Wolfspeed Shares Plunge After Chapter 11, Pursues $750M U.S. Funding

Introduction

Wolfspeed, Inc. (NYSE: WOLF) is an American developer and manufacturer of wide-bandgap semiconductors, specializing in silicon carbide (SiC) and gallium nitride (GaN) materials and devices for power and radio-frequency applications. Its products support electric vehicles, renewable energy inverters, industrial power systems, and wireless networks. As of October 30, 2025, Wolfspeed shares are trading at $24.40, reflecting a decline of 23.73% on the New York Stock Exchange, with a daily trading volume of 113,782 shares.

Corporate Structure

Headquartered in Durham, North Carolina, Wolfspeed employs between 1,001 and 5,000 professionals worldwide. The leadership team includes Chief Technology Officer Elif Balkas and Senior Vice President of Global Sales and Chief Marketing Officer Matthias Buchner, who has over 20 years of experience in power semiconductor markets. As reported in a Schedule 13G/A filing on October 27, 2025, institutional ownership is highlighted by FMR LLC, which held 2,737,652 shares, representing 10.6% of outstanding shares as of September 30, 2025.

Silicon carbide by NIKHIL

Developments and News

On June 30, 2025, Wolfspeed filed for Chapter 11 bankruptcy protection under a Restructuring Support Agreement that provided for the cancellation of old equity and the issuance of new shares that would represent 3–5% of the reorganized company. The company formally emerged from Chapter 11 on September 29, 2025, and new common shares began trading thereafter.
A definitive proxy statement (DEFA14A) was filed on October 23, 2025, in advance of the 2025 annual meeting, outlining director nominations and governance proposals. On October 29, 2025, Wolfspeed submitted an 8-K report (Acc-no: 0000895419-25-000124) to disclose material events, including updates to its board and executive compensation. The next quarterly earnings release is scheduled for October 29, 2025.

Financial and Strategic Analysis

Since emerging from bankruptcy, Wolfspeed has sought to stabilize its balance sheet and secure funding for expansion. Key metrics (trailing twelve months, per Yahoo Finance) include:

Metric	Value
Share Price (10/30/2025)	$24.40
Daily Change	–23.73%
Market Capitalization	$781.1 million
Revenue (TTM)	$757.6 million
Net Income (TTM)	–$1.61 billion
Diluted EPS (TTM)	–$11.39
Profit Margin	–212.41%
Total Cash (MRQ)	$1.06 billion
Price/Sales (TTM)	4.61

The restructuring aimed to reduce equity claims and position Wolfspeed to attract up to $750 million in U.S. government funding announced in October 2024 for its North Carolina wafer factory. Operating losses reflect ongoing research and development (R&D) and capital expenditures on the company’s Mohawk Valley and Siler City fabrication campuses.

Market Position and Industry Context

Wolfspeed is a significant player in the global SiC market, supplying materials and power-switching devices for automotive, industrial, and telecommunications clients. A strategic agreement established in 2021 with General Motors enables a domestic supply of silicon carbide for GM's Ultium Drive electric vehicle units. Wolfspeed’s planned expansion in Chatham County, North Carolina, involves a $5 billion investment announced in September 2022, which aims to create 1,800 jobs by 2030. Internationally, plans for a facility in Saarland, Germany, are now delayed beyond mid-2025 and were placed on indefinite hold as of October 2024.

tl;dr

Wolfspeed shares decreased 23.73% to $24.40 on October 30, 2025, amid ongoing restructuring and market challenges. The company emerged from Chapter 11 on September 29, 2025, and has since filed proxy materials (October 23) and an 8-K report (October 29). Earnings are due on October 29, 2025. A potential U.S. funding of up to $750 million supports North Carolina wafer capacity, while the planned German plant remains on hold. Upcoming developments include the quarterly report and continued growth of domestic SiC production.