Wolfspeed Inc (WOLF) AI Stock Analysis

• Market Cap: $481.60M
• Dividend Yield: N/A
• Average Volume (3M): 995.23K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.11
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 5,013
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.55
• Shares Outstanding: 25,892,447
• 10 Day Avg. Volume: 686,100
• 30 Day Avg. Volume: 995,229
• PEG Ratio: >-0.01
• Price to Book (P/B): -0.13
• Price to Sales (P/S): 0.07
• P/FCF Ratio: -0.03
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $30.00
• Price Target Upside: 62.87% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: $21.00 ▲(14.01% Upside)

Wolfspeed's overall stock score is heavily impacted by its poor financial performance, characterized by declining revenues and significant cash flow issues. Technical analysis provides mixed signals, with high volatility and overbought conditions. The valuation is unattractive due to negative earnings and lack of dividends.

Positive Factors

Market Position

Wolfspeed's leadership in SiC and GaN technologies positions it well in the growing semiconductor market, especially for electric vehicles and renewable energy.

Revenue Streams

Diverse revenue streams across multiple sectors provide Wolfspeed with resilience against sector-specific downturns, supporting long-term stability.

Industry Trends

Rising demand for energy-efficient solutions and EVs supports Wolfspeed's growth prospects, aligning with structural industry trends.

Negative Factors

Revenue Decline

Significant revenue decline indicates challenges in maintaining market share or adapting to competitive pressures, impacting long-term growth.

High Leverage

High leverage and negative equity suggest financial distress, limiting Wolfspeed's ability to invest in growth and innovation.

Cash Flow Issues

Negative cash flows indicate poor cash management, potentially hindering Wolfspeed's operational flexibility and investment capacity.

Wolfspeed Inc Business Overview & Revenue Model

Company Description

Wolfspeed, Inc. provides silicon carbide and gallium nitride (GaN) materials, power devices, and radio frequency (RF) devices based on wide bandgap semiconductor materials and silicon. The company's silicon carbide and GaN materials comprise silicon carbide bare wafers, epitaxial wafers, and GaN epitaxial layers on silicon carbide wafers. It offers silicon carbide materials for customers to manufacture products for RF, power, and other applications. The company's power devices include silicon carbide Schottky diodes, metal oxide semiconductor field effect transistors (MOSFETs), power modules, and gate driver boards for customers and distributors to use in applications, such as electric vehicles comprising charging infrastructure, server power supplies, solar inverters, uninterruptible power supplies, industrial power supplies, and other applications. Its RF devices comprise GaN-based die, high-electron mobility transistors, monolithic microwave integrated circuits, and laterally diffused MOSFET power transistors for telecommunications infrastructure, military, and other commercial applications. The company's products are also used in transportation, fast charging, wireless systems, 5G, motor drives, renewable energy and storage, and aerospace and defense applications; and materials products and RF devices are used in military communications, radar, satellite, and telecommunication applications. It serves customers in North America, Asia, and Europe. The company was formerly known as Cree, Inc. and changed its name to Wolfspeed, Inc. in October 2021. Wolfspeed, Inc. was founded in 1987 and is headquartered in Durham, North Carolina.

How the Company Makes Money

Wolfspeed generates revenue through multiple streams, primarily from the sale of silicon carbide and gallium nitride products. The company sells its semiconductor products to a diverse range of customers in automotive, industrial, and telecommunications sectors. Key revenue streams include direct sales of SiC substrates, power devices, and RF devices, as well as long-term supply agreements with major automotive manufacturers and technology companies. Additionally, Wolfspeed benefits from partnerships and collaborations that enhance its market presence and drive innovation. The increasing demand for energy-efficient solutions and the growth of electric vehicles further contribute to its revenue growth.

Wolfspeed Inc Financial Statement Overview

Summary

Wolfspeed is facing significant financial challenges, with declining revenues, high leverage, and negative profitability margins. The cash flow issues further exacerbate the situation, indicating potential liquidity problems.

Income Statement

Wolfspeed's income statement reveals significant challenges. The company has experienced a substantial decline in revenue, with a negative growth rate of 48.6% in the most recent year. Profitability metrics are concerning, with negative gross and net profit margins, indicating the company is struggling to cover its costs and generate profit. The EBIT and EBITDA margins are also negative, reflecting operational inefficiencies and high expenses relative to revenue.

Balance Sheet

The balance sheet shows a precarious financial position. The debt-to-equity ratio has deteriorated significantly, reaching -14.64, indicating high leverage and potential solvency issues. The negative stockholders' equity suggests financial distress. Return on equity is positive but misleading due to negative equity, and the equity ratio is negative, highlighting a weak capital structure.

Cash Flow

Cash flow analysis indicates severe cash management issues. Operating cash flow and free cash flow are both negative, with declining free cash flow growth. The operating cash flow to net income ratio is negative, suggesting cash flow problems. The free cash flow to net income ratio is positive but reflects the company's inability to generate cash from operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	759.70M	757.60M	807.20M	758.50M	572.10M	525.60M
Gross Profit	-162.50M	-121.60M	77.40M	242.90M	208.10M	164.60M
EBITDA	-1.48B	-1.05B	-145.20M	-2.30M	-10.40M	-93.80M
Net Income	-1.97B	-1.61B	-864.20M	-329.90M	-200.90M	-523.90M
Balance Sheet
Total Assets	6.55B	6.85B	7.98B	6.59B	3.92B	3.45B
Cash, Cash Equivalents and Short-Term Investments	926.00M	1.06B	2.17B	2.95B	1.20B	1.15B
Total Debt	7.32B	6.55B	6.29B	4.30B	1.08B	851.10M
Total Liabilities	7.63B	7.30B	7.10B	4.96B	1.48B	1.33B
Stockholders Equity	-1.08B	-447.10M	882.10M	1.62B	2.44B	2.12B
Cash Flow
Free Cash Flow	-1.52B	-1.99B	-3.01B	-1.10B	-795.80M	-701.90M
Operating Cash Flow	-574.00M	-711.70M	-725.60M	-142.60M	-154.20M	-125.50M
Investing Cash Flow	61.80M	-268.10M	-1.94B	-1.15B	-391.00M	-448.60M
Financing Cash Flow	356.30M	400.10M	1.96B	2.60B	615.90M	504.10M

Wolfspeed Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.42
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WOLF, the sentiment is Negative. The current price of 18.42 is equal to the 20-day moving average (MA) of ―, equal to the 50-day MA of ―, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 7.37 indicates Negative momentum. The RSI at 51.83 is Neutral, neither overbought nor oversold. The STOCH value of 24.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WOLF.

Wolfspeed Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIMO	76 Outperform	$3.84B	38.93	11.88%	2.22%	-2.26%	9.74%
SLAB	68 Neutral	$4.80B	-54.90	-8.00%	―	47.10%	64.29%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
IPGP	58 Neutral	$3.21B	126.68	1.22%	―	-7.49%	―
AMBA	56 Neutral	$2.98B	―	-13.92%	―	48.08%	51.23%
NVTS	48 Neutral	$2.32B	-16.31	-33.25%	―	-38.06%	-50.14%
WOLF	41 Neutral	$481.60M	-1.40	―	―	―	―

Wolfspeed Inc Corporate Events

Wolfspeed Inc Stockholders Approve Key Governance Proposals

At its Annual Meeting of Stockholders on December 16, 2025, Wolfspeed, Inc. saw stockholders approve three significant proposals. These included the election of seven directors, an advisory vote in favor of executive compensation, and the ratification of PricewaterhouseCoopers LLP as independent auditors for fiscal year 2026. These approvals reflect the company’s efforts to maintain strong governance practices and align operational decisions with stakeholder interests.

The most recent analyst rating on (WOLF) stock is a Hold with a $23.00 price target. To see the full list of analyst forecasts on Wolfspeed Inc stock, see the WOLF Stock Forecast page.

Wolfspeed Amends Executive Employment Agreements for 2025

On December 12, 2025, Wolfspeed, Inc. announced amendments to the employment agreements of its CEO, CFO, and COO, involving significant equity awards. These amendments include restricted stock units and performance stock units, with vesting schedules and performance targets set to incentivize and retain the executives. The awards are part of the company’s 2025 Management Incentive Compensation Plan, aiming to align executive compensation with company performance metrics such as total shareholder return, revenue, and leveraged free cash flow, potentially impacting the company’s leadership stability and strategic execution.

The most recent analyst rating on (WOLF) stock is a Hold with a $23.00 price target. To see the full list of analyst forecasts on Wolfspeed Inc stock, see the WOLF Stock Forecast page.

Wolfspeed Inc Receives $698.6M IRS Tax Refund

On December 1, 2025, Wolfspeed, Inc. announced the receipt of $698.6 million in cash tax refunds from the IRS under the Advanced Manufacturing Investment Credit, significantly enhancing its financial flexibility. This cash infusion supports Wolfspeed’s strategic evolution, allowing it to retire $175 million of outstanding debt and continue its expansion into key growing segments while advancing its 200mm silicon carbide manufacturing capabilities.

The most recent analyst rating on (WOLF) stock is a Sell with a $19.00 price target. To see the full list of analyst forecasts on Wolfspeed Inc stock, see the WOLF Stock Forecast page.

Wolfspeed Inc Implements Fresh Start Accounting Post-Reorganization

Wolfspeed, Inc. disclosed unaudited pro forma consolidated financial information following its prepackaged plan of reorganization, effective September 29, 2025, and adoption of fresh start accounting. The plan, confirmed by the Bankruptcy Court on September 8, 2025, involved significant restructuring, including the issuance of new notes and the cancellation of old equity, impacting various stakeholders and altering the company’s financial landscape.

The most recent analyst rating on (WOLF) stock is a Sell with a $19.00 price target. To see the full list of analyst forecasts on Wolfspeed Inc stock, see the WOLF Stock Forecast page.