Wolfspeed (NYSE:WOLF) Trading Down 6.4% – Should You Sell?

Shares of Wolfspeed, Inc. (NYSE:WOLF) fell 6.4% on Wednesday . The stock traded as low as $9.80 and last traded at $9.83. 2,555,993 shares traded hands during mid-day trading, a decline of 65% from the average session volume of 7,247,702 shares. The stock had previously closed at $10.50.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on WOLF. Canaccord Genuity Group reduced their price target on shares of Wolfspeed from $25.00 to $18.00 and set a “buy” rating for the company in a research note on Thursday, November 7th. Piper Sandler reiterated an “overweight” rating and set a $18.00 price objective (down previously from $20.00) on shares of Wolfspeed in a research report on Thursday, November 7th. Roth Mkm dropped their target price on Wolfspeed from $25.00 to $20.00 and set a “buy” rating on the stock in a research report on Thursday, November 7th. JPMorgan Chase & Co. reduced their price target on shares of Wolfspeed from $20.00 to $17.00 and set a “neutral” rating for the company in a research report on Thursday, November 7th. Finally, Bank of America dropped their price objective on shares of Wolfspeed from $25.00 to $15.00 and set an “underperform” rating on the stock in a report on Friday, August 23rd. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and four have issued a buy rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $17.21.

Wolfspeed Stock Performance

The firm has a market capitalization of $1.19 billion, a PE ratio of -1.56 and a beta of 1.38. The company has a debt-to-equity ratio of 9.82, a quick ratio of 2.54 and a current ratio of 3.14. The business’s fifty day simple moving average is $10.94 and its 200-day simple moving average is $15.88.

Insider Activity at Wolfspeed

In related news, Chairman Thomas H. Werner purchased 37,500 shares of the business’s stock in a transaction dated Wednesday, November 20th. The shares were purchased at an average cost of $6.53 per share, for a total transaction of $244,875.00. Following the completion of the acquisition, the chairman now owns 108,549 shares in the company, valued at approximately $708,824.97. This trade represents a 52.78 % increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, Director Glenda Dorchak purchased 3,592 shares of the stock in a transaction that occurred on Friday, November 22nd. The stock was purchased at an average price of $8.33 per share, with a total value of $29,921.36. Following the acquisition, the director now directly owns 18,688 shares of the company’s stock, valued at $155,671.04. This trade represents a 23.79 % increase in their position. The disclosure for this purchase can be found here. Over the last ninety days, insiders acquired 78,067 shares of company stock valued at $524,747. 0.84% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Wolfspeed

Several hedge funds have recently modified their holdings of the business. Tidal Investments LLC increased its stake in Wolfspeed by 77.7% during the 1st quarter. Tidal Investments LLC now owns 14,927 shares of the company’s stock valued at $440,000 after purchasing an additional 6,529 shares in the last quarter. Comerica Bank increased its stake in shares of Wolfspeed by 7.3% in the first quarter. Comerica Bank now owns 71,605 shares of the company’s stock worth $2,112,000 after acquiring an additional 4,842 shares during the period. Mather Group LLC. raised its holdings in shares of Wolfspeed by 385.5% during the second quarter. Mather Group LLC. now owns 1,175 shares of the company’s stock worth $27,000 after purchasing an additional 933 shares during the last quarter. SG Americas Securities LLC raised its holdings in shares of Wolfspeed by 41.0% during the second quarter. SG Americas Securities LLC now owns 17,708 shares of the company’s stock worth $403,000 after purchasing an additional 5,153 shares during the last quarter. Finally, Nisa Investment Advisors LLC boosted its holdings in Wolfspeed by 6.2% in the second quarter. Nisa Investment Advisors LLC now owns 29,470 shares of the company’s stock valued at $671,000 after purchasing an additional 1,722 shares during the last quarter.

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.