Piper Sandler analyst Harsh Kumar lowered the firm’s price target on Wolfspeed to $75 from $100 and keeps an Overweight rating on the shares. The most meaningful item on the Q1 earnings call was the delay in the ramp of the Mohawk Valley Silicon Carbide fabrication facility, the analyst tells investors in a research note. The company expects that by the end of fiscal 2024 it will achieve 20% capacity utilization, which is roughly a 1-2 quarter delay relative to most expectations, says the firm. Piper views the news as "disappointing" but continues to be optimistic that Wolfspeed is also taking this opportunity to "clear the slate and reset near-term future quarters."
Published first on TheFly
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