Why Is Wolfspeed Inc (WOLF) Stock Moving Today?

WOLF stock is moving lower by 11% on Thursday following the release of Wolfspeed's Q4 FY2026 earnings report. The company reported revenue of $149.6 million, below the $224.475 million estimate, and cited continued negative gross margins. While it beat on adjusted EPS, the wide revenue miss and lack of margin improvement have led to a sharp sell-off.

What Happened

Wolfspeed reported Q4 FY2026 results with adjusted earnings per share of $(2.26), which exceeded the $(2.45) estimate. However, revenue of $149.6 million fell significantly below the $224.475 million forecast. The company attributed the shortfall to ongoing operational challenges and negative gross margins. Management also guided for Q1 FY2027 revenue of $140 million to $160 million, a flat outlook compared to the $150.4 million estimate. The earnings call highlighted AI and data center growth as tailwinds but failed to offset concerns about profitability. The SEC 8-K filing on August 19 provided additional details on the results and financial condition.

What The Data Shows

The stock has declined 8.2% over the last eight sessions, falling from $31.67 to $29.09. The 52-week range is $8.05 to $80.82, and the stock printed 35 fresh 52-week lows on August 20. Unusual options activity includes six notable prints, with call premium at $40.4 million versus put premium at $10.1 million. The largest single print was $11.5 million. Wolfspeed remains unprofitable with a trailing twelve-month EPS of -9.46, a revenue decline of 6.4%, and a net margin of -72.9%. The stock’s beta of 1.31 indicates higher volatility than the market.

What To Watch

The company has not provided a scheduled earnings date for the next quarter. Investors should monitor the breadth of coverage and sentiment shifts in the coming days.