📊 WOLF Key Takeaways
Is Wolfspeed, Inc.. (WOLF) a Good Investment?
Wolfspeed faces fundamental operational collapse with negative gross margins (-37.1%), indicating products cannot be produced profitably. The company is burning cash at an unsustainable rate (-$194.2M annually in free cash flow), which will deplete the $695.1M cash reserve within 3-4 quarters absent dramatic operational improvements. No clear path to profitability exists, and negative interest coverage suggests debt service viability is questionable.
Wolfspeed, Inc.. Key Strengths (WOLF)
- Strong current liquidity position with $695.1M cash and 7.03x current ratio provides 3-4 quarter operational runway
- Semiconductor sector has structural long-term growth tailwinds if company survives transition
- Maintains positive stockholders' equity of $1.0B, not yet technically insolvent
WOLF Stock Risks: Wolfspeed, Inc.. Investment Risks
- Negative gross margin of -37.1% indicates fundamental production cost failure—company loses money on every unit sold, not a cyclical issue
- Unsustainable operating cash burn of -$126.4M per quarter will exhaust cash reserves within 3-4 quarters at current rates
- Negative interest coverage of -1.5x means company cannot service $1.7B debt from operations, creating refinancing crisis risk
- No visible path to profitability; operational losses are structural, not temporary
- Minimal insider activity (1 Form 4 filing in 90 days) suggests management lacks confidence
Key Metrics to Watch
- Gross margin trajectory—must return to positive; -37.1% is existential threat
- Operating cash flow—critical milestone is return to positive; currently -$126.4M
- Cash balance runway—monitor depletion rate; at current burn, critical point is 3-4 quarters away
- Debt refinancing access and any covenant violations related to negative cash flow
Wolfspeed, Inc.. (WOLF) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 7.03x current ratio provides a solid financial cushion.
WOLF Profit Margin, ROE & Profitability Analysis
WOLF vs Technology Sector: How Wolfspeed, Inc.. Compares
How Wolfspeed, Inc.. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Wolfspeed, Inc.. Stock Overvalued? WOLF Valuation Analysis 2026
Based on fundamental analysis, Wolfspeed, Inc.. shows some fundamental concerns relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Wolfspeed, Inc.. Balance Sheet: WOLF Debt, Cash & Liquidity
WOLF Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Wolfspeed, Inc..'s revenue has grown significantly by 50% over the 5-year period, indicating strong business expansion. The most recent EPS of $-2.65 indicates the company is currently unprofitable.
WOLF Revenue Growth, EPS Growth & YoY Performance
WOLF Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $150.2M | -$119.9M | $-1.86 |
| Q2 2026 | N/A | -$150.6M | $2.22 |
| Q1 2026 | $194.7M | -$282.2M | $-2.23 |
| Q3 2025 | $185.4M | -$144.7M | $-1.18 |
| Q2 2025 | $180.5M | N/A | $-1.15 |
| Q1 2025 | $194.7M | N/A | $-2.23 |
| Q3 2024 | $192.6M | -$26.2M | $-0.80 |
| Q2 2024 | $173.8M | -$26.2M | $-0.73 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Wolfspeed, Inc.. Dividends, Buybacks & Capital Allocation
WOLF SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Wolfspeed, Inc.. (CIK: 0000895419)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WOLF
What is the AI rating for WOLF?
Wolfspeed, Inc.. (WOLF) has an AI grade of D with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WOLF's key strengths?
Claude: Strong current liquidity position with $695.1M cash and 7.03x current ratio provides 3-4 quarter operational runway. Semiconductor sector has structural long-term growth tailwinds if company survives transition.
What are the risks of investing in WOLF?
Claude: Negative gross margin of -37.1% indicates fundamental production cost failure—company loses money on every unit sold, not a cyclical issue. Unsustainable operating cash burn of -$126.4M per quarter will exhaust cash reserves within 3-4 quarters at current rates.
What is WOLF's revenue and growth?
Wolfspeed, Inc.. reported revenue of $318.7M.
Does WOLF pay dividends?
Wolfspeed, Inc.. does not currently pay dividends.
Where can I find WOLF SEC filings?
Official SEC filings for Wolfspeed, Inc.. (CIK: 0000895419) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WOLF's EPS?
Wolfspeed, Inc.. has a diluted EPS of $-8.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is WOLF's fundamental grade?
Based on our AI fundamental analysis in June 2026, Wolfspeed, Inc.. has a D grade with 92% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is WOLF stock overvalued or undervalued?
Valuation metrics for WOLF: ROE of -26.5% (sector avg: 22%), net margin of -84.9% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is WOLF's AI grade for 2026?
Our dual AI analysis gives Wolfspeed, Inc.. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WOLF's free cash flow?
Wolfspeed, Inc..'s operating cash flow is $-126.4M, with capital expenditures of $67.8M. FCF margin is -60.9%.
How does WOLF compare to other Technology stocks?
Vs Technology sector averages: Net margin -84.9% (avg: 18%), ROE -26.5% (avg: 22%), current ratio 7.03 (avg: 2.5).
Is Wolfspeed, Inc.. carrying too much debt?
WOLF has a debt-to-equity ratio of 1.68x, which is above the Technology sector average of 0.5x. However, the current ratio of 7.03 suggests adequate short-term liquidity.