Wolves sacked manager Rob Edwards on Thursday after just seven months in charge following their relegation from the Premier League.
Edwards was hired from Middlesbrough in November to replace the axed Vitor Pereira, but was unable to stop Wolves crashing into the Championship after eight years in the Premier League.
It is believed Cesar Peixoto, who led Gil Vicente to sixth place in Portugal's top-flight last season, is the leading candidate to replace Edwards at Molineux.
Wolves finished bottom of the Premier League after winning only three of their 38 games.
Wolves have parted company with head coach Rob Edwards.
— Wolves (@Wolves) June 11, 2026
We would like to thank Rob and his staff for their professionalism, commitment and hard work during their time at the club.https://t.co/5VFbd14OHs pic.twitter.com/Q0bdXyS6VW
Edwards, who left Middlesbrough when they were second in the Championship. mustered just five wins and lost 16 of his 30 games in all competitions with Wolves.
Following an end of season review, the club decided dismissing Edwards would improve their chances of promotion from the second tier.
"This has been an extremely difficult decision," Wolves executive chairman Nathan Shi said.
"Our decision was not about character, professionalism, or dedication. It was about determining what we believe gives Wolves the strongest opportunity to move forward from a sporting perspective.
"While there were positive signs and areas of progress, we ultimately concluded that a different football direction would better align with the style, identity and level of competitiveness we want to establish at the club.
"It would have been easier to continue with what was familiar. However, leadership is not about choosing the easiest path, but about making the difficult decisions we believe are right for the future of the football club which will put Wolves on the strongest platform to move forward."
Wolves had signed Kieran Trippier and Raul Jimenez on free transfers since the end of the season, while key midfielder Andre agreed a new contract with the club.
But Wolves' rebuild will continue without Edwards, who has now been relegated twice from the Premier League after going down with Luton in 2024.