Wolfspeed Target of Unusually High Options Trading (NYSE:WOLF)

Key Points

• Wolfspeed, Inc. experienced a **426% increase** in put options trading, with investors buying **621,283 put options**, indicating heightened bearish sentiment.
• The company's stock fell **11.5%** on Friday, closing at **$31.34**, amidst a trading volume significantly lower than its average.
• Analyst ratings for Wolfspeed show a mixed outlook, with a consensus rating of **"Reduce"** and a price target of **$9.80**, despite some analysts assigning a **Buy** rating.

Wolfspeed, Inc. (NYSE:WOLF - Get Free Report) was the recipient of some unusual options trading activity on Friday. Investors bought 621,283 put options on the stock. This is an increase of 426% compared to the average daily volume of 118,076 put options.

Wolfspeed Trading Down 11.5%

Shares of NYSE:WOLF traded down $4.08 during trading on Friday, reaching $31.34. The stock had a trading volume of 4,531,968 shares, compared to its average volume of 11,576,493. Wolfspeed has a one year low of $8.05 and a one year high of $36.60. The company has a market capitalization of $809.80 million and a P/E ratio of -2.78. The firm's 50-day simple moving average is $6.21 and its 200 day simple moving average is $3.58.

Institutional Investors Weigh In On Wolfspeed

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. lifted its position in Wolfspeed by 18.8% in the first quarter. Vanguard Group Inc. now owns 18,913,793 shares of the company's stock valued at $57,876,000 after buying an additional 2,989,503 shares during the last quarter. Two Seas Capital LP acquired a new position in Wolfspeed in the second quarter valued at about $962,000. Shah Capital Management acquired a new position in Wolfspeed in the first quarter valued at about $6,586,000. Neuberger Berman Group LLC lifted its position in 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 buying an additional 1,822,958 shares during the last quarter. Finally, Jump Financial LLC purchased a new stake in Wolfspeed during the first quarter worth about $4,402,000.

Analyst Ratings Changes

Separately, Weiss Ratings reiterated a "sell (e+)" rating on shares of Wolfspeed in a research note on Saturday, September 27th. Four equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Reduce" and a consensus price target of $9.80.

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.

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