Wolfspeed (NYSE:WOLF) Shares Down 19.2% - Time to Sell?

Wolfspeed (NYSE:WOLF - Get Free Report) dropped 19.2% during mid-day trading on Wednesday . The stock traded as low as $1.94 and last traded at $2.04. Approximately 60,410,498 shares traded hands during trading, an increase of 129% from the average daily volume of 26,370,696 shares. The stock had previously closed at $2.52.

Analyst Upgrades and Downgrades

Several analysts have recently commented on WOLF shares. Citigroup reissued a "sell" rating and issued a $3.00 price target (down from $7.00) on shares of Wolfspeed in a 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 decreased their target price 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 cut 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. Five investment analysts have rated the stock with a sell rating, five have given a hold rating and four have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $11.15.

Wolfspeed Price Performance

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 $208.54 million, a PE ratio of -0.16 and a beta of 1.09. The company's fifty day simple moving average is $1.85 and its two-hundred day simple moving average is $3.97.

Wolfspeed (NYSE:WOLF - Get Free Report) last released its quarterly earnings results on Thursday, May 8th. The company reported ($0.72) EPS for the quarter, beating 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 business had revenue of $185.40 million for the quarter, compared to analyst estimates of $190.03 million. During the same period in the prior year, the business earned ($0.62) earnings per share. The company's quarterly revenue was down 7.6% on a year-over-year basis. As a group, sell-side analysts predict that Wolfspeed will post -4 EPS for the current year.

Insider Activity 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 transaction, the chief financial officer owned 195,257 shares of the company's stock, valued at $779,075.43. The trade was a 6.65% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 0.84% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Jones Financial Companies Lllp lifted its position in Wolfspeed by 1,240.6% during the fourth 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 acquired a new position in shares of Wolfspeed during the 1st quarter valued at about $28,000. Steward Partners Investment Advisory LLC lifted its holdings 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 acquiring an additional 2,912 shares during the period. Beacon Capital Management LLC acquired a new stake in shares of Wolfspeed in the first quarter worth approximately $31,000. Finally, Wealthfront Advisers LLC purchased a new stake in Wolfspeed in the first quarter valued at 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.