Law Offices of Howard G. Smith reminds investors of the upcoming January 17, 2025 deadline to file a lead plaintiff motion in the case filed on behalf of investors who purchased Wolfspeed, Inc. (“Wolfspeed” or the “Company”) (NYSE: WOLF) securities between August 16, 2023 and November 6, 2024, inclusive (the “Class Period”).
Investors suffering losses on their Wolfspeed investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at (215) 638-4847 or by email to [email protected].
On November 6, 2024, Wolfspeed released its first quarter fiscal 2025 financial results and provided second quarter guidance significantly below expectations due to “demand … ramp[ing] more slowly than [the Company] originally anticipated” as “EV customers revise their launch time lines as the market works though this transition period.” Additionally, while the Company previously estimated that its Mohawk Valley fabrication facility would result in $100 million in revenue, it now projected a range 30% to 50% below that mark.
On this news, Wolfspeed’s stock price fell $5.38, or 39.2%, to close at $8.33 per share on November 7, 2024, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) the Company had overstated the demand for its key product and placed undue reliance on purported design wins; (2) the facility’s growth had begun to taper before even recognizing the $100 million revenue per quarter allegedly achievable with only 20% utilization of the fab, let alone the promised $2 billion revenue purportedly achievable by the facility; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired Wolfspeed securities during the Class Period, you may move the Court no later than January 17, 2025 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected], or visit our website at www.howardsmithlaw.com.
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