Wolfspeed's transition to a silicon carbide provider has led to massive capital expenditures and significant operating losses, failing to meet revenue expectations. The company has resorted to survival tactics, including restructuring and dilutive equity offerings, severely impacting common equity holders. With net debt ballooning to $5.2 billion and no revenue growth, the financial outlook remains bleak despite cost-cutting efforts.
Wolfspeed's future is uncertain due to financing issues and a lack of clarity from new management, leading to a neutral rating on the stock. Despite hitting revenue targets, Wolfspeed faces declining sales and must achieve cash flow positive status by FY26 through cost reductions and facility closures. The company has significant funding gaps, with only partial financing secured for its expansion plans, raising concerns about its ability to meet future capital needs without the CHIPS Act funding.
WOLF's third-quarter fiscal 2025 results reflect weak demand, factory underutilization and higher losses.
The problem is that it was promised $750 million from the government under Joe Biden's CHIPS Act, but receiving it may be a problem as President Donald Trump tries to undo his predecessor's work.
Wolfspeed (WOLF) came out with a quarterly loss of $0.72 per share versus the Zacks Consensus Estimate of a loss of $0.82. This compares to loss of $0.62 per share a year ago.
Wolfspeed, Inc. (NYSE:WOLF ) Q3 2025 Earnings Conference Call May 8, 2025 5:00 PM ET Company Participants Tyler Gronbach - Vice President of External Affairs Tom Werner - Chairman of the Board Robert Feurle - Chief Executive Officer Neill Reynolds - Chief Financial Officer Operator Hello, everyone. Thank you for joining the Wolfspeed Incorporated Third Quarter Fiscal 2025 Earnings Call.
WOLF's fiscal third-quarter 2025 results are expected to suffer from sluggish materials products revenues.
Shares of industrial outfit Wolfspeed (WOLF 30.14%) are ending a raucous trading week as wildly as they started it, rallying again on Friday to overcome Tuesday's sizable pullback from the prior week's explosive gains. As of 12:56 p.m.
Do you own a stake in industrial technology outfit Wolfspeed (WOLF -1.10%)? Maybe it's on your watch list?
Wolfspeed Inc (NYSE:WOLF) shares fell almost 50% amid concerns the chipmaker may not receive federal funding from the CHIPS and Science Act. The company's outgoing interim executive chairman Thomas Werner commented that the company is being managed to not be overly reliant on CHIPS funds, raising investor concerns about securing the funding.
Wolfspeed said it maintains what it called a constructive dialogue with the White House and the Commerce Department to secure federal funding.
Friday is looking like a lousy day to own stock in Wolfspeed (WOLF -47.49%) -- and nobody seems to know why.