This Chipmaker Is On Track To Hit 7-Month Highs – Here’s Why Retail Sees Further Upside

• According to Fintel data, short interest in WOLF climbed to 57.6% of the float as of May 13.
• Wolfspeed posted a 19% decline in third-quarter revenue last week, though it came in line with Wall Street’s estimates, according to Fiscal.ai data.
• The company slashed its debt by roughly $600 million in the third quarter.

Wolfspeed Inc. (WOLF) shares were back in the spotlight on Wednesday, with the stock climbing more than 20% in pre-market trading, tracking its highest levels since the company emerged from Chapter 11 bankruptcy protection last September.

WOLF shares have been on a blistering rally lately, posting losses in only one trading session this month while surging nearly 82% through Tuesday’s close.

On Tuesday, research firm Citrini called Wolfspeed its top stock pick in the AI infrastructure sector, highlighting the company’s position after emerging from bankruptcy, according to a report by investing.com.

Wolfspeed posted a 19% decline in third-quarter (Q3) revenue last week, though it came in line with Wall Street’s estimates, according to Fiscal.ai data. Its loss of $3.05 per share was narrower than the estimated loss of $3.78 per share.

Crucially, the company slashed its debt by roughly $600 million during the quarter, reducing total debt from around $2.3 billion to $1.7 billion, marking a sharp 26% decline.

Last September, the chipmaker exited from Chapter 11 bankruptcy after reducing its total debt by nearly 70% and cutting annual cash interest costs by around 60%. Wolfspeed had filed for Chapter 11 protection in late June after raising concerns about its ability to continue operating. As part of its restructuring, Wolfspeed had canceled all existing shares and issued 1.3 million new shares.

According to Fintel data, short interest in WOLF climbed to 57.6% of the float as of May 13. The company has roughly 45.1 million outstanding shares.

What Does Retail Think Of WOLF?

Retail sentiment for WOLF ticker on Stocktwits turned ‘extremely bullish’ from ‘bullish’ a day earlier, while message volumes on the platform increased by nearly 260% over a 24-hour period.

One user was bullish on Wolfspeed’s "monopoly" on 300mm silicon carbide wafers and improving fundamentals.

Another user expects the stock to rise to $80 by the end of the month. It is currently trading at around $63.2

WOLF shares have gained more than 209% so far in 2026.

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