Wolfspeed (NYSE:WOLF) Shares Gap Up – Still a Buy?

Wolfspeed, Inc. (NYSE:WOLF)’s stock price gapped up prior to trading on Thursday . The stock had previously closed at $45.87, but opened at $49.44. Wolfspeed shares last traded at $44.2080, with a volume of 775,477 shares trading hands.

Analyst Ratings Changes

Several analysts have weighed in on WOLF shares. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Wolfspeed in a research note on Wednesday. Wall Street Zen raised Wolfspeed from a “strong sell” rating to a “sell” rating in a report on Saturday, May 9th. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $20.00.

Wolfspeed Trading Down 4.4%

The business’s fifty day simple moving average is $49.02 and its 200 day simple moving average is $29.17. The stock has a market cap of $2.37 billion and a P/E ratio of -4.33.

Wolfspeed (NYSE:WOLF) last announced its earnings results on Tuesday, May 5th. The company reported ($3.26) earnings per share for the quarter, topping analysts’ consensus estimates of ($3.78) by $0.52. The company had revenue of $150.20 million during the quarter, compared to the consensus estimate of $150.00 million. During the same period in the prior year, the firm posted ($0.72) earnings per share. The company’s revenue was down 19.0% on a year-over-year basis.

Institutional Trading of Wolfspeed

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Goldman Sachs Group Inc. raised its holdings in Wolfspeed by 176.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company’s stock worth $4,224,000 after purchasing an additional 881,603 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in shares of Wolfspeed by 94.3% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,868,741 shares of the company’s stock valued at $5,718,000 after purchasing an additional 906,968 shares during the last quarter. WINTON GROUP Ltd acquired a new stake in shares of Wolfspeed during the 2nd quarter worth approximately $47,000. Ilex Capital Partners UK LLP grew its position in shares of Wolfspeed by 499.1% during the 2nd quarter. Ilex Capital Partners UK LLP now owns 665,697 shares of the company’s stock worth $265,000 after buying an additional 554,587 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new stake in shares of Wolfspeed during the second quarter worth approximately $34,000.

About Wolfspeed

Wolfspeed, Inc (NYSE: WOLF) is a leading developer and manufacturer of silicon carbide (SiC) and gallium nitride (GaN) semiconductor materials and devices. The company’s product portfolio addresses high-growth markets such as electric vehicles, renewable energy, fast-charging infrastructure, aerospace and defense, and telecommunications. By leveraging proprietary materials and device designs, Wolfspeed delivers solutions that offer improved energy efficiency, higher power density and greater thermal performance compared to conventional silicon-based semiconductors.

Founded as part of Cree, Inc and spun off to form an independent public company in October 2021, Wolfspeed traces its roots to the mid-1980s when it pioneered the commercial use of wide-bandgap semiconductor technology.