Wolfspeed (NYSE:WOLF) Shares Gap Up on 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 changing hands.

Specifically, Chairman Thomas H. Werner purchased 37,500 shares of the stock in a transaction that occurred on Wednesday, November 20th. The shares were purchased at an average cost of $6.53 per share, with a total value of $244,875.00. Following the completion of the acquisition, the chairman now 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 document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Darren R. Jackson acquired 36,975 shares of the firm’s stock in a transaction on Wednesday, November 20th. The stock was purchased at an average price of $6.76 per share, with a total value of $249,951.00. Following the transaction, 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 position. The disclosure for this purchase can be found here.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on WOLF shares. Morgan Stanley raised their target price on Wolfspeed from $10.00 to $15.00 and gave the company an “equal weight” rating in a research report on Wednesday, October 16th. The Goldman Sachs Group dropped their price objective on Wolfspeed from $22.00 to $19.00 and set a “buy” rating on the stock in a report on Thursday, November 7th. Bank of America reduced their target price on Wolfspeed from $25.00 to $15.00 and set an “underperform” rating for the company in a research note on Friday, August 23rd. JPMorgan Chase & Co. decreased their target price on Wolfspeed from $20.00 to $17.00 and set a “neutral” rating on the stock in a research report on Thursday, November 7th. Finally, Deutsche Bank Aktiengesellschaft cut their price target on shares of Wolfspeed from $17.00 to $14.00 and set a “hold” rating for the company in a report on Thursday, August 22nd. 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. Based on data from MarketBeat, Wolfspeed has a consensus rating of “Hold” and a consensus target price of $17.21.

Wolfspeed Stock Performance

The company has a market cap of $945.05 million, a PE ratio of -1.19 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 firm’s 50 day moving average is $10.71 and its 200-day moving average is $16.94.

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

Institutional Trading of Wolfspeed

Large investors have recently added to or reduced their stakes in the stock. Advisors Asset Management Inc. raised its holdings in shares of Wolfspeed by 64.8% during the 1st quarter. Advisors Asset Management Inc. now owns 1,757 shares of the company’s stock worth $52,000 after acquiring an additional 691 shares during the period. Arizona State Retirement System raised its stake in Wolfspeed by 2.3% during the second quarter. Arizona State Retirement System now owns 35,217 shares of the company’s stock worth $802,000 after purchasing an additional 775 shares during the period. Mather Group LLC. boosted its holdings in Wolfspeed by 385.5% in the 2nd quarter. Mather Group LLC. now owns 1,175 shares of the company’s stock valued at $27,000 after purchasing an additional 933 shares during the last quarter. Signaturefd LLC grew its stake in shares of Wolfspeed by 284.3% in the 2nd quarter. Signaturefd LLC now owns 2,087 shares of the company’s stock valued at $48,000 after buying an additional 1,544 shares during the period. Finally, Nisa Investment Advisors LLC increased its holdings in shares of Wolfspeed by 6.2% during the 2nd quarter. Nisa Investment Advisors LLC now owns 29,470 shares of the company’s stock worth $671,000 after buying an additional 1,722 shares during the last quarter.

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.