Traders Buy High Volume of Call Options on Navitas Semiconductor (NASDAQ:NVTS)

Key Points

• Traders purchased a high volume of 67,391 call options for Navitas Semiconductor, marking a 43% increase from the average daily volume.
• Shares of Navitas Semiconductor surged by 12.7% to reach $8.23 during trading, with a volume significantly higher than average.
• Insider activity showed Director Ranbir Singh acquired over 18.6 million shares worth approximately $163.9 million, indicating strong confidence in the company.

Navitas Semiconductor Corporation (NASDAQ:NVTS - Get Free Report) was the recipient of some unusual options trading on Thursday. Stock traders acquired 67,391 call options on the stock. This is an increase of 43% compared to the average daily volume of 47,053 call options.

Navitas Semiconductor Stock Up 12.7%

Shares of NVTS traded up $0.93 during mid-day trading on Thursday, reaching $8.23. The company's stock had a trading volume of 52,484,540 shares, compared to its average volume of 21,616,076. The business has a fifty day moving average of $6.68 and a 200 day moving average of $5.02. The company has a market cap of $1.75 billion, a price-to-earnings ratio of -12.65 and a beta of 3.03. Navitas Semiconductor has a 1 year low of $1.52 and a 1 year high of $9.48.

Navitas Semiconductor (NASDAQ:NVTS - Get Free Report) last released its earnings results on Monday, August 4th. The company reported ($0.05) earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of ($0.05). The company had revenue of $14.49 million during 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%.The company's revenue for the quarter was down 29.2% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.07) earnings per share. Navitas Semiconductor has set its Q3 2025 guidance at EPS. On average, analysts predict that Navitas Semiconductor will post -0.51 earnings per share for the current year.

Insider Activity at Navitas Semiconductor

In other news, Director Ranbir Singh acquired 18,645,603 shares of the company's stock in a transaction that occurred on Monday, July 28th. The stock was purchased at an average cost of $8.79 per share, with a total value of $163,894,850.37. Following the purchase, the director directly owned 18,645,603 shares of the company's stock, valued at approximately $163,894,850.37. This trade represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Brian Long sold 750,000 shares of the firm's stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $5.84, for a total value of $4,380,000.00. Following the completion of the transaction, the director directly owned 2,670,991 shares of the company's stock, valued at $15,598,587.44. The trade was a 21.92% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 2,705,596 shares of company stock valued at $16,096,333 over the last ninety days. 29.90% of the stock is currently owned by company insiders.

Institutional Trading of Navitas Semiconductor

Hedge funds and other institutional investors have recently modified their holdings of the company. Hsbc Holdings PLC raised its holdings in shares of Navitas Semiconductor by 980.4% during the first quarter. Hsbc Holdings PLC now owns 158,566 shares of the company's stock worth $323,000 after acquiring an additional 143,890 shares in the last quarter. Millennium Management LLC purchased a new stake in shares of Navitas Semiconductor during the fourth quarter worth $52,000. SCS Capital Management LLC purchased a new stake in shares of Navitas Semiconductor during the first quarter worth $567,000. Merit Financial Group LLC purchased a new stake in shares of Navitas Semiconductor during the first quarter worth $48,000. Finally, BNP Paribas Financial Markets purchased a new stake in shares of Navitas Semiconductor during the fourth quarter worth $52,000. 46.14% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research analysts have commented on NVTS shares. Deutsche Bank Aktiengesellschaft lowered Navitas Semiconductor from a "buy" rating to a "hold" rating and set a $3.50 price objective on the stock. in a research report on Tuesday, June 17th. Craig Hallum lowered Navitas Semiconductor from a "buy" rating to a "hold" rating and set a $6.00 price objective for the company. in a report on Tuesday, August 5th. Rosenblatt Securities reissued a "buy" rating and issued a $8.00 price objective on shares of Navitas Semiconductor in a report on Tuesday, August 26th. Needham & Company LLC restated a "buy" rating and issued a $8.00 target price on shares of Navitas Semiconductor in a research note on Tuesday, August 26th. Finally, Morgan Stanley set a $4.40 target price on Navitas Semiconductor in a research note on Tuesday, August 5th. Three equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $5.65.

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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