Back to top
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Roper Technologies, Inc. (ROP) - free report >>
Wolfspeed (WOLF) - free report >>
We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Roper Technologies, Inc. (ROP) - free report >>
Wolfspeed (WOLF) - free report >>
Image: Bigstock
Wolfspeed (WOLF) Q2 Loss Narrows, Revenues Increase Y/Y
Wolfspeed (WOLF - Free Report) reported second-quarter fiscal 2023 non-GAAP loss of 11 cents per share, narrower than the Zacks Consensus Estimate of a loss of 14 cents per share and the year-ago quarter’s loss of 16 cents per share.
Revenues of $216.1 million were up 24.8% year over year but lagged the consensus mark by 4.22%.
In the fiscal second quarter, Wolfspeed reported a non-GAAP gross margin of 33.6%, which contracted 170 basis points on a year-over-year basis. Gross margin was adversely impacted by supply chain constraints.
In the reported quarter, sales, general and administrative expenses were $55.7 million (25.8% of total revenues), up 16% year over year. Moreover, research & development expenses (26.4% of total revenues) increased 13.5% year over year to $57 million.
Wolfspeed Price, Consensus and EPS Surprise
Wolfspeed price-consensus-eps-surprise-chart | Wolfspeed Quote
Wolfspeed incurred a non-GAAP operating loss of $24.7 million, slightly narrower than the operating loss of $25.4 million in the year-ago quarter.
Balance Sheet & Cash Flow
As of Dec 25, 2022, WOLF had cash, cash equivalents and short-term investments of $2.48 billion.
In the fiscal second quarter, Wolfspeed reported cash outflow from operations of $67 million compared with $32.5 million in the fiscal first quarter.
Free cash outflow was $171.1 million in the reported quarter.
Guidance
For the third quarter of fiscal 2023, Wolfspeed expects revenues in the range of $210-$230 million.
Non-GAAP loss is expected to be 12-16 cents per share.
Zacks Rank & Other Stocks to Consider
Wolfspeed currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
WOLF’s shares have fallen 14.4% compared with the Zacks Computer and Technology sector’s decline of 17.6% in the past year.
Roper (ROP - Free Report) , Qorvo (QRVO - Free Report) and RingCentral (RNG - Free Report) are some other top-ranked stocks that investors can consider in the broader sector.
Roper shares have lost 3.8% in the past year. ROP is set to report its fourth-quarter 2022 results on Jan 27.
Qorvo shares have declined 17.4% in the past year. QRVO is set to report its third-quarter fiscal 2023 results on Feb 1.
RingCentral shares have lost 75.9% in the past year. RNG is set to report its fourth-quarter 2022 results on Feb 15.