Cree Inc. (CREE) shares fell 5.51% in after-hours on Tuesday, August 17, 2021, and closed the daily trading at $81.50. Earlier in the regular trading session of Tuesday, CREE’s stock lost 1.41%. Cree shares have risen 19.16% over the last 12 months, and they have moved down 8.74% in the past week. Over the past three months, the stock has lost 4.94%, while over the past six months, it has declined 26.05%.
Let’s have a look at its recent news and developments.
CREE Stock Reported Q4 Financial Results
On August 17, 2021, Cree, Inc. (CREE) announced its financial results for the fourth quarter and fiscal 2021, which ended on June 27, 2021.
Q4 2021 financial highlights
- CREE reported revenue of $145.8 million for Q4 2021 compared to $108.4 million of revenue in Q4 2020.
- The cost of revenue was $102 million in Q4 2021 compared to $79.3 million in Q4 2020.
- It suffered a GAAP-net loss of $145.2 million, or $1.26 per diluted share in Q4 2021 compared to GAAP net loss from continuing operations of $44.2 million, or $0.41 per diluted share in Q4 2020.
FY 2021 financial highlights
- CREE reported revenue of $525.6 million for FY 2021 compared to $470.7 million for fiscal 2020.
- The cost of revenue was $361.0 million for FY 2021 compared to $ 312.2 million for FY 2020.
- GAAP net loss was $341.3 million, or $3.04 per diluted share in FY 2021 compared to GAAP net loss of $197.6 million, or $1.83 per diluted share in FY 2020.
CREE Stock Q1 2022 financial guidance
For Q1 2022, the company is expecting
- Revenue in a range of $144 million to $154 million.
- GAAP net loss in the range of $78 million to $82 million, or $0.67 to $0.70 per diluted share.
CREE Stock agreement with STM
On August 17, 2021, Cree, Inc (CREE) and STMicroelectronics (STM) announced the expansion of an existing multi-year, long-term silicon carbide wafer supply agreement. The amended agreement, which calls for Cree to supply ST with 150mm silicon carbide bare and epitaxial wafers over the next several years, is now worth more than $800 million.
Participation in the recent conference
Cree, Inc recently participated virtually at the Canaccord Genuity 41st Annual Growth Conference which was held on Tuesday, August 10, 2021. The company was presented by Chief Technology Officer, John Palmour.
Major Corporate changes
On August 03, 2021, Cree, Inc (CREE), expanded its operations leadership team as part of the Company’s accelerated growth and capacity expansion plans and planned retirement of Rick McFarland, Cree’s Senior Vice President of Global Operations, in the Summer of 2022.
Rex Felton, currently directing the construction of the company’s new silicon carbide facility in Marcy, NY, will now oversee the company’s fab operations, planning functions, and quality efforts reporting to Cree CEO Gregg Lowe. McFarland will continue to lead the company’s materials and backend operations along with facilities and procurement activities through the first half of 2022 and assist Felton with the transition.
Conclusion
CREE stock plummeted after it announced its Q4 results which did not fulfil the expectations and we can expect it to further slide down in the next trading session.
