| COMPANY |
Wolfspeed, Inc. |
| COURT |
United States District Court for the Northern District of New York |
| CASE NUMBER |
24-cv-01395 |
| JUDGE |
The Hon. Elizabeth C. Coombe |
| CLASS PERIOD |
August 16, 2023 through November 6, 2024 |
| SECURITY TYPE |
Securities |
Case Background:
The Class Period begins on August 16, 2023, when Wolfspeed issued its fourth quarter fiscal year 2023 results. On the corresponding earnings call, Wolfspeed touted the purported potential of the company’s Mohawk Valley fabrication facility, and stated that “the main driver of future revenue growth for power devices will be the incremental revenue contribution from Mohawk Valley.” Likewise, Wolfspeed reiterated that “while we are still aligned on previous expectations that we will reach 20% utilization out of Mohawk Valley by the end of fiscal 2024, it is important to note that it will be the second half of the calendar year 2024 before we see $100 million of quarterly revenue from the fab that the 20% utilization would represent.”
The complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Wolfspeed’s optimistic claims of potential growth of its Mohawk Valley fabrication facility and general demand for Wolfspeed’s 200mm wafers in the electronic vehicle market fell short of reality; and (2) Wolfspeed had overstated demand for its key product and placed undue reliance on purported design wins while the Mohawk Valley facility’s growth had begun to taper before recognizing the $100 million revenue per quarter allegedly achievable with only 20% utilization of the fabrication, let alone the promised $2 billion revenue purportedly achievable by the facility.
Current Status of Case:
On February 24, 2025, the Court appointed Lead Plaintiffs. This action is ongoing.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; toll-free at (844) 887-9500; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.