Why did wolfspeed drop yoday

The stock price of Wolfspeed (WOLF) experienced a decrease of 1.61% from the pre-market session to the opening of the regular session on November 26, 2024. Wolfspeed's stock drop can be attributed to several factors: 1. **Lowered Guidance and Production Issues**: Wolfspeed faced a significant drop in its stock price on November 6, 2024, after announcing lower-than-expected guidance for the second quarter of fiscal year 2025. The company attributed this to slower demand from electric vehicle (EV) customers and production issues at its Mohawk Valley fabrication plant. This led to a substantial decline in the stock price, which continued to an extent on November 26, 2024. 2. **Securities Fraud Lawsuit**: Wolfspeed is also facing a securities fraud lawsuit. The company was accused of misleading investors about its revenue projections, which were based on the assumption that its Mohawk Valley fabrication plant would meet demand for its 200mm wafer product. However, the company later lowered its guidance, attributing the reason to slower demand from EV customers. This lawsuit could contribute to investor uncertainty and negative sentiment towards the stock. In summary, Wolfspeed's stock drop is likely a result of a combination of factors including lowered guidance, production issues, and securities fraud lawsuit. |Ticker|Name|Date|Post-Market Percentage Change|Percentage Change|Pre-Market Percentage Change|code|market_code| |---|---|---|---|---|---|---|---| |WOLF.N|Wolfspeed|20241126|0.22547914317927117|-10.764587525150908|-1.6096579476861181|WOLF|169|