#3 - Wolfspeed (NYSE:WOLF)
Wolfspeed Inc. (NYSE: WOLF) is the only small-cap stock on this list of AI stocks to buy for the long haul. The reason for that is because the company is a leader in the silicon carbide (SIC) market. Currently, one of the common applications for SIC chips is the electric vehicle (EV) market. However, they also have the potential to make AI services, such as data centers, more energy efficient.
WOLF stock is down nearly 90% from its all-time high set in 2021. One reason is that small-cap stocks, in general, are under pressure. That’s particularly true for companies like Wolfspeed that are not yet profitable. These companies are facing higher borrowing costs as interest rates have jumped significantly over the last two years.
However, these are the companies that may benefit the most if the Federal Reserve cuts interest rates. Plus, in addition to the opportunity for growth in the AI market, Wolfspeed is a good play on the likely growth in the EV market.
About Wolfspeed
Wolfspeed, Inc operates as a powerhouse semiconductor company focuses on silicon carbide and gallium nitride (GaN) technologies in Europe, Hong Kong, China, rest of Asia-Pacific, the United States, and internationally. It offers silicon carbide and GaN materials, including silicon carbide bare wafers, epitaxial wafers, and GaN epitaxial layers on silicon carbide wafers to manufacture products for RF, power, and other applications.
Read More - Current Price
- $8.77
- Consensus Rating
- Hold
- Ratings Breakdown
- 4 Buy Ratings, 11 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $24.53 (179.7% Upside)
