Wolfspeed Receives Downgrade to Sell from StockNews.com

On Tuesday, Wolfspeed (NYSE:WOLF) received a downgrade to a "sell" rating from analysts at StockNews.com in their latest research report.

Several other analysts have also provided updates on the stock. In a report on Thursday, November 7th, Canaccord Genuity Group decreased its price target for Wolfspeed shares from $25.00 to $18.00 while maintaining a "buy" recommendation. Similarly, Piper Sandler reaffirmed an "overweight" rating and adjusted their price target to $18.00, down from $20.00, on that same date. Morgan Stanley raised their price target from $10.00 to $15.00, and categorized the stock as "equal weight" on October 16th. Meanwhile, JPMorgan Chase & Co. lowered its target price from $20.00 to $17.00 and issued a "neutral" rating on November 7th. Roth MKM also adjusted its price projection, reducing it from $25.00 to $20.00 while still rating the stock as a "buy." Overall, three analysts have assigned a sell rating, ten suggest holding, and four recommend buying the stock. The current consensus rating stands at "Hold" with an average target price of $17.21 according to MarketBeat data.

Wolfspeed Stock Performance

On the trading day Tuesday, Wolfspeed's stock dipped by 1.3%, trading down $0.09 to reach $6.66. The trading volume for the day was recorded at 13,218,259 shares, a significant increase compared to its average volume of 7,502,835. The company’s current fifty-day moving average price is $9.75, while the two-hundred-day moving average stands at $13.42. Wolfspeed has a notable debt-to-equity ratio of 9.82, a current ratio of 3.14, and a quick ratio of 2.54. The company's stock has seen a low of $6.10 and a high of $44.77 over the past twelve months. As of now, Wolfspeed boasts a market capitalization of approximately $850.57 million, with a price-to-earnings (P/E) ratio of -1.12 and a beta value of 1.38.

Recent Insider Transactions

In other notable developments, on Friday, November 22nd, Director Glenda Dorchak purchased 3,592 shares of Wolfspeed stock at an average price of $8.33 per share, totaling approximately $29,921.36. This acquisition increased the director's ownership to 18,688 shares, collectively valued at around $155,671.04. Additionally, on November 20th, Director Darren R. Jackson bought 36,975 shares at an average price of $6.76, amounting to a total investment of about $249,951. The acquisition raised the director’s total holdings to 85,996 shares, which are now valued at roughly $581,332.96. Over the past three months, insiders have acquired 78,067 shares of Wolfspeed, valued at $524,747. Currently, just 0.84% of the stock remains owned by corporate insiders.

Institutional Investment Activity

In terms of institutional trading, hedge funds and other institutional investors have made recent changes to their positions in Wolfspeed. For instance, Signaturefd LLC increased its holdings by 284.3% during the second quarter, now owning 2,087 shares worth about $48,000 after buying an additional 1,544 shares. Eastern Bank established a new stake in the company during the third quarter, valued at approximately $27,000. Meanwhile, GAMMA Investing LLC enhanced its stake by 416.4%, acquiring a total of 4,544 shares worth around $44,000 after purchasing another 3,664 shares. Asset Management One Co. Ltd. grew its holdings by 69.0%, totaling 7,067 shares valued at $69,000 after acquiring 2,885 more shares in the third quarter. Lastly, Quest Partners LLC increased its position by 264.9%, with a total of 9,127 shares now valued at $208,000 after acquiring 6,626 additional shares.

Wolfspeed Company Overview

Wolfspeed, Inc. is a leading semiconductor company known for its focus on silicon carbide and gallium nitride (GaN) technologies. The company operates internationally, with a presence in Europe, Hong Kong, China, and the Asia-Pacific region, as well as in the United States. Wolfspeed produces materials such as silicon carbide bare wafers, epitaxial wafers, and GaN epitaxial layers on silicon carbide wafers for applications in RF, power, and other fields.

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