Wolfspeed Shares Rise More Than 20% Premarket After Citrini Research Note

Wolfspeed stock jumped more than 20% in premarket trading on Wednesday after thematic research firm Citrini recommended the stock. ” The stock is on pace to extend gains for a seventh consecutive session. Shares of the maker of silicon carbide semiconductors have surged more than 180% this year.

Silicon carbide semiconductors are prized for energy efficiency. Wolfspeed filed for bankruptcy protection last year amid economic uncertainty, shifting trade policies, and softer demand for its chips used in electric vehicles, artificial intelligence, industrial, and energy markets.

The company exited Chapter 11 bankruptcy last September, reducing the debt on its balance sheet by approximately 70%.

@YahooFinance reported that Wolfspeed has been around for years but drew heightened retail interest last year after filing for bankruptcy protection. The company’s emergence from bankruptcy with a substantially lighter debt load set the stage for renewed investor attention this year.

The latest surge comes as Citrini’s thematic research underscored the chipmaker’s strategic position in silicon carbide production.

Citrini’s note appeared to resonate with investors already positioned for continued gains in the name. Wolfspeed’s silicon carbide chips have applications across multiple high-growth sectors even after the demand softness that contributed to its financial restructuring.

The company’s factories represent long-term infrastructure that Citrini argued should command a valuation premium beyond simple replacement cost.