Wolfspeed (NYSE:WOLF) Trading 3.8% Higher - Should You Buy?

Shares of Wolfspeed, Inc. (NYSE:WOLF - Get Free Report) rose 3.8% during mid-day trading on Tuesday . The stock traded as high as $1.61 and last traded at $1.51. Approximately 7,378,700 shares were traded during trading, a decline of 59% from the average daily volume of 17,870,686 shares. The stock had previously closed at $1.45.

Wall Street Analysts Forecast Growth

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

Wolfspeed Trading Down 5.3%

The company's 50-day moving average price is $2.60 and its 200-day moving average price is $5.16. The firm has a market cap of $222.55 million, a price-to-earnings ratio of -0.19 and a beta of 1.29. The company has a quick ratio of 2.47, a current ratio of 3.15 and a debt-to-equity ratio of 17.26.

Wolfspeed (NYSE:WOLF - Get Free Report) last announced its quarterly earnings data on Thursday, May 8th. The company reported ($0.72) EPS for the quarter, topping analysts' consensus estimates of ($0.82) by $0.10. The firm had revenue of $185.40 million for the quarter, compared to the consensus estimate of $190.03 million. Wolfspeed had a negative return on equity of 70.84% and a negative net margin of 125.96%. The firm's revenue was down 7.6% compared to the same quarter last year. During the same quarter last year, the business posted ($0.62) earnings per share. Equities analysts expect that Wolfspeed, Inc. will post -4 EPS for the current fiscal year.

Insider Buying and Selling 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 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 position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.84% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Wolfspeed

Large investors have recently modified their holdings of the company. Jones Financial Companies Lllp increased its position in shares of Wolfspeed by 1,240.6% in the 4th 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 last quarter. Steward Partners Investment Advisory LLC boosted its stake in 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 purchasing an additional 2,912 shares during the period. KBC Group NV boosted its stake in Wolfspeed by 76.5% during the 4th quarter. KBC Group NV now owns 6,064 shares of the company's stock worth $40,000 after purchasing an additional 2,629 shares during the period. Allworth Financial LP lifted its stake in shares of Wolfspeed by 38.1% in the 4th quarter. Allworth Financial LP now owns 7,060 shares of the company's stock worth $44,000 after acquiring an additional 1,949 shares during the period. Finally, Sterling Capital Management LLC lifted its stake in shares of Wolfspeed by 51.4% in the 4th 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.

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.