Wolfspeed (NYSE:WOLF) Shares Gap Up Following Insider Buying Activity

Wolfspeed, Inc. (NYSE:WOLF)’s stock price gapped up prior to trading on Friday following insider buying activity. The stock had previously closed at $6.44, but opened at $6.91. Wolfspeed shares last traded at $7.44, with a volume of 4,647,539 shares.

Specifically, Chairman Thomas H. Werner bought 37,500 shares of the stock in a transaction that occurred on Wednesday, November 20th. The shares were acquired at an average price of $6.53 per share, with a total value of $244,875.00. Following the completion of the purchase, the chairman now directly owns 108,549 shares in the company, valued at $708,824.97. The trade was a 52.78 % increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Darren R. Jackson purchased 36,975 shares of the business’s stock in a transaction on Wednesday, November 20th. The shares were acquired at an average price of $6.76 per share, with a total value of $249,951.00. Following the purchase, the director now owns 85,996 shares of the company’s stock, valued at approximately $581,332.96. This trade represents a 75.43 % increase in their ownership of the stock. The disclosure for this purchase can be found here.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on the company. Piper Sandler reissued an “overweight” rating and issued a $18.00 target price (down from $20.00) on shares of Wolfspeed in a report on Thursday, November 7th. JPMorgan Chase & Co. lowered their target price on shares of Wolfspeed from $20.00 to $17.00 and set a “neutral” rating on the stock in a report on Thursday, November 7th. Morgan Stanley boosted their price target on shares of Wolfspeed from $10.00 to $15.00 and gave the company an “equal weight” rating in a research report on Wednesday, October 16th. Roth Mkm cut their target price on shares of Wolfspeed from $25.00 to $20.00 and set a “buy” rating for the company in a research note on Thursday, November 7th. Finally, Bank of America decreased their price target on Wolfspeed from $25.00 to $15.00 and set an “underperform” rating on the stock in a research report on Friday, August 23rd. Two analysts have rated the stock with a sell rating, ten have given a hold rating and four have issued a buy rating to the company. According to MarketBeat.com, Wolfspeed presently has a consensus rating of “Hold” and a consensus price target of $17.21.

Wolfspeed Price Performance

The company has a 50 day moving average of $10.70 and a 200 day moving average of $16.76. The company has a current ratio of 3.14, a quick ratio of 2.54 and a debt-to-equity ratio of 9.82. The firm has a market cap of $1.08 billion, a price-to-earnings ratio of -1.42 and a beta of 1.46.

Wolfspeed (NYSE:WOLF) last announced its quarterly earnings results on Wednesday, August 21st. The company reported ($1.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($1.03) by ($0.03). Wolfspeed had a negative return on equity of 49.86% and a negative net margin of 93.31%. The business had revenue of $200.70 million during the quarter, compared to the consensus estimate of $201.11 million. Equities research analysts predict that Wolfspeed, Inc. will post -4.13 EPS for the current fiscal year.

Institutional Trading of Wolfspeed

A number of large investors have recently bought and sold shares of WOLF. Vanguard Group Inc. lifted its position in Wolfspeed by 3.6% in the 1st quarter. Vanguard Group Inc. now owns 13,079,067 shares of the company’s stock valued at $385,832,000 after acquiring an additional 449,732 shares in the last quarter. Primecap Management Co. CA raised its stake in shares of Wolfspeed by 5.0% in the 3rd quarter. Primecap Management Co. CA now owns 6,349,180 shares of the company’s stock valued at $61,587,000 after purchasing an additional 303,870 shares during the period. Two Sigma Advisers LP lifted its holdings in shares of Wolfspeed by 813.6% in the third quarter. Two Sigma Advisers LP now owns 2,458,600 shares of the company’s stock valued at $23,848,000 after purchasing an additional 2,189,500 shares in the last quarter. Bank of New York Mellon Corp boosted its position in shares of Wolfspeed by 14.3% during the second quarter. Bank of New York Mellon Corp now owns 1,177,332 shares of the company’s stock worth $26,796,000 after buying an additional 147,527 shares during the period. Finally, Samlyn Capital LLC boosted its position in shares of Wolfspeed by 51.6% during the second quarter. Samlyn Capital LLC now owns 1,009,137 shares of the company’s stock worth $22,968,000 after buying an additional 343,277 shares during the period.

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.