Traders Purchase Large Volume of Put Options on Wolfspeed (NYSE:WOLF)

Wolfspeed, Inc. (NYSE:WOLF) was the target of some unusual options trading activity on Tuesday. Stock investors acquired 187,154 put options on the stock. This is an increase of approximately 709% compared to the average volume of 23,122 put options.

Wolfspeed Trading Up 18.5%

WOLF traded up $3.71 on Thursday, hitting $23.77. 5,706,193 shares of the company’s stock traded hands, compared to its average volume of 4,457,496. The company’s 50 day simple moving average is $45.47 and its 200-day simple moving average is $31.64. Wolfspeed has a one year low of $8.05 and a one year high of $80.82. The firm has a market cap of $1.24 billion and a price-to-earnings ratio of -2.25.

Wolfspeed (NYSE:WOLF) last posted its quarterly earnings results on Tuesday, May 5th. The company reported ($3.26) earnings per share for the quarter, topping the consensus estimate of ($3.78) by $0.52. The business had revenue of $150.20 million during the quarter, compared to the consensus estimate of $150.00 million. During the same quarter in the previous year, the company earned ($0.72) earnings per share. The company’s revenue for the quarter was down 19.0% compared to the same quarter last year.

Hedge Funds Weigh In On Wolfspeed

Several institutional investors have recently bought and sold shares of WOLF. Renesas Electronics America Inc. purchased a new stake in Wolfspeed in the 4th quarter worth $293,400,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in shares of Wolfspeed by 94.3% during the first 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 in the last quarter. Goldman Sachs Group Inc. grew its position in shares of Wolfspeed by 176.7% during the first quarter. Goldman Sachs Group Inc. now owns 1,380,499 shares of the company’s stock valued at $4,224,000 after purchasing an additional 881,603 shares in the last quarter. UBS Group AG increased its holdings in shares of Wolfspeed by 3,413.9% in the fourth quarter. UBS Group AG now owns 1,269,548 shares of the company’s stock worth $22,103,000 after purchasing an additional 1,233,419 shares during the last quarter. Finally, Calamos Advisors LLC bought a new stake in shares of Wolfspeed in the fourth quarter worth about $12,451,000.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on WOLF. Wall Street Zen raised shares of Wolfspeed from a “strong sell” rating to a “sell” rating in a research note on Saturday, July 18th. Weiss Ratings restated a “sell (d-)” rating on shares of Wolfspeed in a research note on Wednesday, June 24th. Finally, Susquehanna dropped their target price on shares of Wolfspeed from $40.00 to $30.00 and set a “neutral” rating for the company in a report on Tuesday, July 21st. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $25.00.

Wolfspeed Company Profile

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.