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Why Wolfspeed Stock Plummeted 84.7% in 2024 and Is Sinking Even Further in 2025

Wolfspeed, a company specializing in silicon carbide technology for electric vehicles and other applications, experienced a drastic decline in its stock value, plummeting by 84.7% in 2024 and continuing to sink in 2025. This significant drop was attributed to several factors including a slowdown in the electric vehicle market, which reduced demand for Wolfspeed's products. Additionally, the company faced operational challenges such as delays in its new factory in Germany, which was expected to increase production capacity but instead led to increased costs and delays. Financial pressures were further compounded by high capital expenditures and a substantial increase in net losses, with the company reporting a net loss of $177 million in the fiscal second quarter of 2024, up from $90 million the previous year. These issues, combined with broader market concerns about the sustainability of EV growth, led investors to lose confidence, resulting in the sharp decline in Wolfspeed's stock price.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/savingandinvesting/why-wolfspeed-stock-plummeted-84-7-in-2024-and-is-sinking-even-further-in-2025/ar-BB1rpR4s ]