WOLFSPEED INC (WOLF) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WOLF - US97785W1062 - Common Stock
19.18 USD
-0.3 (-1.54%)
19.3 USD
+0.12 (+0.63%)
We assign a fundamental rating of 2 out of 10 to WOLF. WOLF was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. The financial health of WOLF is average, but there are quite some concerns on its profitability. WOLF is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- WOLF had negative earnings in the past year.
- In the past year WOLF has reported a negative cash flow from operations.
- WOLF had negative earnings in each of the past 5 years.
- WOLF had a negative operating cash flow in each of the past 5 years.
1.2 Ratios
- WOLF's Return On Assets of -30.08% is on the low side compared to the rest of the industry. WOLF is outperformed by 84.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -30.08% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-13.1%
ROA(5y)-11.93%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- WOLF does not have Profit Margin and Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- WOLF does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for WOLF remains at a similar level compared to 1 year ago.
- WOLF has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, WOLF has a worse debt to assets ratio.
2.2 Solvency
- WOLF has an Altman-Z score of -0.77. This is a bad value and indicates that WOLF is not financially healthy and even has some risk of bankruptcy.
- WOLF's Altman-Z score of -0.77 is on the low side compared to the rest of the industry. WOLF is outperformed by 77.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.77 |
ROIC/WACCN/A
WACC2.65%
2.3 Liquidity
- WOLF has a Current Ratio of 7.73. This indicates that WOLF is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 7.73, WOLF belongs to the top of the industry, outperforming 87.61% of the companies in the same industry.
- WOLF has a Quick Ratio of 6.44. This indicates that WOLF is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of WOLF (6.44) is better than 86.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.73 | ||
| Quick Ratio | 6.44 |
3. Growth
3.1 Past
- The earnings per share for WOLF have decreased by -0.67% in the last year.
- The Revenue has decreased by -5.57% in the past year.
- The Revenue has been growing by 9.99% on average over the past years. This is quite good.
EPS 1Y (TTM)-0.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%39.56%
Revenue 1Y (TTM)-5.57%
Revenue growth 3Y0.51%
Revenue growth 5Y9.99%
Sales Q2Q%1.08%
3.2 Future
- Based on estimates for the next years, WOLF will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.42% on average per year.
- The Revenue is expected to grow by 32.77% on average over the next years. This is a very strong growth
EPS Next Y31.49%
EPS Next 2Y24.72%
EPS Next 3Y28.5%
EPS Next 5Y15.42%
Revenue Next Year-6.23%
Revenue Next 2Y1.28%
Revenue Next 3Y49.62%
Revenue Next 5Y32.77%
3.3 Evolution
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings Ratio is negative for WOLF. In the last year negative earnings were reported.
- Also next year WOLF is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- WOLF's earnings are expected to grow with 28.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y24.72%
EPS Next 3Y28.5%
5. Dividend
5.1 Amount
- WOLF does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
WOLFSPEED INC / WOLF FAQ
What is the ChartMill fundamental rating of WOLFSPEED INC (WOLF) stock?
ChartMill assigns a fundamental rating of 2 / 10 to WOLF.
Can you provide the valuation status for WOLFSPEED INC?
ChartMill assigns a valuation rating of 1 / 10 to WOLFSPEED INC (WOLF). This can be considered as Overvalued.
How profitable is WOLFSPEED INC (WOLF) stock?
WOLFSPEED INC (WOLF) has a profitability rating of 0 / 10.