What's Going On With Wolfspeed Shares?

Shares of Wolfspeed Inc. (NYSE:WOLF) are trading higher on Wednesay on a wave of investor interest that began in late June.

What To Know: On June 30, Wolfspeed officially entered Chapter 11 proceedings in the U.S. Bankruptcy Court for the Southern District of Texas. The filing is part of a broader restructuring strategy announced earlier in June, through which Wolfspeed seeks to reduce its total debt by approximately 70% or $4.6 billion and cut annual interest expenses by 60%. The reorganization is supported by over 97% of senior secured noteholders and key stakeholders such as Renesas Electronics America Inc.

CEO Robert Feurle positioned the move as a long-term strategy to strengthen Wolfspeed's capital structure and accelerate its path to profitability. According to filings and public statements, Wolfspeed expects to exit Chapter 11 by the end of the third quarter of 2025.

The recent momentum has also been fueled by executive changes. On July 15, Wolfspeed announced that Gregor van Issum, a former executive at ams-OSRAM and NXP Semiconductors, will take over as Executive Vice President and Chief Financial Officer, effective Sept. 1. His appointment follows the earlier naming of David Emerson as Chief Operating Officer in May, signaling a broad leadership overhaul intended to guide the company through its financial transition.

Wolfspeed's stock price has seen a dramatic rebound since bottoming out near 39 cents in early July. The stock gained following the Chapter 11 announcement and investors have continued to respond positively to the company's transparency and plans for long-term viability.

Despite the recent surge, shares remain down significantly from their 52-week high of $25.49. Wolfspeed's ability to sustain its recovery will likely depend on the successful execution of its restructuring plan, market conditions in the semiconductor industry and investor confidence in its refreshed leadership.

WOLF Price Action: Wolfspeed shares were up 7.78% at $1.53 at the time of writing, according to benzinga Pro.

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