Navitas Semiconductor (NASDAQ:NVTS) Shares Up 4.5% - Should You Buy?

Key Points

• Navitas Semiconductor shares rose 4.5% to $11.41 during mid-day trading, while trading volume remained below its average. The company has a $2.67 billion market capitalization and high volatility, reflected by a beta of 3.82.
• Analysts remain cautious, with an average rating of “Hold” and a consensus price target of $14.74. Recent targets range from $13.00 to $20.00, though Morgan Stanley maintains an “Underweight” rating.
• Navitas exceeded quarterly EPS and revenue expectations, reporting a $0.04 loss per share and $8.60 million in revenue, but revenue declined 38.7% year over year and profitability remained weak. Insiders sold nearly 4.0 million shares worth $116.4 million over the past 90 days.

Navitas Semiconductor Corporation (NASDAQ:NVTS - Get Free Report) shares shot up 4.5% during mid-day trading on Monday . The stock traded as high as $11.74 and last traded at $11.41. Approximately 21,226,696 shares changed hands during trading, a decline of 21% from the average session volume of 26,846,773 shares. The stock had previously closed at $10.92.

Wall Street Analysts Forecast Growth

NVTS has been the subject of a number of recent research reports. Morgan Stanley reissued an "underweight" rating and issued a $13.70 target price on shares of Navitas Semiconductor in a report on Wednesday, May 6th. Wall Street Zen raised shares of Navitas Semiconductor from a "sell" rating to a "hold" rating in a research note on Saturday, May 9th. Rosenblatt Securities increased their price objective on shares of Navitas Semiconductor from $7.00 to $13.00 and gave the company a "neutral" rating in a research report on Wednesday, May 6th. Robert W. Baird lifted their price objective on shares of Navitas Semiconductor from $9.00 to $20.00 and gave the stock an "outperform" rating in a research note on Monday, May 4th. Finally, Weiss Ratings raised shares of Navitas Semiconductor from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Wednesday, June 17th. Two investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat, Navitas Semiconductor has an average rating of "Hold" and a consensus target price of $14.74.

Navitas Semiconductor Price Performance

The firm has a market capitalization of $2.67 billion, a PE ratio of -18.11 and a beta of 3.82. The business has a 50-day simple moving average of $20.00 and a 200-day simple moving average of $14.18.

Navitas Semiconductor (NASDAQ:NVTS - Get Free Report) last announced its earnings results on Tuesday, May 5th. The company reported ($0.04) EPS for the quarter, topping analysts' consensus estimates of ($0.05) by $0.01. Navitas Semiconductor had a negative return on equity of 14.30% and a negative net margin of 330.67%.The firm had revenue of $8.60 million during the quarter, compared to analysts' expectations of $8.22 million. During the same quarter in the previous year, the business earned ($0.06) EPS. The company's quarterly revenue was down 38.7% on a year-over-year basis. On average, research analysts expect that Navitas Semiconductor Corporation will post -0.39 earnings per share for the current year.

Insider Activity

In other Navitas Semiconductor news, Director Ranbir Singh sold 664,058 shares of the business's stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $28.72, for a total transaction of $19,071,745.76. Following the completion of the transaction, the director owned 14,943,475 shares in the company, valued at $429,176,602. The trade was a 4.25% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Richard J. Hendrix sold 110,165 shares of the company's stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $28.96, for a total value of $3,190,378.40. Following the transaction, the director directly owned 101,709 shares in the company, valued at approximately $2,945,492.64. This represents a 52.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 3,989,478 shares of company stock worth $116,356,387 over the last 90 days. Insiders own 12.40% of the company's stock.

Institutional Investors Weigh In On Navitas Semiconductor

A number of institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. grew its position in Navitas Semiconductor by 10.0% in the 4th quarter. Vanguard Group Inc. now owns 14,691,351 shares of the company's stock valued at $104,896,000 after acquiring an additional 1,330,703 shares during the last quarter. State Street Corp lifted its position in shares of Navitas Semiconductor by 18.0% during the fourth quarter. State Street Corp now owns 8,597,950 shares of the company's stock worth $61,389,000 after purchasing an additional 1,308,626 shares during the last quarter. Invesco Ltd. lifted its position in shares of Navitas Semiconductor by 257.8% during the fourth quarter. Invesco Ltd. now owns 4,737,624 shares of the company's stock worth $33,827,000 after purchasing an additional 3,413,394 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Navitas Semiconductor by 12.8% during the fourth quarter. Geode Capital Management LLC now owns 4,417,408 shares of the company's stock valued at $31,546,000 after purchasing an additional 501,110 shares during the period. Finally, UBS Group AG boosted its stake in shares of Navitas Semiconductor by 131.0% during the fourth quarter. UBS Group AG now owns 3,307,036 shares of the company's stock valued at $23,612,000 after purchasing an additional 1,875,228 shares during the period. 46.14% of the stock is owned by institutional investors.

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.

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