Navitas Semiconductor (NASDAQ:NVTS) Stock Price Up 4.6% - Should You Buy?

Key Points

• Navitas Semiconductor's stock price increased by 4.6% during trading, reaching a last price of $6.64 despite a significant drop in trading volume compared to average levels.
• Analysts have mixed opinions on the stock, with Deutsche Bank and Craig Hallum lowering their ratings to "hold" and setting target prices of $3.50 and $6.00, respectively, while Needham & Company LLC raised its target to $8.00.
• For the latest quarter, Navitas reported a revenue of $14.49 million, with a year-over-year decline of 29.2%, and a consensus estimate for the current year predicts an EPS of -0.51.

Navitas Semiconductor Corporation (NASDAQ:NVTS - Get Free Report) shot up 4.6% during trading on Thursday . The stock traded as high as $6.96 and last traded at $6.64. 10,316,957 shares changed hands during mid-day trading, a decline of 54% from the average session volume of 22,247,381 shares. The stock had previously closed at $6.35.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on NVTS. Deutsche Bank Aktiengesellschaft cut Navitas Semiconductor from a "buy" rating to a "hold" rating and set a $3.50 price objective for the company. in a research report on Tuesday, June 17th. Craig Hallum lowered shares of Navitas Semiconductor from a "buy" rating to a "hold" rating and set a $6.00 price target on the stock. in a research report on Tuesday. Morgan Stanley set a $4.40 target price on Navitas Semiconductor in a research report on Tuesday. Rosenblatt Securities reduced their price objective on Navitas Semiconductor from $10.00 to $8.00 and set a "buy" rating for the company in a research report on Tuesday. Finally, Needham & Company LLC restated a "buy" rating and set a $8.00 price objective (up from $3.00) on shares of Navitas Semiconductor in a research report on Tuesday. One research analyst has rated the stock with a sell rating, two have assigned a hold rating and three have given a buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $5.65.

Navitas Semiconductor Stock Performance

The company has a market cap of $1.30 billion, a price-to-earnings ratio of -10.45 and a beta of 3.02. The company's 50 day moving average price is $6.93 and its 200 day moving average price is $4.05.

Navitas Semiconductor (NASDAQ:NVTS - Get Free Report) last released its quarterly earnings results on Monday, August 4th. The company reported ($0.05) EPS for the quarter, hitting analysts' consensus estimates of ($0.05). The business had revenue of $14.49 million for the quarter, compared to analyst estimates of $14.43 million. Navitas Semiconductor had a negative return on equity of 18.16% and a negative net margin of 182.63%. Navitas Semiconductor's revenue for the quarter was down 29.2% on a year-over-year basis. During the same period in the prior year, the company earned ($0.07) EPS. As a group, analysts predict that Navitas Semiconductor Corporation will post -0.51 EPS for the current year.

Insiders Place Their Bets

In other news, CEO Eugene Sheridan sold 238,668 shares of the company's stock in a transaction on Friday, June 13th. The stock was sold at an average price of $7.50, for a total transaction of $1,790,010.00. Following the transaction, the chief executive officer owned 461,332 shares of the company's stock, valued at $3,459,990. This represents a 34.10% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Richard J. Hendrix sold 20,000 shares of Navitas Semiconductor stock in a transaction on Tuesday, June 10th. The stock was sold at an average price of $8.12, for a total transaction of $162,400.00. Following the sale, the director directly owned 45,456 shares of the company's stock, valued at $369,102.72. This represents a 30.55% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 15,084,600 shares of company stock valued at $99,761,157 over the last quarter. Company insiders own 29.90% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the company. Prospera Financial Services Inc bought a new position in shares of Navitas Semiconductor during the 2nd quarter worth approximately $191,000. Cornerstone Investment Partners LLC bought a new stake in Navitas Semiconductor during the 2nd quarter worth about $461,000. Redwood Wealth Management Group LLC acquired a new position in shares of Navitas Semiconductor during the 2nd quarter worth about $295,000. Kovack Advisors Inc. bought a new position in shares of Navitas Semiconductor in the 2nd quarter valued at about $102,000. Finally, Spire Wealth Management increased its position in shares of Navitas Semiconductor by 1,480.0% in the second quarter. Spire Wealth Management now owns 15,800 shares of the company's stock valued at $103,000 after acquiring an additional 14,800 shares during the last quarter. 46.14% of the stock is currently owned by institutional investors.

About Navitas Semiconductor

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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