Navitas Semiconductor (NASDAQ:NVTS) Shares Down 8.2% - Should You Sell?

Key Points

• Navitas Semiconductor shares fell 8.2% to about $13.39, below both its 50-day moving average of $15.53 and 200-day moving average of $14.44.
• Analysts have a consensus “Hold” rating with an average price target of $15.92, though ratings range from “Sell” and “Neutral” to targets as high as $21.00.
• The company remains unprofitable, reporting a net loss of $0.04 per share and a 27.3% year-over-year revenue decline, while insiders sold nearly 4 million shares worth $116.4 million during the quarter.

Navitas Semiconductor Corporation (NASDAQ:NVTS - Get Free Report)'s share price dropped 8.2% during mid-day trading on Tuesday . The stock traded as low as $13.35 and last traded at $13.3860. Approximately 5,071,273 shares were traded during mid-day trading, a decline of 80% from the average daily volume of 25,639,027 shares. The stock had previously closed at $14.58.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on NVTS shares. Morgan Stanley reaffirmed an "underweight" rating and set a $12.60 price objective on shares of Navitas Semiconductor in a report on Tuesday, July 28th. Rosenblatt Securities reissued a "neutral" rating and issued a $13.00 target price on shares of Navitas Semiconductor in a research note on Tuesday, July 28th. Robert W. Baird increased their price target on shares of Navitas Semiconductor from $9.00 to $20.00 and gave the stock an "outperform" rating in a research report on Monday, May 4th. Needham & Company LLC restated a "buy" rating and set a $21.00 price target on shares of Navitas Semiconductor in a research note on Tuesday, July 28th. Finally, Wall Street Zen raised Navitas Semiconductor from a "sell" rating to a "hold" rating in a report on Saturday, May 9th. Two investment analysts have rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $15.92.

Navitas Semiconductor Price Performance

The firm has a 50 day simple moving average of $15.53 and a 200-day simple moving average of $14.44. The stock has a market capitalization of $3.48 billion, a price-to-earnings ratio of -10.01 and a beta of 3.87.

Navitas Semiconductor (NASDAQ:NVTS - Get Free Report) last issued its quarterly earnings data on Monday, July 27th. The company reported ($0.04) earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of ($0.04). Navitas Semiconductor had a negative return on equity of 13.13% and a negative net margin of 856.85%.The company had revenue of $10.53 million during the quarter, compared to analysts' expectations of $9.97 million. During the same period last year, the business earned ($0.25) earnings per share. The business's revenue was down 27.3% on a year-over-year basis. On average, sell-side analysts forecast that Navitas Semiconductor Corporation will post -0.31 earnings per share for the current fiscal year.

Insider Activity

In other Navitas Semiconductor news, Director Gary Kent Wunderlich, Jr. sold 73,000 shares of the company's stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $28.11, for a total transaction of $2,052,030.00. Following the sale, the director directly owned 13,964 shares of the company's stock, valued at approximately $392,528.04. This represents a 83.94% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Ranbir Singh sold 3,060,118 shares of the company's stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $29.29, for a total transaction of $89,630,856.22. Following the sale, the director directly owned 15,607,533 shares in the company, valued at $457,144,641.57. This represents a 16.39% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 3,989,478 shares of company stock valued at $116,356,387. Company insiders own 12.40% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. DNB Asset Management AS acquired a new stake in Navitas Semiconductor during the 4th quarter valued at $774,000. UBS Group AG boosted its stake in Navitas Semiconductor by 131.0% in the fourth quarter. UBS Group AG now owns 3,307,036 shares of the company's stock worth $23,612,000 after purchasing an additional 1,875,228 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in shares of Navitas Semiconductor by 21.8% during the first quarter. Bank of New York Mellon Corp now owns 566,465 shares of the company's stock worth $4,968,000 after purchasing an additional 101,389 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of Navitas Semiconductor during the fourth quarter worth $484,000. Finally, Integrity Alliance LLC. acquired a new stake in shares of Navitas Semiconductor in the fourth quarter valued at $280,000. Institutional investors own 46.14% of the company's stock.

Navitas Semiconductor Company Profile

Navitas Semiconductor is a fabless semiconductor company specialized in gallium nitride (GaN) power integrated circuits. The company’s core mission centers on delivering high-efficiency, high-power-density power solutions that address the needs of modern electronic devices, ranging from fast chargers for consumer electronics to industrial and automotive power systems.

Navitas offers a portfolio of GaNFast power ICs designed to replace traditional silicon-based power components. These products integrate GaN transistors, drivers and protection features into single-chip solutions, enabling faster charging, reduced energy loss and smaller power supply footprints.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source