Wolfspeed Inc develops and manufactures semiconductor technologies based on silicon carbide (SiC) for power electronics applications... Show more
Wolfspeed maintains a leadership position in the silicon carbide ecosystem through its end-to-end vertical integration, from SiC materials to power devices. The company's Mohawk Valley Fab in New York, the world's first purpose-built 200mm SiC facility, enables cost advantages via larger wafers and automation, targeting higher yields for power products used in EVs, industrial applications, and AI data centers. This positions Wolfspeed ahead of competitors like Coherent, SiCrystal, and Chinese firms such as SICC in materials, while in devices, it challenges Infineon, ON Semiconductor, and Rohm with superior performance in high-voltage, high-temperature environments.
Recent divestiture of its RF business allows focus on power SiC, where Wolfspeed holds deep IP with over 500 U.S. patents. Expansion into Asia Pacific via new regional leadership enhances market access amid growing EV and renewable demand. However, structural risks include underutilized capacity and negative gross margins from capex-heavy ramps, requiring disciplined execution to sustain competitive edges in efficiency and reliability.
Wolfspeed's near-term trajectory hinges on operational milestones. Q4 fiscal 2026 earnings, expected in August, will provide visibility into revenue stabilization post-Q3's $168.5 million (down sequentially) and guidance for $140-160 million, alongside margin progress. A H1 2026 financial update will outline long-term modeling, potentially including CHIPS Act incentives up to $750 million for wafer expansion.
Product launches like the first 10 kV SiC MOSFET for grid and AI infrastructure, next-gen TOLT packaging for data centers, and 300mm substrates signal innovation in high-growth areas, with AI revenue up 30-50% sequentially. Partnerships, including equity issuance to Renesas post-CFIUS clearance and eVTOL collaborations, could boost design wins. Analyst revisions remain mixed: Piper Sandler raised target to $20 (Overweight), but consensus "Reduce" with $14-28 averages reflects caution on execution. Positive surprises in utilization or guidance could shift sentiment toward optimism.
The SiC market, projected at 16-34% CAGR to $6-12 billion by 2030-2034, benefits Wolfspeed via EV powertrains (e.g., inverters, chargers) needing 80% lower losses, renewables for efficient inverters, and AI data centers for high-power density. EV slowdowns and industrial softness pressure short-term demand, but AI growth offsets this, with Wolfspeed noting 30% sequential AI gains.
Higher interest rates elevate capex costs for fabs, while inflation hits commodity inputs. Geopolitical tensions, U.S.-China trade, and tariffs on auto parts could disrupt supply chains, though domestic CHIPS Act support aids U.S. positioning. Regulatory tailwinds include grid modernization mandates favoring high-voltage SiC, but competition from silicon IGBTs (insulated-gate bipolar transistors) persists until SiC scales economically.
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In 2026, Wolfspeed targets Mohawk Valley Fab at higher utilization (beyond 20-25%), driving power segment growth amid SiC's structural shift from silicon. Consensus expects FY2026 revenue around $800 million-$1 billion, with negative EPS (-$13 or worse) due to depreciation, though AI data centers and 10 kV products could accelerate diversification beyond EVs.
Long-term drivers include market expansion in Asia, cost evolution via 200/300mm wafers lowering unit economics, and margin sustainability as utilization hits 50-70%. Technology transitions to Gen4 SiC MOSFETs enhance competitiveness, but threats from Infineon/ST scale and Chinese entrants loom. Regulatory developments like CHIPS funding and EV subsidies shape capex, while capital allocation prioritizes debt reduction (70% cut via restructuring) and Siler City materials fab. Analyst expectations remain tempered, with price targets implying caution until profitability inflects; watch free cash flow and design wins for sentiment shifts.
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A.I.dvisor indicates that over the last year, WOLF has been loosely correlated with IFNNY. These tickers have moved in lockstep 45% of the time. This A.I.-generated data suggests there is some statistical probability that if WOLF jumps, then IFNNY could also see price increases.
| Ticker / NAME | Correlation To WOLF | 1D Price Change % | ||
|---|---|---|---|---|
| WOLF | 100% | -11.19% | ||
| IFNNY - WOLF | 45% Loosely correlated | -3.57% | ||
| AAOI - WOLF | 39% Loosely correlated | -6.56% | ||
| COHU - WOLF | 36% Loosely correlated | -3.72% | ||
| ACLS - WOLF | 36% Loosely correlated | -4.00% | ||
| TOELY - WOLF | 34% Loosely correlated | -1.74% | ||
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The 10-day moving average for WOLF crossed bullishly above the 50-day moving average on April 09, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In of 15 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a +3 3-day Advance, the price is estimated to grow further. Considering data from situations where WOLF advanced for three days, in of 252 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 142 cases where WOLF Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 10 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 9 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WOLF declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
WOLF broke above its upper Bollinger Band on May 13, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.191) is normal, around the industry mean (14.620). P/E Ratio (0.000) is within average values for comparable stocks, (237.012). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (1.775). WOLF has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.014). P/S Ratio (3.243) is also within normal values, averaging (62.619).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. WOLF’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. WOLF’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 69, placing this stock worse than average.