeed by 25.6% during the 4th quarter. Ground Swell Capital LLC now owns 12,827 shares of the company's stock valued at $85,000 after purchasing an additional 2,611 shares during the last quarter. Victory Capital Management Inc. raised its stake in shares of Wolfspeed by 12.4% during the 1st quarter. Victory Capital Management Inc. now owns 26,562 shares of the company's stock worth $81,000 after purchasing an additional 2,922 shares during the period. Mutual of America Capital Management LLC boosted its holdings in shares of Wolfspeed by 17.1% in the 1st quarter. Mutual of America Capital Management LLC now owns 22,653 shares of the company's stock worth $69,000 after buying an additional 3,308 shares during the last quarter. Finally, SBI Securities Co. Ltd. grew its position in Wolfspeed by 39.7% during the first quarter. SBI Securities Co. Ltd. now owns 15,592 shares of the company's stock valued at $48,000 after buying an additional 4,429 shares during the period.

Wolfspeed Stock Down 1.6%

Shares of NYSE:WOLF traded down $0.03 during midday trading on Monday, hitting $1.50. 2,315,169 shares of the company's stock were exchanged, compared to its average volume of 41,223,426. The company has a debt-to-equity ratio of 30.65, a current ratio of 4.64 and a quick ratio of 3.90. The stock has a 50 day moving average price of $1.33 and a 200-day moving average price of $3.41. The company has a market cap of $232.67 million, a PE ratio of -0.18 and a beta of 1.23. Wolfspeed has a 12 month low of $0.39 and a 12 month high of $17.45.

Wolfspeed (NYSE:WOLF - Get Free Report) last posted its 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. The company had revenue of $185.40 million during the quarter, compared to the consensus estimate of $190.03 million. Wolfspeed had a negative net margin of 146.43% and a negative return on equity of 103.97%. The firm's revenue for the quarter was down 7.6% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.62) earnings per share. On average, sell-side analysts anticipate that Wolfspeed will post -4 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the stock. JPMorgan Chase & Co. reiterated an "underweight" rating on shares of Wolfspeed in a report on Friday, May 9th. Piper Sandler dropped their price objective on shares of Wolfspeed from $10.00 to $6.00 and set an "overweight" rating on the stock in a report on Friday, May 9th. Finally, Citigroup reiterated 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. Five equities research analysts have rated the stock with a sell rating, five have given a hold rating and four have issued a buy rating to the company. Based on data from MarketBeat.com, Wolfspeed currently has an average rating of "Hold" and an average price target of $11.15.

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.