Latest news with #NVTS
Forbes
22-07-2025
- Automotive
- Forbes
What Next For Navitas Stock After 2x Rise This Year?
Photo illustration byNavitas Semiconductor (NASDAQ:NVTS) is a firm that designs and produces next-generation power semiconductors utilized in consumer electronics, solar energy systems, and electric vehicles. It experienced a nearly 8% increase in stock price during Friday's trading session. The stock has effectively doubled year-to-date. This rise has been fueled by increasing investor confidence regarding Navitas' collaboration with Nvidia. In May, both companies declared their partnership aimed at Nvidia's state-of-the-art 800V high-voltage direct current (HVDC) architecture, which seeks to improve the energy efficiency and scalability of data centers. This agreement could establish Navitas as a provider of advanced silicon carbide (SiC) and gallium nitride (GaN) power chips for the new HVDC architecture, which Nvidia claims will reduce copper usage, minimize rack dimensions, and enhance reliability and efficiency. Although the collaboration with the AI processor giant is perceived as a vote of confidence in Navitas' capabilities, Navitas is only one of multiple suppliers involved in Nvidia's project. The proportion of Navitas content within each server system and the potential for revenue generation remain uncertain. Nvidia's press release mentioned other companies such as Infineon, MPS, ROHM, STMicroelectronics, and Texas Instruments, along with Navitas, as semiconductor suppliers for the initiative. (Related: RGTI Stock: Path To 10x Growth) Navitas Stock Appears Risky In general, Navitas Semiconductor (NVTS) stock does not seem appealing at its current valuation, primarily due to its high valuation and weak fundamentals. Our evaluation of Growth, Profitability, Financial Stability, and Downturn Resilience suggests that the company's operational performance and financial status are concerning. Nevertheless, if you are looking for upside potential with lower volatility compared to individual stocks, the Trefis High Quality portfolio offers an alternative, having outperformed the S&P 500 and yielded returns exceeding 91% since its launch. NVTS is trading at a premium, with a price-to-sales ratio surpassing 17x, compared to only 3.1 for the S&P 500. While the firm reported an impressive average revenue growth of 53.5% over the last three years, this growth has been inconsistent, with revenues decreasing by 16.9% in the past 12 months and plummeting by 39.5% year-over-year in the most recent quarter. Profitability also poses a challenge. Navitas recorded an operating loss of $122 million over the past year, resulting in an exceptionally weak operating margin of -164.2%, which is significantly worse than that of most of its competitors. On a brighter note, the balance sheet is relatively stable. Navitas holds just $6.9 million in debt, resulting in a low debt-to-equity ratio of 0.5% (in contrast to 19.4% for the S&P 500), as well as a strong cash-to-assets ratio of 20.3%. However, downturn resilience remains low. NVTS stock has performed significantly worse than the benchmark S&P 500 index during many recent downturns. While investors hope for a soft landing for the U.S. economy, what could happen if another recession occurs? Our dashboard How Low Can Stocks Go During A Market Crash illustrates how key stocks performed during and following the last six market crashes. While it may be wise to steer clear of NVTS stock for the time being, you might want to consider the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (a combination of the S&P 500, S&P mid-cap, and Russell 2000 benchmark indices) to deliver robust returns for investors. What makes this possible? The quarterly rebalanced mix of large-, mid-, and small-cap RV Portfolio stocks has offered an effective strategy to capitalize on positive market conditions while mitigating losses during market downturns, as detailed in the RV Portfolio performance metrics. Invest with Trefis Market-Beating Portfolios See all Trefis Price Estimates
Globe and Mail
09-07-2025
- Automotive
- Globe and Mail
After a 246% Rally, Is Navitas Semiconductor a Buy or a Hold in 2025?
Navitas Semiconductor NVTS has delivered a standout performance in 2025, with its stock skyrocketing 246% over the past three months, far outpacing the broader Electronics - Semiconductors industry, the Computer and Technology sector and benchmark indices like the S&P 500. The rally has also outpaced the broader PHLX Semiconductor Index's (SOX) 58.3% growth. While revenue growth remains modest, investor enthusiasm is fueled by Navitas' expanding customer pipeline, new design wins and growing traction across EVs, AI data centers and renewable energy. The company's innovations in gallium nitride (GaN) and silicon carbide (SiC) are positioning it as a key player in next-gen power electronics. Three-Month Share Comparison But with shares already up triple digits, is it time for investors to buy NVTS stock, or has the easy money been made? Let's delve deeper. Industry-First Bidirectional GaN IC Launch Navitas launched the industry's first production-ready bidirectional GaN integrated circuit (IC) in the first quarter of 2025, enabling single-stage power conversion. This disrupts traditional two-stage architectures used in over 70% of power electronics, reducing cost, size and power loss by 30% or more. The innovation reveals high-efficiency applications across solar microinverters, electric vehicle (EV) onboard chargers, energy storage and motor control systems, with customer ramp-ups expected in late 2025 and 2026. GaNSafe Automotive Qualification and EV Design Wins Navitas' GaNSafe platform has achieved AEC-Q101 automotive-grade qualification, a milestone enabling its use in EVs. This led to a landmark design win with Changan Auto, making it the first GaN platform adopted in a mainstream EV. With more than 40 EV design wins across China, Europe, the United States and Korea and a rapidly expanding $900 million EV pipeline, Navitas is poised to scale in high-voltage, high-efficiency onboard and roadside chargers beginning in 2026. AI Data Center Power Platform Expansion Navitas is also expanding in AI-powered data centers, a rapidly growing market. The company has secured over 40 design wins at leading Asian ODMs targeting Tier 1 hyperscalers like Google, Amazon, Facebook and Alibaba. It announced a 12-kilowatt power platform, an industry first, that enables high-performance Blackwell and Rubin-class AI servers to reach up to 500kW per rack. This expands on earlier platforms (2.7kW-8.5kW) and positions Navitas as a critical enabler of next-generation compute infrastructure. Strengthening Financial Position Even amid softness in core markets, Navitas has managed to cut costs, lowering operating expenses from $19.9 million in the fourth quarter of 2024 to $17.2 million in the first quarter of 2025, with a target of further reduction to $15.5 million in the upcoming quarters. The company maintains a debt-free balance sheet, $75 million in cash and continues to invest in high-growth areas. Combining its cost reduction and efficiency improvement initiatives along with a strong cash position, clean balance sheet and growth outlook, the company expects to reach positive EBITDA in 2026. Snags Remain Despite its strong innovation pipeline and long-term growth prospects, Navitas Semiconductor faces several near-term headwinds. The company continues to report muted revenue growth and guidance indicating ongoing softness in core markets like EVs, solar and industrials due to inventory corrections and weak demand. Gross margins in the first quarter also declined sequentially, impacted by a less favorable product mix. Additionally, operating losses persist and management does not expect profitability before 2026. Exposure to tariff risks, particularly in its SiC business, adds to the uncertainty. Meanwhile, established rivals like Wolfspeed WOLF and Power Integrations POWI continue to invest aggressively in wide bandgap technologies, supported by stronger revenue bases and deeper customer relationships. Until design wins convert into revenues, NVTS remains vulnerable to cyclical downturns, margin pressure and increasing competitive intensity in the GaN and SiC power electronics space. Estimate for Navitas' Earnings Trends Down The Zacks Consensus Estimate for 2025 loss is pegged at 19 cents per share, moving south over the past 90 days. NVTS' earnings were in line with the Zacks Consensus Estimate in each of the trailing four quarters. Expensive Valuation NVTS stock trades at a forward 12-month price-to-sales (P/S) of 15.5X, significantly higher than the industry average of 8.6X. This compares to WOLF's 12-month P/S of 0.47X and POWI's 6.34X. Final Take on NVTS Given near-term headwinds, slowing earnings momentum and a stretched valuation, investors may want to refrain from chasing Navitas Semiconductor stock right now. Despite a strong innovation roadmap, the company trades at a steep forward P/S of 15.5x, well above the industry average, while 2025 earnings estimates have been revised downward. With a Zacks Rank #3 (Hold) and no near-term catalyst in sight, NVTS lags peers like Wolfspeed and Power Integrations in scale and profitability. Until its design wins translate into sustained revenues and earnings growth, the stock may be better watched than bought. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Power Integrations, Inc. (POWI): Free Stock Analysis Report Wolfspeed (WOLF): Free Stock Analysis Report Navitas Semiconductor Corporation (NVTS): Free Stock Analysis Report
Business Insider
17-06-2025
- Business
- Business Insider
Navitas Semiconductor (NVTS) was downgraded to a Hold Rating at Deutsche Bank
Navitas Semiconductor (NVTS – Research Report) received a Hold rating and price target from Deutsche Bank analyst today. The company's shares closed yesterday at $7.19. Confident Investing Starts Here: The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Navitas Semiconductor with a $3.50 average price target. NVTS market cap is currently $1.41B and has a P/E ratio of -13.92. Based on the recent corporate insider activity of 42 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of NVTS in relation to earlier this year. Earlier this month, Todd Glickman, the Sr. V.P., CFO & Treasurer of NVTS sold 100,000.00 shares for a total of $800,000.00.
Yahoo
29-05-2025
- Business
- Yahoo
Jim Cramer on Navitas Semiconductor (NVTS): 'That One's Done'
We recently published a list of . In this article, we are going to take a look at where Navitas Semiconductor Corporation (NASDAQ:NVTS) stands against other stocks that Jim Cramer discusses. A caller inquired if they should take a modest profit or buy more Navitas Semiconductor Corporation (NASDAQ:NVTS). This is what Cramer had to say in response: 'No, that one's done. That one's done. I mean, look, it's terrific what happened, but you just had a gigantic gain. It's almost like a takeover. I say take your money out that you put in, and then you can let the rest ride. Play with the house's money.' Aerial view of a large solar panel array under construction in a rural China landscape. Navitas Semiconductor (NASDAQ:NVTS) designs and sells power semiconductors, including gallium nitride and silicon carbide devices, system controllers, and digital isolators used in power conversion and charging. In December 2024, Cramer was similarly bearish on the company as he remarked: '… I've gotta tell you, that company's losing a lot of money. I think you can take a flyer at three bucks but understand, it's losing a lot of money and it's a flyer.' Overall, NVTS ranks 20th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of NVTS as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NVTS and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
27-05-2025
- Business
- Yahoo
Jim Cramer on Navitas Semiconductor (NVTS): 'That One's Done'
We recently published a list of . In this article, we are going to take a look at where Navitas Semiconductor Corporation (NASDAQ:NVTS) stands against other stocks that Jim Cramer discusses. A caller inquired if they should take a modest profit or buy more Navitas Semiconductor Corporation (NASDAQ:NVTS). This is what Cramer had to say in response: 'No, that one's done. That one's done. I mean, look, it's terrific what happened, but you just had a gigantic gain. It's almost like a takeover. I say take your money out that you put in, and then you can let the rest ride. Play with the house's money.' Aerial view of a large solar panel array under construction in a rural China landscape. Navitas Semiconductor (NASDAQ:NVTS) designs and sells power semiconductors, including gallium nitride and silicon carbide devices, system controllers, and digital isolators used in power conversion and charging. In December 2024, Cramer was similarly bearish on the company as he remarked: '… I've gotta tell you, that company's losing a lot of money. I think you can take a flyer at three bucks but understand, it's losing a lot of money and it's a flyer.' Overall, NVTS ranks 20th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of NVTS as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NVTS and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
