Navitas Semiconductor (NVTS) AI Stock Analysis

• Market Cap: $1.75B
• Dividend Yield: N/A
• Average Volume (3M): 31.33M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: -25.65%
• EPS Growth: -130.95%
• Country: US
• Employees: 280
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.05
• Shares Outstanding: 213,107,280
• 10 Day Avg. Volume: 57,248,727
• 30 Day Avg. Volume: 31,330,325
• PEG Ratio: 0.17
• Price to Book (P/B): 1.87
• Price to Sales (P/S): 7.82
• P/FCF Ratio: -9.93
• Enterprise Value/Market Cap: 0.66
• Enterprise Value/Revenue: 16.86
• Enterprise Value/Gross Profit: 49.45
• Enterprise Value/Ebitda: -11.87
• 1Y Price Target: $7.38
• Price Target Upside: -10.33% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 52 Neutral
• Price Target: $8.50 ▲(3.28% Upside)

Navitas Semiconductor's overall stock score reflects significant financial challenges, including declining revenue and persistent losses. While technical indicators are positive, suggesting potential short-term gains, the company's negative valuation metrics and near-term revenue challenges weigh heavily on the score. Strategic shifts towards AI data centers offer long-term growth potential, but immediate financial and operational hurdles remain significant.

Positive Factors

Strategic Shift to AI Data Centers

This strategic shift positions Navitas in a high-growth sector, leveraging partnerships to capture emerging opportunities in AI infrastructure.

New GaN Foundry Partnership

The partnership with Powerchip enhances manufacturing capacity and cost efficiency, strengthening Navitas's competitive edge in GaN technology.

Capital Raise for Growth

The capital raise boosts financial resources to support strategic growth initiatives, particularly in AI data centers, enhancing long-term prospects.

Negative Factors

Declining Revenue

Stagnant revenue growth signals challenges in market penetration and product demand, impacting long-term financial health and operational success.

Operating Loss

Persistent operating losses indicate inefficiencies and financial strain, potentially hindering investment in growth and innovation.

Tariff Impact

Tariff impacts create revenue volatility and uncertainty, complicating strategic planning and market expansion efforts.

Navitas Semiconductor Business Overview & Revenue Model

Company Description

Navitas Semiconductor Corporation designs, develops, and sells gallium nitride (GaN) power integrated circuits in China, the United States, Taiwan, Korea, and internationally. The company was incorporated in 2013 and is based in Dublin, Ireland.

How the Company Makes Money

Navitas Semiconductor generates revenue primarily through the sale of its GaN-based power semiconductors and related products. The company's key revenue streams include direct sales to manufacturers and suppliers in various sectors such as consumer electronics, automotive, and renewable energy. Additionally, Navitas may engage in partnerships and collaborations with other technology firms to expand its product offerings and market reach. Licensing agreements and technology partnerships can also contribute to its earnings by providing access to new markets and applications for GaN technology. These factors, combined with ongoing innovation and product development, help Navitas Semiconductor to maintain its competitive position and drive revenue growth.

Navitas Semiconductor Financial Statement Overview

Summary

Navitas Semiconductor faces significant profitability challenges, with negative income metrics and volatile revenue trends. The balance sheet is a strength, with low leverage and strong equity, but negative cash flows necessitate focus on improving operational efficiency and revenue stabilization.

Income Statement

Navitas Semiconductor has shown a mixed performance in the income statement. The TTM data indicates a decrease in total revenue and gross profit, while the gross profit margin stands at approximately 39.0%, which is reasonable. However, the persistent negative net income and declining EBIT and EBITDA margins highlight ongoing profitability challenges. Revenue growth rate has been volatile, with a recent decline, signaling potential issues in maintaining consistent growth.

Balance Sheet

The balance sheet reflects a strong equity position with a healthy equity ratio of around 92.1%. The company has managed its leverage well with a low debt-to-equity ratio of approximately 0.02. However, the overall trends in total assets and liabilities suggest a need for cautious financial management to maintain stability.

Cash Flow

Cash flows indicate challenges with negative operating cash flow and free cash flow, impacting liquidity. The free cash flow growth rate has fluctuated, posing risks to financial flexibility. Nonetheless, the company maintains a positive cash balance, providing some buffer against short-term financial pressures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	68.17M	83.30M	79.46M	37.94M	23.74M	11.85M
Gross Profit	23.24M	28.34M	31.06M	11.95M	10.69M	3.71M
EBITDA	-96.84M	-66.80M	-97.15M	-109.90M	-67.75M	-18.29M
Net Income	-124.49M	-84.60M	-145.43M	73.91M	-152.69M	-19.04M
Balance Sheet
Total Assets	449.44M	389.98M	485.55M	425.26M	295.60M	48.51M
Cash, Cash Equivalents and Short-Term Investments	161.19M	86.74M	152.84M	110.34M	268.25M	38.87M
Total Debt	7.44M	7.32M	8.54M	6.57M	6.92M	5.97M
Total Liabilities	60.56M	41.97M	104.93M	40.50M	230.06M	120.93M
Stockholders Equity	388.88M	348.01M	380.62M	381.13M	65.54M	-72.42M
Cash Flow
Free Cash Flow	-62.72M	-65.59M	-44.88M	-49.14M	-43.77M	-20.85M
Operating Cash Flow	-60.82M	-58.82M	-40.10M	-44.50M	-41.70M	-20.63M
Investing Cash Flow	-1.85M	-9.27M	-5.78M	-107.61M	-3.47M	-215.00K
Financing Cash Flow	100.78M	3.50M	88.38M	-5.81M	274.55M	53.59M

Navitas Semiconductor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVTS, the sentiment is Positive. The current price of 8.23 is above the 20-day moving average (MA) of 7.18, above the 50-day MA of 6.71, and above the 200-day MA of 4.63, indicating a bullish trend. The MACD of 0.45 indicates Negative momentum. The RSI at 65.60 is Neutral, neither overbought nor oversold. The STOCH value of 56.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NVTS.

Navitas Semiconductor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVMI	81 Outperform	$8.90B	41.31	24.23%	―	43.69%	51.22%
VECO	70 Neutral	$1.67B	27.41	7.83%	―	-0.19%	-28.72%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
POWI	55 Neutral	$1.94B	58.82	4.68%	2.42%	7.16%	-21.24%
NVTS	52 Neutral	$1.75B	―	-32.05%	―	-25.65%	-130.95%
UCTT	50 Neutral	$1.16B	38.78	-19.47%	―	14.28%	-1644.64%
MXL	42 Neutral	$1.25B	―	-37.97%	―	-15.65%	-7.18%

Navitas Semiconductor Corporate Events

Navitas Semiconductor Appoints New CEO Amid Leadership Transition

Navitas Semiconductor announced the appointment of Chris Allexandre as President and CEO, effective September 1, 2025, succeeding founder Gene Sheridan. Allexandre’s extensive experience in the semiconductor industry positions Navitas for growth in AI data centers and energy infrastructure markets. Sheridan will assist in the transition, ensuring stability and continuity. The company also confirmed its financial guidance for the third quarter of 2025, maintaining market confidence during this leadership transition.

The most recent analyst rating on (NVTS) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on Navitas Semiconductor stock, see the NVTS Stock Forecast page.