Navitas Semiconductor (NASDAQ:NVTS) Stock Price Down 12.1% After Analyst Downgrade

Key Points

• Navitas Semiconductor's stock dropped 12.1% after an analyst downgrade from buy to neutral by Rosenblatt Securities, setting a new price target of $12.00.
• Over the last three months, insiders have sold a total of 2,705,596 shares while the stock remains 58% owned by institutional investors.
• The company reported a 29.2% decline in quarterly revenue year-over-year, with projected earnings of -0.51 per share for the current fiscal year.

Navitas Semiconductor Corporation (NASDAQ:NVTS - Get Free Report) shares dropped 12.1% during mid-day trading on Tuesday after Rosenblatt Securities downgraded the stock from a buy rating to a neutral rating. Rosenblatt Securities now has a $12.00 price target on the stock, up from their previous price target of $4.00. Navitas Semiconductor traded as low as $14.74 and last traded at $15.03. Approximately 58,765,377 shares changed hands during mid-day trading, an increase of 123% from the average daily volume of 26,368,266 shares. The stock had previously closed at $17.10.

A number of other brokerages have also recently issued reports on NVTS. CJS Securities cut Navitas Semiconductor from an "outperform" rating to a "market perform" rating in a report on Monday, August 18th. Morgan Stanley set a $4.40 target price on Navitas Semiconductor in a report on Tuesday, August 5th. Needham & Company LLC reiterated a "buy" rating and issued a $8.00 target price on shares of Navitas Semiconductor in a report on Tuesday, August 26th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Navitas Semiconductor in a report on Wednesday, October 8th. Finally, Craig Hallum cut Navitas Semiconductor from a "buy" rating to a "hold" rating and set a $6.00 target price on the stock. in a report on Tuesday, August 5th. Two equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $6.32.

Insiders Place Their Bets

In related news, Director Brian Long sold 500,000 shares of the stock in a transaction on Monday, September 15th. The stock was sold at an average price of $6.11, for a total value of $3,055,000.00. Following the completion of the sale, the director directly owned 1,715,395 shares of the company's stock, valued at approximately $10,481,063.45. This represents a 22.57% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Ranbir Singh purchased 18,645,603 shares of the stock in a transaction that occurred on Monday, July 28th. The stock was bought at an average cost of $8.79 per share, with a total value of $163,894,850.37. Following the completion of the transaction, the director directly owned 18,645,603 shares in the company, valued at $163,894,850.37. The trade was a ∞ increase in their position. The disclosure for this purchase can be found here. Insiders sold a total of 2,705,596 shares of company stock valued at $16,096,333 over the last three months. 29.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Navitas Semiconductor

Several large investors have recently made changes to their positions in the business. CWM LLC increased its position in shares of Navitas Semiconductor by 24.7% during the 3rd quarter. CWM LLC now owns 4,515 shares of the company's stock valued at $33,000 after purchasing an additional 893 shares during the last quarter. Captrust Financial Advisors increased its position in shares of Navitas Semiconductor by 3.8% during the 2nd quarter. Captrust Financial Advisors now owns 45,758 shares of the company's stock valued at $300,000 after purchasing an additional 1,667 shares during the last quarter. Ameritas Investment Partners Inc. increased its position in shares of Navitas Semiconductor by 20.8% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 13,678 shares of the company's stock valued at $90,000 after purchasing an additional 2,352 shares during the last quarter. Cranbrook Wealth Management LLC increased its position in shares of Navitas Semiconductor by 72.5% during the 3rd quarter. Cranbrook Wealth Management LLC now owns 6,637 shares of the company's stock valued at $48,000 after purchasing an additional 2,789 shares during the last quarter. Finally, NewEdge Advisors LLC increased its position in shares of Navitas Semiconductor by 189.8% during the 2nd quarter. NewEdge Advisors LLC now owns 4,492 shares of the company's stock valued at $29,000 after purchasing an additional 2,942 shares during the last quarter. 46.14% of the stock is owned by hedge funds and other institutional investors.

Navitas Semiconductor Trading Down 12.1%

The stock has a market capitalization of $3.20 billion, a PE ratio of -23.12 and a beta of 3.03. The firm has a 50-day moving average price of $7.55 and a 200-day moving average price of $5.85.

Navitas Semiconductor (NASDAQ:NVTS - Get Free Report) last posted its quarterly earnings results on Monday, August 4th. The company reported ($0.05) earnings per share for the quarter, hitting the consensus estimate of ($0.05). The company had revenue of $14.49 million during the quarter, compared to the consensus estimate of $14.43 million. Navitas Semiconductor had a negative return on equity of 18.16% and a negative net margin of 182.63%.The firm's quarterly revenue was down 29.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.07) EPS. Navitas Semiconductor has set its Q3 2025 guidance at EPS. Sell-side analysts expect that Navitas Semiconductor Corporation will post -0.51 earnings per share for the current fiscal year.

Navitas Semiconductor Company Profile

Navitas Semiconductor Corporation designs, develops, and markets gallium nitride power integrated circuits, silicon carbide, associated high-speed silicon system controllers, and digital isolators used in power conversion and charging. The company's products are used in mobile, consumer, data center, solar, electric vehicle, industrial motor drive, smart grid, and transportation applications.

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