Traders Buy Large Volume of Call Options on Wolfspeed (NYSE:WOLF)

Wolfspeed, Inc. (NYSE:WOLF) was the target of unusually large options trading on Tuesday. Stock investors acquired 15,752 call options on the company. This represents an increase of approximately 47% compared to the typical daily volume of 10,705 call options.

Wolfspeed Price Performance

Shares of WOLF stock traded down $0.11 during trading hours on Tuesday, hitting $25.44. 5,646,845 shares of the company’s stock were exchanged, compared to its average volume of 4,600,285. The company has a quick ratio of 4.58, a current ratio of 5.13 and a debt-to-equity ratio of 4.50. The firm has a market cap of $3.20 billion, a P/E ratio of -4.20 and a beta of 1.66. The firm has a 50 day moving average of $27.21 and a two-hundred day moving average of $32.93. Wolfspeed has a fifty-two week low of $23.54 and a fifty-two week high of $70.42.

Wolfspeed (NYSE:WOLF) last announced its earnings results on Wednesday, January 31st. The company reported ($0.69) earnings per share for the quarter, topping the consensus estimate of ($0.79) by $0.10. Wolfspeed had a negative return on equity of 19.35% and a negative net margin of 87.35%. The business had revenue of $208.40 million during the quarter, compared to the consensus estimate of $205.94 million. Sell-side analysts forecast that Wolfspeed will post -3.05 EPS for the current year.

Insider Transactions at Wolfspeed

In other Wolfspeed news, Director Darren R. Jackson purchased 10,000 shares of the company’s stock in a transaction dated Friday, February 2nd. The shares were acquired at an average price of $25.80 per share, for a total transaction of $258,000.00. Following the completion of the purchase, the director now owns 49,021 shares of the company’s stock, valued at $1,264,741.80. The acquisition was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 0.85% of the company’s stock.

Institutional Trading of Wolfspeed

Large investors have recently made changes to their positions in the company. TFO Wealth Partners LLC increased its position in shares of Wolfspeed by 57,400.0% during the fourth quarter. TFO Wealth Partners LLC now owns 575 shares of the company’s stock worth $25,000 after purchasing an additional 574 shares in the last quarter. Independence Bank of Kentucky grew its holdings in Wolfspeed by 97.0% in the 4th quarter. Independence Bank of Kentucky now owns 711 shares of the company’s stock valued at $31,000 after buying an additional 350 shares in the last quarter. First Manhattan CO. LLC. purchased a new stake in Wolfspeed in the 1st quarter valued at $39,000. Penserra Capital Management LLC purchased a new stake in Wolfspeed in the 4th quarter valued at $43,000. Finally, Rakuten Securities Inc. purchased a new stake in Wolfspeed in the 4th quarter valued at $48,000.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on WOLF shares. JPMorgan Chase & Co. dropped their price target on Wolfspeed from $43.00 to $35.00 and set a “neutral” rating on the stock in a research note on Thursday, April 11th. Wells Fargo & Company reaffirmed an “equal weight” rating and set a $30.00 target price (down previously from $55.00) on shares of Wolfspeed in a report on Wednesday, April 3rd. Mizuho initiated coverage on Wolfspeed in a report on Friday, April 5th. They set a “neutral” rating and a $30.00 target price for the company. Susquehanna reaffirmed a “neutral” rating and set a $35.00 target price on shares of Wolfspeed in a report on Monday, April 8th. Finally, Piper Sandler decreased their target price on Wolfspeed from $55.00 to $45.00 and set an “overweight” rating for the company in a report on Thursday, February 1st. One research analyst has rated the stock with a sell rating, eight have issued a hold rating and five have assigned a buy rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $43.63.

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.