Wolfspeed (NYSE:WOLF) Shares Down 11.4% - Time to Sell?

Wolfspeed (NYSE:WOLF - Get Free Report)'s share price was down 11.4% during mid-day trading on Thursday . The stock traded as low as $0.49 and last traded at $0.51. Approximately 17,885,260 shares changed hands during trading, a decline of 6% from the average daily volume of 18,999,105 shares. The stock had previously closed at $0.58.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on WOLF shares. Citigroup reiterated a "sell" rating and set a $3.00 price objective (down previously from $7.00) on shares of Wolfspeed in a research report on Friday, May 9th. JPMorgan Chase & Co. reiterated an "underweight" rating on shares of Wolfspeed in a research report 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 on the stock in a research report on Wednesday, April 2nd. Finally, Piper Sandler reduced their price target on shares of Wolfspeed from $10.00 to $6.00 and set an "overweight" rating on the stock in a research report on Friday, May 9th. Five investment analysts have rated the stock with a sell rating, six have assigned a hold rating and four have given a buy rating to the company's stock. According to MarketBeat.com, Wolfspeed presently has an average rating of "Hold" and a consensus price target of $11.15.

Wolfspeed Stock Down 17.8%

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 firm's 50 day simple moving average is $2.23 and its 200 day simple moving average is $4.36.

Wolfspeed (NYSE:WOLF - Get Free Report) last posted its quarterly earnings data 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 analyst estimates of $190.03 million. Wolfspeed had a negative net margin of 146.43% and a negative return on equity of 103.97%. Wolfspeed's quarterly revenue was down 7.6% compared to the same quarter last year. During the same period in the previous year, the firm earned ($0.62) earnings per share. Analysts predict that Wolfspeed will post -4 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CFO Neill Reynolds sold 13,909 shares of the business's stock in a transaction on Monday, April 28th. The shares were 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 now directly owns 195,257 shares of the company's stock, valued at approximately $779,075.43. The trade was a 6.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.84% of the stock is owned by insiders.

Institutional Trading of Wolfspeed

Large investors have recently made changes to their positions in the stock. Jones Financial Companies Lllp boosted its stake in shares of Wolfspeed by 1,240.6% during the fourth quarter. Jones Financial Companies Lllp now owns 3,834 shares of the company's stock valued at $26,000 after purchasing an additional 3,548 shares during the period. Steward Partners Investment Advisory LLC lifted its stake in Wolfspeed by 192.0% in the fourth quarter. Steward Partners Investment Advisory LLC now owns 4,429 shares of the company's stock worth $29,000 after acquiring an additional 2,912 shares during the period. Sterling Capital Management LLC lifted 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 worth $50,000 after acquiring an additional 2,533 shares during the period. N.E.W. Advisory Services LLC purchased a new stake in Wolfspeed in the first quarter worth about $28,000. Finally, GABELLI & Co INVESTMENT ADVISERS INC. purchased a new stake in Wolfspeed in the fourth quarter worth about $67,000.

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.