Wolfspeed forecasts second-quarter revenue below estimate (Oct. 29)

Core Viewpoint - Wolfspeed forecasts second-quarter revenue below analyst estimates, indicating challenges in recovery from bankruptcy and subdued demand in the semiconductor market [1][2]. Company Performance - Wolfspeed reported first-quarter revenue of $197 million, slightly up from $195 million a year earlier, but posted an adjusted loss of 55 cents per share, an improvement from a loss of 91 cents per share a year prior [4]. - The company expects second-quarter revenue to be between $150 million and $190 million, significantly lower than the analyst estimate of $231.94 million [5]. Industry Context - The company, a key supplier of silicon carbide semiconductors for electric vehicles and renewable energy, is facing slow orders from automakers and increasing competition from larger rivals like STMicroelectronics and Infineon [2]. - Wolfspeed has experienced ongoing market softness, which is expected to persist through fiscal 2026 [2]. - The firm is still dealing with the aftermath of overcapacity and uncertain automotive demand following its Chapter 11 bankruptcy filing in June, from which it emerged after reducing its debt by about 70% [3].