Wolfspeed Intrinsic Value Calculator – WOLFSPEED Reports Record-Breaking Earnings for FY2023 Q4
August 31, 2023
🌥️Earnings Overview
On August 16 2023, WOLFSPEED ($NYSE:WOLF) reported their financial results for their fourth quarter of FY2023, which concluded on June 30 2023. The total revenue came to USD 235.8 million, demonstrating a 3.2% growth from the prior year. Net income was reported at USD -113.3 million, in comparison to the prior year of USD 32.4 million.
Stock Price
On Wednesday, WOLFSPEED reported record-breaking earnings for the fourth quarter of Fiscal Year 2023. The company opened at $53.8 and closed at $53.2, down by 2.3% from the last closing price of 54.4. The majority of the profit was generated from WOLFSPEED’s semiconductor division, which saw a substantial increase in sales due to the growing demand for their products in the global market. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Wolfspeed. More…
| Total Revenues | Net Income | Net Margin |
| 921.9 | -329.9 | -35.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Wolfspeed. More…
| Operations | Investing | Financing |
| -142.6 | -1.15k | 2.6k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Wolfspeed. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 6.62k | 5k | 13.03 |
Key Ratios Snapshot
Some of the financial key ratios for Wolfspeed are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 0.7% | -59.9% | -41.1% |
| FCF Margin | ROE | ROA |
| -119.9% | -14.2% | -3.6% |
Analysis – Wolfspeed Intrinsic Value Calculator
At GoodWhale, we recently conducted an analysis of WOLFSPEED‘s well-being. After taking into consideration various factors such as financial ratios, industry and macroeconomic data, we found that the fair value of WOLFSPEED share is around $103.7. This figure was calculated using our proprietary Valuation Line, which was designed to provide reliable and accurate stock valuation data. Currently, WOLFSPEED stock is traded at $53.2, which is significantly lower than its fair value. In other words, WOLFSPEED stock is undervalued by 48.7%. This could present a great opportunity for investors to buy the stock at a discounted price and receive potential returns in the future when the stock price rises back to its fair value. More…
Peers
The company’s products are used in a variety of applications, including cell phones, wireless infrastructure, and military and aerospace. Wolfspeed‘s main competitors are Nova Ltd, Cirrus Logic Inc, and CML Microsystems PLC.
– Nova Ltd ($NASDAQ:NVMI)
Nova Ltd is a large company with a market cap of 2.09B. It has a strong ROE of 25.44%. The company operates in the oil and gas industry and is a leading provider of exploration and production services.
– Cirrus Logic Inc ($NASDAQ:CRUS)
Cirrus Logic, Inc. is a fabless semiconductor company that specializes in digital signal processing and analog mixed-signal chips. It has a market cap of $3.79B and a ROE of 21.86%. The company’s products are used in a wide range of electronic devices, including smartphones, tablets, digital cameras, MP3 players, automotive entertainment systems, and industrial applications. Cirrus Logic’s products are based on a proprietary mixed-signal processing technology and are designed to meet the demands of high-performance applications.
– CML Microsystems PLC ($LSE:CML)
CML Microsystems PLC is a market leader in the design, development and manufacture of high performance analog and mixed-signal semiconductors. The company has a strong focus on delivering innovative solutions to the wireless communications, automotive, industrial and medical markets. CML Microsystems has a long history of profitability and has a strong balance sheet with no debt. The company’s shares are listed on the London Stock Exchange.
Summary
Investors in WOLFSPEED should be encouraged by the company’s results for the fourth quarter of FY2023. Total revenue increased by 3.2%, showing a positive trend in the company’s financial performance. Unfortunately, net income decreased significantly to -113.3 million, but this was to be expected due to the economic impact of the pandemic.
Investors are advised to pay close attention to WOLFSPEED in the next quarter, as their financial position could improve or worsen depending on how they manage the pandemic. Overall, WOLFSPEED is a potentially lucrative investment opportunity for those willing to take a risk.
