Wolfspeed price target lowered to $30 from $35 at Deutsche Bank

Deutsche Bank analyst Robert Sanders lowered the firm’s price target on Wolfspeed to $30 from $35 and keeps a Hold rating on the shares. The company missed expectations last quarter on industrial softness and it is clear from news flow on battery electric vehicle sell-through in recent months that there is likely to be negative consequences from the “BEV demand meltdown” on the wider silicon carbide picture, especially on industry supply/demand, the analyst tells investors in a research note. The firm says Wolfspeed appears to have out-sized device exposure to the supply chain of Ford and General Motors as well as indirectly to Tesla via substrates, “which is not ideal.”