Wolfspeed (NYSE:WOLF) Stock Price Down 4.7% – Should You Sell?

Wolfspeed, Inc. (NYSE:WOLF)’s share price dropped 4.7% during mid-day trading on Monday . The company traded as low as $7.80 and last traded at $7.86. Approximately 3,487,057 shares were traded during trading, a decline of 53% from the average daily volume of 7,350,731 shares. The stock had previously closed at $8.25.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on WOLF shares. Morgan Stanley raised their price target on shares of Wolfspeed from $10.00 to $15.00 and gave the company an “equal weight” rating in a research note on Wednesday, October 16th. Deutsche Bank Aktiengesellschaft cut their target price on Wolfspeed from $17.00 to $14.00 and set a “hold” rating on the stock in a research note on Thursday, August 22nd. The Goldman Sachs Group decreased their target price on shares of Wolfspeed from $22.00 to $19.00 and set a “buy” rating for the company in a research report on Thursday, November 7th. Canaccord Genuity Group dropped their price target on shares of Wolfspeed from $25.00 to $18.00 and set a “buy” rating on the stock in a research report on Thursday, November 7th. Finally, TD Cowen lowered their price objective on shares of Wolfspeed from $25.00 to $15.00 and set a “hold” rating on the stock in a research note on Thursday, August 22nd. Two research analysts have rated the stock with a sell rating, ten have given a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat.com, Wolfspeed has a consensus rating of “Hold” and a consensus price target of $17.21.

Wolfspeed Stock Performance

The firm’s fifty day simple moving average is $10.88 and its 200 day simple moving average is $14.99. The company has a debt-to-equity ratio of 9.82, a current ratio of 3.14 and a quick ratio of 2.54. The company has a market capitalization of $1.02 billion, a price-to-earnings ratio of -1.39 and a beta of 1.38.

Insiders Place Their Bets

In related news, Chairman Thomas H. Werner bought 37,500 shares of the firm’s stock in a transaction on Wednesday, November 20th. The stock was bought at an average price of $6.53 per share, with a total value of $244,875.00. Following the purchase, the chairman now directly owns 108,549 shares of the company’s stock, valued at approximately $708,824.97. This represents a 52.78 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Darren R. Jackson purchased 36,975 shares of the company’s stock in a transaction dated Wednesday, November 20th. The stock was bought at an average cost of $6.76 per share, for a total transaction of $249,951.00. Following the completion of the purchase, the director now directly owns 85,996 shares of the company’s stock, valued at $581,332.96. The trade was a 75.43 % increase in their position. The disclosure for this purchase can be found here. In the last three months, insiders have bought 78,067 shares of company stock worth $524,747. Corporate insiders own 0.84% of the company’s stock.

Institutional Investors Weigh In On Wolfspeed

Several institutional investors have recently made changes to their positions in WOLF. Eastern Bank bought a new stake in shares of Wolfspeed during the 3rd quarter worth about $27,000. GAMMA Investing LLC lifted its stake in shares of Wolfspeed by 416.4% in the third quarter. GAMMA Investing LLC now owns 4,544 shares of the company’s stock worth $44,000 after buying an additional 3,664 shares during the last quarter. Signaturefd LLC boosted its holdings in shares of Wolfspeed by 284.3% during the 2nd quarter. Signaturefd LLC now owns 2,087 shares of the company’s stock worth $48,000 after buying an additional 1,544 shares during the period. Asset Management One Co. Ltd. raised its holdings in Wolfspeed by 69.0% in the 3rd quarter. Asset Management One Co. Ltd. now owns 7,067 shares of the company’s stock worth $69,000 after acquiring an additional 2,885 shares during the period. Finally, Migdal Insurance & Financial Holdings Ltd. bought a new stake in Wolfspeed during the second quarter valued at about $75,000.

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.