Wolfspeed Stock Plunges 53.67% on Bankruptcy Fears

On May 21, 2025, Wolfspeed's stock plummeted by 53.67% in pre-market trading, marking a significant downturn for the semiconductor company.

Wolfspeed's shares experienced a dramatic decline following reports that the company is preparing to file for bankruptcy. The Wall Street Journal revealed that the semiconductor firm is gearing up for a Chapter 11 bankruptcy filing, which has sent shockwaves through the market.

Multiple outlets have confirmed that Wolfspeed is on the brink of bankruptcy, with shares plummeting over 60% in extended trading. The potential bankruptcy filing has raised concerns among investors about the risks and implications for the debt-laden company.

The news of Wolfspeed's potential bankruptcy has led to a sharp decline in its stock price, with investors reacting to the uncertainty surrounding the company's future. The situation highlights the challenges faced by semiconductor companies in the current market environment.