Wolfspeed (NYSE:WOLF) Shares Gap Up – Should You Buy?

Wolfspeed, Inc. (NYSE:WOLF) shares gapped up prior to trading on Wednesday . The stock had previously closed at $58.83, but opened at $62.44. Wolfspeed shares last traded at $55.1460, with a volume of 1,456,874 shares traded.

Wall Street Analysts Forecast Growth

WOLF has been the topic of a number of research reports. Piper Sandler restated an “overweight” rating and issued a $20.00 price target (up from $6.00) on shares of Wolfspeed in a report on Thursday, February 5th. Wall Street Zen upgraded Wolfspeed from a “strong sell” rating to a “sell” rating in a report on Saturday, May 9th. Weiss Ratings restated a “sell (d-)” rating on shares of Wolfspeed in a report on Friday, March 27th. Susquehanna lowered their price target on Wolfspeed from $30.00 to $20.00 and set a “neutral” rating on the stock in a report on Thursday, January 22nd. Finally, Zacks Research upgraded Wolfspeed to a “hold” rating in a report on Monday, February 9th. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Wolfspeed currently has an average rating of “Hold” and a consensus price target of $20.00.

Wolfspeed Stock Performance

The business has a fifty day simple moving average of $28.10 and a 200 day simple moving average of $22.20. The stock has a market cap of $2.76 billion and a price-to-earnings ratio of -5.37.

Wolfspeed (NYSE:WOLF) last issued its quarterly 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 business had revenue of $150.20 million for the quarter, compared to analysts’ expectations of $150.00 million. During the same period in the prior year, the company earned ($0.72) EPS. The company’s revenue for the quarter was down 19.0% compared to the same quarter last year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Summit Securities Group LLC lifted its stake in shares of Wolfspeed by 71.0% during the 4th quarter. Summit Securities Group LLC now owns 2,204 shares of the company’s stock worth $38,000 after purchasing an additional 915 shares during the period. Andar Capital Management HK Ltd purchased a new position in shares of Wolfspeed during the 3rd quarter worth $48,000. Capital Investment Advisory Services LLC lifted its stake in shares of Wolfspeed by 13.3% during the 4th quarter. Capital Investment Advisory Services LLC now owns 15,174 shares of the company’s stock worth $264,000 after purchasing an additional 1,783 shares during the period. Eastern Bank purchased a new position in shares of Wolfspeed during the 4th quarter worth $46,000. Finally, Royal Bank of Canada purchased a new position in shares of Wolfspeed during the 1st quarter worth $89,000.

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.