Wolfspeed (NYSE:WOLF) Trading Up 12.6% – Should You Buy?

Wolfspeed, Inc. (NYSE:WOLF)’s share price was up 12.6% on Monday . The stock traded as high as $10.81 and last traded at $10.79. Approximately 5,691,999 shares changed hands during mid-day trading, a decline of 21% from the average daily volume of 7,195,322 shares. The stock had previously closed at $9.58.

Analysts Set New Price Targets

WOLF has been the subject of a number of research reports. Susquehanna reduced their price objective on Wolfspeed from $16.00 to $11.00 and set a “neutral” rating for the company in a research report on Thursday, November 7th. JPMorgan Chase & Co. decreased their price objective on shares of Wolfspeed from $20.00 to $17.00 and set a “neutral” rating for the company in a report on Thursday, November 7th. TD Cowen cut their target price on Wolfspeed from $25.00 to $15.00 and set a “hold” rating on the stock in a report on Thursday, August 22nd. New Street Research downgraded Wolfspeed from a “buy” rating to a “neutral” rating and set a $18.00 price target for the company. in a research note on Wednesday, August 7th. Finally, Roth Mkm cut their price objective on Wolfspeed from $25.00 to $20.00 and set a “buy” rating on the stock in a research note on Thursday, November 7th. Two analysts have rated the stock with a sell rating, ten have issued a hold rating and four have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, Wolfspeed has a consensus rating of “Hold” and a consensus target price of $17.21.

Wolfspeed Price Performance

The company has a market cap of $1.37 billion, a P/E ratio of -1.73 and a beta of 1.46. 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 stock has a 50-day simple moving average of $10.78 and a 200 day simple moving average of $16.17.

Insider Activity

In related news, Director Glenda Dorchak bought 3,592 shares of Wolfspeed stock in a transaction dated Friday, November 22nd. The shares were bought at an average cost of $8.33 per share, for a total transaction of $29,921.36. Following the completion of the transaction, the director now owns 18,688 shares of the company’s stock, valued at approximately $155,671.04. This trade represents a 23.79 % increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Chairman Thomas H. Werner purchased 37,500 shares of the stock in a transaction that occurred on Wednesday, November 20th. The stock was bought at an average cost of $6.53 per share, with a total value of $244,875.00. Following the acquisition, the chairman now owns 108,549 shares of the company’s stock, valued at $708,824.97. This represents a 52.78 % increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last 90 days, insiders acquired 78,067 shares of company stock worth $524,747. 0.84% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the stock. Iridian Asset Management LLC CT lifted its holdings in shares of Wolfspeed by 319.9% during the 3rd quarter. Iridian Asset Management LLC CT now owns 521,158 shares of the company’s stock valued at $5,055,000 after purchasing an additional 397,057 shares in the last quarter. Primecap Management Co. CA raised its position in Wolfspeed by 5.0% during the third quarter. Primecap Management Co. CA now owns 6,349,180 shares of the company’s stock worth $61,587,000 after acquiring an additional 303,870 shares in the last quarter. Principal Financial Group Inc. lifted its position in shares of Wolfspeed by 41.4% in the third quarter. Principal Financial Group Inc. now owns 592,599 shares of the company’s stock valued at $5,748,000 after buying an additional 173,409 shares during the last quarter. Rheos Capital Works Inc. boosted its position in Wolfspeed by 140.8% during the third quarter. Rheos Capital Works Inc. now owns 427,500 shares of the company’s stock worth $4,147,000 after purchasing an additional 250,000 shares during the period. Finally, Boston Partners bought a new position in Wolfspeed in the 1st quarter valued at about $1,621,000.

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.