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News  ›  The Motley Fool

Why Wolfspeed Stock Is Plummeting Today

The Motley Fool Logo The Motley Fool By Keith Noonan
Why Wolfspeed Stock Is Plummeting Today

Wolfspeed reported Q1 fiscal 2026 results beating Wall Street expectations, but weak sales guidance and poor gross margins caused significant stock price decline.

Insights
MSFT   neutral

Has cloud infrastructure but lacks the integrated retail-cloud model that gives Amazon a competitive advantage


WOLF   negative

Stock dropped 18.94% due to disappointing Q2 sales guidance of $150-$190 million, representing a substantial sequential quarterly sales decline, and continued negative gross margin of -39%