Navitas Semiconductor initiated with a Market Perform at Northland

Northland initiated coverage of Navitas Semiconductor (NVTS) with a Market Perform rating and no price target. Navitas is a pure play supplier of GaN and SiC power devices and the firm believes the company is better positioned in the GaN market and is winning higher power designs in renewable energy and EVs. However the firm is “sidelined by valuation” and argues that the multiple paid in Renesas’ recent deal to purchase Transphorm (TGAN) suggests that Navitas is fairly valued.