Executive Summary & Company Overview Wolfspeed reported declining revenue and significant GAAP losses for FY25, with the CEO expressing confidence in future leadership in silicon carbide technology, while navigating Chapter 11 reorganization [Quarterly & Full Fiscal Year Financial Highlights](index=1&type=section&id=1.1%20Quarterly%20%26%20Full%20Fiscal%20Year%20Financial%20Highlights) Wolfspeed reported a decline in consolidated revenue for both Q4 and the full fiscal year 2025 compared to 2024, with GAAP gross margin and EPS worsening significantly due to substantial losses | Metric | Q4 FY25 (Millions $) | Q4 FY24 (Millions $) | YoY Change (%) | FY25 (Millions $) | FY24 (Millions $) | YoY Change (%) | | :-------------------------------- | :------------------ | :------------------ | :-------------- | :---------------- | :---------------- | :-------------- | | **Consolidated Revenue** | $197 | $201 | -2.0% | $758 | $807 | -6.1% | | Mohawk Valley Fab Revenue | $94.1 | $41 | +129.5% | N/A | N/A | N/A | | **GAAP Gross Margin** | (13)% | 1% | -14 pp | (16)% | 10% | -26 pp | | **Non-GAAP Gross Margin** | (1)% | 5% | -6 pp | 2% | 13% | -11 pp | | Underutilization Costs | $23.6 | $24.0 | -1.7% | $105.2 | $124.4 | -15.4% | | **GAAP Loss Per Share** | ($4.30) | ($1.39) | +209.4% | ($11.39) | ($4.56) | +149.8% | | **Non-GAAP Loss Per Share** | ($0.77) | ($0.89) | -13.5% | ($3.32) | ($2.59) | +28.2% | [CEO Statement & Strategic Outlook](index=1&type=section&id=1.2%20CEO%20Statement%20%26%20Strategic%20Outlook) CEO Robert Feurle expressed strong confidence in Wolfspeed's market position, highlighting its world-class greenfield facility, vertically integrated footprint, strengthened leadership, and robust IP portfolio as key differentiators for global leadership in silicon carbide technology - CEO Robert Feurle is confident in Wolfspeed's position to be the global leader in silicon carbide technology, citing its world-class greenfield and vertically integrated facility, recent senior leadership additions, and robust IP portfolio[4](index=4&type=chunk) - The next important milestone is court approval of the Plan of Reorganization and emergence from Chapter 11 with a much stronger financial structure[4](index=4&type=chunk) [About Wolfspeed, Inc.](index=1&type=section&id=1.3%20About%20Wolfspeed%2C%20Inc.) Wolfspeed, Inc. is a market leader in silicon carbide technologies, pioneering advanced semiconductor technology for various applications including silicon carbide material, Power Modules, Discrete Power Devices, and Power Die Products, aiming to enable disruptive innovations globally - Wolfspeed leads the market in silicon carbide technologies, powering disruptive innovations globally[5](index=5&type=chunk) - The company's product offerings include silicon carbide material, Power Modules, Discrete Power Devices, and Power Die Products[5](index=5&type=chunk) GAAP Financial Statements Wolfspeed's GAAP statements show substantial FY25 net losses from goodwill impairment, increased liabilities, and significant cash usage [Condensed Consolidated Statements of Operations](index=4&type=section&id=2.1%20Condensed%20Consolidated%20Statements%20of%20Operations) Wolfspeed reported a significant increase in net loss for both the fourth quarter and the full fiscal year 2025, primarily driven by a substantial goodwill impairment charge and increased restructuring and other expenses | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :------------------ | :------ | :------ | :--- | :--- | | Revenue, net | $197.0 | $200.7 | $757.6 | $807.2 | | Cost of revenue, net | $222.7 | $198.3 | $879.2 | $729.8 | | Gross (loss) profit | ($25.7) | $2.4 | ($121.6) | $77.4 | | Gross margin percentage | (13)% | 1% | (16)% | 10% | | Operating loss | ($581.6) | ($145.9) | ($1,329.2) | ($445.3) | | Net loss from continuing operations | ($669.3) | ($174.9) | ($1,609.2) | ($573.6) | | Net loss | ($669.3) | ($174.9) | ($1,609.2) | ($864.2) | | Basic and diluted loss per share (Continuing operations) | ($4.30) | ($1.39) | ($11.39) | ($4.56) | - Goodwill impairment of **$359.2 million** was recognized in both Q4 and the full fiscal year 2025, significantly impacting operating loss[14](index=14&type=chunk) - Restructuring and other expenses increased substantially to **$122.8 million** in Q4 FY25 (from $6.2 million in Q4 FY24) and **$417.6 million** for FY25 (from $20.6 million in FY24)[14](index=14&type=chunk) [Condensed Consolidated Balance Sheets](index=5&type=section&id=2.2%20Condensed%20Consolidated%20Balance%20Sheets) As of June 29, 2025, Wolfspeed's total assets decreased, primarily due to a significant reduction in cash and cash equivalents and the impairment of goodwill, while total liabilities increased dramatically, leading to a negative total shareholders' equity | Metric (Millions $) | June 29, 2025 | June 30, 2024 | YoY Change (%) | | :------------------ | :------------ | :------------ | :------------- | | Total assets | $6,854.4 | $7,984.6 | -14.2% | | Cash, cash equivalents, and short-term investments | $955.4 | $2,174.6 | -56.1% | | Goodwill | $0 | $359.2 | -100.0% | | Total current liabilities | $7,090.0 | $665.3 | +965.7% | | Current maturity on long-term borrowings | $6,538.0 | $0 | N/A | | Total long-term liabilities | $211.5 | $6,437.2 | -96.7% | | Total liabilities | $7,301.5 | $7,102.5 | +2.8% | | Total shareholders' equity | ($447.1) | $882.1 | -150.7% | - The company's goodwill was fully impaired, reducing its value from **$359.2 million** to zero[16](index=16&type=chunk) - A significant increase in current maturity on long-term borrowings to **$6,538.0 million** from zero in the prior year indicates a reclassification of debt, contributing to the negative shareholders' equity[16](index=16&type=chunk) [Consolidated Statements of Cash Flows](index=6&type=section&id=2.3%20Consolidated%20Statements%20of%20Cash%20Flows) Wolfspeed continued to use significant cash in operating and investing activities for fiscal year 2025, though investing cash outflow decreased compared to FY24, leading to a substantial decrease in the cash balance despite cash provided by financing activities | Metric (Millions $) | FY25 | FY24 | YoY Change (%) | | :-------------------------------------- | :----- | :----- | :------------- | | Net cash used in operating activities | ($711.7) | ($725.6) | -1.9% | | Net cash used in investing activities | ($268.1) | ($1,943.3) | -86.2% | | Cash provided by financing activities | $400.1 | $1,958.0 | -79.6% | | Net change in cash and cash equivalents | ($578.7) | ($711.1) | -18.6% | | Cash and cash equivalents, end of period | $467.2 | $1,045.9 | -55.4% | - Purchases of property and equipment decreased significantly from **$2,274.0 million** in FY24 to **$1,271.4 million** in FY25[19](index=19&type=chunk) - Proceeds from long-term debt borrowings decreased from **$2,000.0 million** in FY24 to **$240.0 million** in FY25[19](index=19&type=chunk) Product Line Revenue Wolfspeed's FY25 total revenue declined, primarily due to Materials Products, though Q4 Power Products revenue increased | Product Line (Millions $) | Q4 FY25 | Q4 FY24 | YoY Change (%) | FY25 | FY24 | YoY Change (%) | | :------------------------ | :------ | :------ | :------------- | :--- | :--- | :------------- | | Power Products | $118.6 | $104.6 | +13.4% | $414.0 | $415.6 | -0.4% | | Materials Products | $78.4 | $96.1 | -18.4% | $343.6 | $391.6 | -12.3% | | Total | $197.0 | $200.7 | -1.8% | $757.6 | $807.2 | -6.1% | Non-GAAP Financial Measures & Reconciliations Wolfspeed uses non-GAAP measures to clarify core operational performance by excluding non-cash and non-recurring items, showing improved metrics [Introduction to Non-GAAP Measures](index=7&type=section&id=4.1%20Introduction%20to%20Non-GAAP%20Measures) Wolfspeed uses various non-GAAP financial measures, including non-GAAP gross margin, operating loss, net loss, diluted loss per share, EBITDA, adjusted EBITDA, and free cash flow, to provide investors with additional insights into the company's core performance and underlying trends, supplementing GAAP results - Wolfspeed utilizes non-GAAP measures to offer additional information for analyzing core performance and underlying trends, supplementing GAAP results[6](index=6&type=chunk)[21](index=21&type=chunk)[24](index=24&type=chunk) - Non-GAAP measures presented include non-GAAP gross margin, operating loss, non-operating (expense) income, net, net loss, diluted loss per share, EBITDA, adjusted EBITDA, and free cash flow[21](index=21&type=chunk) [Rationale for Non-GAAP Adjustments](index=7&type=section&id=4.2%20Rationale%20for%20Non-GAAP%20Adjustments) Wolfspeed excludes specific items from its non-GAAP measures, such as stock-based compensation, acquisition-related intangibles amortization, asset and goodwill impairments, gains/losses on property disposal, write-offs of deferred financing costs, pre-petition charges, legal settlements, customs matters, project/transformation/transaction costs, restructuring/facility closure costs, executive severance, debt-related amortization, Wafer Supply Agreement losses, and equity investment gains, because these are considered non-cash, non-recurring, or not reflective of ongoing core operating performance - Stock-based compensation is excluded as a non-cash expense not used to evaluate core operating performance[25](index=25&type=chunk) - Goodwill impairment of **$359.2 million** and asset impairment charges are excluded as they are not reflective of ongoing operating results[27](index=27&type=chunk)[28](index=28&type=chunk) - Restructuring and facility closure costs, pre-petition charges, and write-off of deferred financing costs are excluded due to their non-recurring nature and direct relation to the 2025 Restructuring Plan and Chapter 11 Cases[30](index=30&type=chunk)[31](index=31&type=chunk)[35](index=35&type=chunk) [Non-GAAP Gross Margin Reconciliation](index=10&type=section&id=4.3%20Non-GAAP%20Gross%20Margin%20Reconciliation) For fiscal year 2025, Wolfspeed's GAAP gross loss of ($121.6) million was adjusted by adding back $36.9 million for stock-based compensation and $97.1 million for restructuring and facility closure costs, resulting in a non-GAAP gross profit of $12.4 million | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :------------------ | :------ | :------ | :--- | :--- | | GAAP gross (loss) profit | ($25.7) | $2.4 | ($121.6) | $77.4 | | Stock-based compensation expense | $9.7 | $8.5 | $36.9 | $28.5 | | Restructuring and facility closure costs | $14.6 | $0 | $97.1 | $0 | | Non-GAAP gross profit | ($1.4) | $10.9 | $12.4 | $105.9 | | GAAP gross margin percentage | (13)% | 1% | (16)% | 10% | | Non-GAAP gross margin percentage | (1)% | 5% | 2% | 13% | [Non-GAAP Operating Loss Reconciliation](index=10&type=section&id=4.4%20Non-GAAP%20Operating%20Loss%20Reconciliation) Wolfspeed's GAAP operating loss of ($1,329.2) million for FY25 was significantly reduced to a non-GAAP operating loss of ($406.3) million after adding back total adjustments of $922.9 million, which included goodwill impairment, restructuring costs, stock-based compensation, and asset impairment | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :------------------ | :------ | :------ | :--- | :--- | | GAAP operating loss | ($581.6) | ($145.9) | ($1,329.2) | ($445.3) | | Total stock-based compensation expense | $10.6 | $21.0 | $73.3 | $84.9 | | Goodwill impairment | $359.2 | $0 | $359.2 | $0 | | Total restructuring and other costs | $54.5 | $0 | $232.0 | $0 | | Asset impairment | $15.0 | $0 | $170.2 | $0 | | Total adjustments to GAAP operating loss | $487.6 | $27.0 | $922.9 | $104.3 | | Non-GAAP operating loss | ($94.0) | ($118.9) | ($406.3) | ($341.0) | [Non-GAAP Non-Operating (Expense) Income Reconciliation](index=11&type=section&id=4.5%20Non-GAAP%20Non-Operating%20%28Expense%29%20Income%20Reconciliation) For fiscal year 2025, Wolfspeed's GAAP non-operating expense of ($289.7) million was adjusted to ($199.6) million non-GAAP, primarily by adding back amortization of discount and debt issuance costs, loss on Wafer Supply Agreement, and write-off of deferred financing costs, while subtracting gain on equity investment | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :-------------------------------------- | :------ | :------ | :--- | :--- | | GAAP non-operating expense, net | ($97.8) | ($28.5) | ($289.7) | ($127.2) | | Gain on equity investment | ($31.8) | ($11.2) | ($22.6) | ($18.5) | | Amortization of discount and debt issuance costs, net | $14.3 | $6.8 | $48.8 | $28.4 | | Loss on Wafer Supply Agreement | $0 | $4.9 | $9.2 | $25.3 | | Write-off of deferred financing cost | $54.7 | $0 | $54.7 | $0 | | Non-GAAP non-operating expense, net | ($60.6) | ($28.0) | ($199.6) | ($84.3) | [Non-GAAP Net Loss & Diluted Loss Per Share Reconciliation](index=11&type=section&id=4.6%20Non-GAAP%20Net%20Loss%20%26%20Diluted%20Loss%20Per%20Share%20Reconciliation) Wolfspeed's GAAP net loss from continuing operations of ($1,609.2) million for FY25 was adjusted to a non-GAAP net loss of ($469.0) million, reflecting total adjustments of $1,013.0 million before income taxes and an income tax adjustment benefit of $127.2 million | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :-------------------------------------- | :------ | :------ | :--- | :--- | | GAAP net loss from continuing operations | ($669.3) | ($174.9) | ($1,609.2) | ($573.6) | | Total adjustments to GAAP net loss before provision for income taxes | $524.8 | $27.5 | $1,013.0 | $147.2 | | Income tax adjustment - benefit | $24.7 | $35.4 | $127.2 | $100.5 | | Non-GAAP net loss | ($119.8) | ($112.0) | ($469.0) | ($325.9) | | Non-GAAP diluted loss per share | ($0.77) | ($0.89) | ($3.32) | ($2.59) | [Adjusted EBITDA Reconciliation](index=12&type=section&id=4.7%20Adjusted%20EBITDA%20Reconciliation) For fiscal year 2025, Wolfspeed's GAAP net loss of ($1,609.2) million was reconciled to an Adjusted EBITDA of ($210.9) million, with key adjustments including adding back depreciation and amortization, interest expense, stock-based compensation, goodwill impairment, and restructuring costs | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :-------------------------------------- | :------ | :------ | :--- | :--- | | GAAP net loss | ($669.3) | ($174.9) | ($1,609.2) | ($573.6) | | EBITDA (Non-GAAP) | ($543.2) | ($94.4) | ($1,119.2) | ($280.2) | | Stock based compensation | $10.6 | $21.0 | $73.3 | $84.9 | | Goodwill impairment | $359.2 | $0 | $359.2 | $0 | | Restructuring and facility closure costs | $46.8 | $0 | $177.3 | $0 | | Adjusted EBITDA (Non-GAAP) | ($40.7) | ($73.9) | ($210.9) | ($162.5) | [Free Cash Flow](index=9&type=section&id=4.8%20Free%20Cash%20Flow) Wolfspeed defines free cash flow as operating cash flows from continuing operations less net purchases of property and equipment and patent and licensing rights, reporting a negative free cash flow of ($1,748.0) million for fiscal year 2025 - Free cash flow is defined as operating cash flows from continuing operations, less net purchases of property and equipment and patent and licensing rights[43](index=43&type=chunk) | Metric (Millions $) | Q4 FY25 | Q4 FY24 | FY25 | FY24 | | :-------------------------------------- | :------ | :------ | :--- | :--- | | Net cash used in operating activities | ($242.5) | ($239.5) | ($711.7) | ($671.3) | | Less: PP&E spending, net of reimbursements | ($210.1) | ($644.2) | ($1,031.0) | ($2,095.5) | | Less: Patents spending | ($1.4) | ($1.6) | ($5.3) | ($5.9) | | Total free cash flow | ($454.0) | ($885.3) | ($1,748.0) | ($2,772.7) | Forward-Looking Statements & Risks Forward-looking statements are subject to significant risks, particularly from Chapter 11 Cases, global economy, and operational challenges - Forward-looking statements are inherently uncertain and subject to risks that may cause actual results to differ materially[9](index=9&type=chunk) - Key risks include those related to the Chapter 11 Cases, such as plan approval, effects on stakeholders, liquidity, ability to retain key personnel, administrative and legal costs, and potential delisting of common stock[9](index=9&type=chunk) - Other significant risks involve ongoing uncertainty in global economic and geopolitical conditions, expansion plans, production difficulties, market development, supply chain complexities, and the substantial doubt about Wolfspeed's ability to continue as a going concern[9](index=9&type=chunk)[10](index=10&type=chunk) Cautionary Note Regarding Common Stock Trading Wolfspeed's common stock during Chapter 11 Cases is highly speculative and risky, with no assurance of active market or recovery - Trading in Wolfspeed's common stock during the Chapter 11 Cases is highly speculative and poses substantial risks[11](index=11&type=chunk) - Trading prices may bear little or no relationship to the actual recovery by holders of common stock in the Chapter 11 Cases, with no assurance of liquidity or favorable selling prices[11](index=11&type=chunk) Contact Information For investor relations inquiries, Tyler Gronbach, Vice President of External Affairs, can be contacted via phone or email - Contact Tyler Gronbach, Vice President of External Affairs, for investor relations at **919-407-4820** or investorrelations@wolfspeed.com[52](index=52&type=chunk)

半导体板块拉升，Wolfspeed涨超11%，纳微半导体涨近9%，AMD、安森美半导体、美光科技涨超 3%，英伟达涨超2%，德州仪器、博通涨超1.8%。消息面上，美国总统特朗普宣布将对进口到美国的半 导体芯片"征收100%关税"，但不包含有在美国设厂的企业。(格隆汇) ...

Core Viewpoint - Wolfspeed's stock has experienced significant volatility and gains, primarily driven by speculative momentum and broader chip industry news, despite the company's ongoing bankruptcy proceedings [1][4]. Group 1: Stock Performance - Wolfspeed's stock gained 8.4% in a single trading day, with an early peak increase of 22.9% [1]. - Since the announcement of its Chapter 11 bankruptcy at the end of June, the stock price has surged by 273% [2]. Group 2: Market Context - The recent bullish momentum in tech stocks, particularly following Nvidia's licensing approval for its H20 processors in China, has not directly influenced Wolfspeed's investment outlook [4]. - The volatility in Wolfspeed's stock is attributed to speculative trading rather than specific business developments [4][5]. Group 3: Bankruptcy Proceedings - Wolfspeed is currently navigating bankruptcy proceedings, which can lead to significant valuation fluctuations even without relevant news [5]. - The restructuring process may result in the stock being delisted from the New York Stock Exchange, with existing shareholders potentially receiving only 3% to 5% of the new company's value [6].

Core Insights - Wolfspeed's stock experienced significant volatility, with a 12.3% increase from the previous week's close despite a sell-off in the latter half of the week [1] - The appointment of Gregor van Issum as the new CFO led to a substantial rally, with the stock more than doubling on Monday and Tuesday before a pullback occurred [2][4] - The company is undergoing Chapter 11 bankruptcy proceedings, and van Issum's expertise is expected to be crucial in navigating this process [4] Stock Performance - The stock saw a notable surge at the beginning of the week, attributed to the CFO announcement, but this was followed by a significant correction later [5] - Despite the volatility, the stock ended the week in positive territory, indicating resilience amidst the turmoil [5] Future Outlook - Investing in Wolfspeed at this stage is considered highly risky due to the ongoing bankruptcy process, which may lead to delisting from the NYSE and a shift to OTC markets [6] - Current shareholders are projected to receive only 3% to 5% of the value of the new corporate entity post-restructuring [6]

Core Viewpoint - Wolfspeed is undergoing a prepackaged bankruptcy process, which will significantly dilute the value for existing shareholders, leaving them with only 3% to 5% of the restructured company [4][13]. Company Overview - Wolfspeed specializes in silicon carbide technologies and is a developer and manufacturer of wide-bandgap semiconductors, focusing on silicon carbide and gallium nitride materials [6]. - The company aimed to become fully vertically integrated, leading to substantial capital expenditures, including a $5 billion facility in North Carolina and another in New York [8]. Financial Situation - Wolfspeed is expected to eliminate $4.6 billion in debt through the bankruptcy process, reducing annual interest expenses by approximately 60% [4]. - The company burned through $1.5 billion in cash during the first nine months of its current fiscal year, resulting in a gross margin of negative 17% [9]. - For fiscal year 2026, Wolfspeed anticipates generating $200 million in unlevered operating cash flow, but this figure excludes significant interest payments [11]. Market Dynamics - The recent stock rally is likely attributed to a short squeeze, as the stock has a high short interest and short sellers are covering their positions [2]. - The company has faced challenges in operational execution, particularly in meeting the demand from electric vehicle manufacturers, and has encountered aggressive pricing from Chinese competitors [7][9]. Management and Future Outlook - The appointment of Gregor van Issum as CFO is seen as a positive step for restructuring, but it does not change the unfavorable outlook for current shareholders [12][13]. - Wolfspeed's transition to 200mm wafers is expected to improve operating results, but the technological challenges associated with this transition pose risks [10].

Core Viewpoint - Wolfspeed has filed for Chapter 11 bankruptcy protection, aiming to reduce its debt by 70% and interest payments by 60%, which is expected to provide the company with operational flexibility [1] Group 1: Bankruptcy Filing and Financial Restructuring - Wolfspeed filed for Chapter 11 bankruptcy and will continue operations during the process [1] - The company anticipates a 70% reduction in debt and a 60% decrease in interest payments post-bankruptcy [1] - Following the announcement, Wolfspeed's stock surged over 500% before experiencing a natural retreat [1] Group 2: Leadership Changes - Effective September 1, Gregor van Issum will join Wolfspeed as the new CFO [3] - Van Issum has significant experience in strategic financing and transformation within the tech sector, aligning with Wolfspeed's turnaround strategy [3] Group 3: Industry Challenges - Despite recent positive news, Wolfspeed faces significant hurdles, including a shrinking revenue trend [4] - The electric vehicle industry, which is a key market for Wolfspeed, is experiencing its own challenges [4] - The recent stock rally is perceived to be driven more by hype than by underlying business realities [4]

Core Viewpoint - Wolfspeed's stock has experienced significant volatility, with a notable decline following a previous surge after the announcement of a new CFO [2][4]. Group 1: Stock Performance - The stock price of Wolfspeed dropped 19.4% as of 2:15 p.m. ET, having previously fallen as much as 22.8% during the session [1]. - Despite recent pullbacks, the stock has more than doubled in value over the past week [4]. Group 2: Company Developments - The recent sell-off is attributed to profit-taking rather than new developments within the company [4]. - Wolfspeed filed for preliminary Chapter 11 bankruptcy protections at the end of June, initiating a restructuring process [5]. Group 3: Shareholder Impact - The restructuring will create a new corporate entity, with current shareholders expected to receive only 3% to 5% of the new business [6]. - There is a low likelihood that current shareholders will see value above the current share price post-restructuring [6]. Group 4: Market Risks - There is potential for a short-term surge in stock price, but significant risks exist, including the possibility of delisting from the New York Stock Exchange due to bankruptcy proceedings [7].

Group 1 - The article discusses a recent buy call on Wolfspeed, Inc. (NYSE: WOLF), emphasizing that the company is not as weak as perceived and has potential for growth [1] - The author has extensive experience in the technology sector, particularly in risk mitigation during various market cycles, including the dot-com bubble and the recent AI boom [1] - The focus of the analysis is on momentum, suggesting that the company may experience upward movement in its stock price [1]

Core Viewpoint - Wolfspeed's stock experienced a significant sell-off, dropping 19.8% despite positive market trends, largely due to the company's upcoming Chapter 11 bankruptcy and restructuring [1][2][4]. Group 1: Stock Performance - Wolfspeed's share price fell 19.8% in a single session, contrasting with a 0.6% gain for the S&P 500 and a 0.9% increase for the Nasdaq Composite [1]. - The stock had previously seen gains on Monday and Tuesday, which may have been misaligned with the implications of the new CFO appointment [2]. - Year-to-date, Wolfspeed's share price has decreased approximately 70% [4]. Group 2: Bankruptcy and Restructuring - The company is moving through Chapter 11 bankruptcy and restructuring, which is critical for its leadership role [2]. - Following the bankruptcy proceedings, Wolfspeed's assets will be transferred to Renesas and other debt holders, leading to the creation of a new company [6]. - Shareholders of the old business's common stock are expected to receive only 3% to 5% of the value of the new company [6]. Group 3: Market Implications - Companies typically face delisting from the NYSE after filing for bankruptcy, and Wolfspeed's stock may continue trading on OTC markets but is likely to see a substantial price drop upon delisting [5]. - The restructuring process poses significant risks for current shareholders, making Wolfspeed an extremely high-risk investment at this time [6].

Key Points - The article highlights significant stock movements in the Hong Kong and US markets, with various companies experiencing notable gains and losses due to recent developments and announcements [1][2][3][4][5] Hong Kong Market Highlights - China Rare Earth Holdings (03788) surged nearly 20%, with a year-to-date increase of 320%, as the company proposed a spin-off of its gold segment for independent listing on the Hong Kong Stock Exchange [1] - Innovent Biologics (09969) rose nearly 4% after announcing the clinical approval of its new ADC innovative drug ICP-B794 [1] - North Sea Kangcheng - B (01228) increased over 50%, with its stock price doubling in three days, marking it as a rare disease stock in the Hong Kong market [1] - Hong Kong Travel (00308) saw a rise of over 24%, achieving a year-to-date stock price doubling, driven by market speculation on stablecoin cross-border payment scenarios [1] - CSPC Pharmaceutical Group (01093) gained nearly 3% after receiving drug registration approval for Mesalazine enteric-coated tablets, enhancing its product line in the immune system treatment sector [1] - Ruian Real Estate (00272) rose over 4%, with a cumulative contract property sales amount for the first six months increasing by 457% year-on-year [1] - Cornerstone Pharmaceuticals - B (02616) increased over 3%, planning to raise HKD 467 million for clinical research on CS2009 [1] - Q Technology (01478) rose over 7%, with mobile camera module sales of 32.648 million units in June, a year-on-year increase of 1.5% [1] - Dekang Agriculture and Animal Husbandry (02419) increased by 6%, with a new cycle logic continuing to strengthen, and Tianfeng Securities set a target price of HKD 154 [1] - Contemporary Amperex Technology (03750) rose over 3%, reaching a new high since its listing, following a deepened strategic cooperation agreement with Geely Automobile [2] - Gaming stocks continued to rise, with Wynn Macau (01128) up 6.49%, New World Development (00200) up 6.15%, and others showing similar gains [2] - Gold stocks faced declines, with Golden Resources (GORO.US) dropping nearly 10% and others following suit [4] US Market Highlights - Stablecoin concept stocks continued to rise, with Tiger Brokers (TIGR.US) increasing over 8% [4] - Trump Media & Technology Group (DJT.US) rose over 2% as the company seeks SEC approval for a blue-chip cryptocurrency ETF [4] - Wolfspeed (WOLF.US) continued to rise, with stock prices increasing over 9% [4] - Intel (INTC.US) rose over 7% after announcing company-wide layoffs [4] - JD.com (JD.US) increased over 2% as it launched its "Double Hundred Plan" for its delivery service [4]