Navitas Semiconductor (NVTS) AI Stock Analysis

• Market Cap: $1.77B
• Dividend Yield: N/A
• Average Volume (3M): 17.44M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.58
• Revenue Growth: -38.06%
• EPS Growth: -50.14%
• Country: US
• Employees: 280
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.05
• Shares Outstanding: 230,496,190
• 10 Day Avg. Volume: 14,861,849
• 30 Day Avg. Volume: 17,437,956
• 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: 0.79
• Enterprise Value/Revenue: 24.63
• Enterprise Value/Gross Profit: 324.78
• Enterprise Value/Ebitda: -16.05
• 1Y Price Target: $8.80
• Price Target Upside: 14.88% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): -0.21
• Revenue Forecast (FY): $45.55M

• Rating: 48 Neutral
• Price Target: $9.50 ▲(24.02% Upside)

Navitas Semiconductor's overall stock score reflects significant financial challenges, with declining revenue and profitability being the most impactful factors. While technical analysis and valuation present mixed signals, the strategic transformation and recent corporate events offer potential long-term growth opportunities. The company's strong cash position and strategic partnerships provide a foundation for future success, but near-term financial performance remains a concern.

Positive Factors

Strategic Partnerships

The partnership aims to advance GaN technology in India, establishing a robust ecosystem, which could enhance market reach and innovation.

Strong Cash Position

A strong cash position provides financial flexibility to support strategic pivots and withstand market fluctuations, ensuring long-term stability.

Strategic Shift to High-Power Markets

Focusing on high-growth sectors like AI and energy infrastructure can drive future revenue growth and improve margins, aligning with global trends.

Negative Factors

Declining Revenue

Continued revenue decline indicates challenges in market demand or competitive positioning, potentially impacting long-term growth prospects.

Negative Profitability Metrics

Substantial losses and negative margins suggest inefficiencies and cost pressures, which could hinder sustainable profitability and growth.

Operational Inefficiencies

Operational inefficiencies and cash generation issues highlight the need for strategic improvements to enhance financial health and operational performance.

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 power semiconductor products, specifically gallium nitride (GaN) integrated circuits and related applications. The company’s revenue model is based on direct sales to original equipment manufacturers (OEMs) and distributors in various sectors, including consumer electronics, automotive, and renewable energy. Key revenue streams include the sale of power ICs for fast chargers, power management ICs for electric vehicles, and GaN technology solutions for renewable energy applications. Strategic partnerships with major technology companies and OEMs further enhance Navitas's market presence, allowing the company to secure long-term contracts and increase its distribution network, thereby contributing significantly to its overall earnings.

Navitas Semiconductor Financial Statement Overview

Summary

Navitas Semiconductor faces significant financial challenges. The income statement shows declining revenue and profitability, with a negative net profit margin and EBIT margin. The balance sheet indicates low leverage but negative returns on equity. Cash flow analysis highlights operational inefficiencies and cash generation issues, necessitating strategic improvements.

Income Statement

Navitas Semiconductor's income statement reveals significant challenges. The company is experiencing a declining revenue trend with a negative revenue growth rate of -16.97% TTM. Profitability metrics are concerning, with a negative net profit margin of -220.85% and EBIT margin of -192.98% TTM, indicating substantial losses. The gross profit margin has also decreased over time, reflecting pressure on cost management. Overall, the income statement highlights a need for strategic improvements to reverse the declining revenue and profitability trends.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio of 0.0187 TTM, suggesting conservative leverage. However, the return on equity is negative at -34.49% TTM, indicating inefficiencies in generating returns for shareholders. The equity ratio stands at a moderate level, reflecting a stable capital structure. Despite low leverage, the negative ROE and declining equity value highlight challenges in achieving profitability and growth.

Cash Flow

Cash flow analysis indicates a negative free cash flow growth rate of -7.06% TTM, pointing to cash generation challenges. The operating cash flow to net income ratio is negative, reflecting operational inefficiencies. However, the free cash flow to net income ratio is positive at 1.04 TTM, suggesting some ability to cover net losses with free cash flow. Overall, the cash flow statement underscores the need for improved cash management and operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.60M	83.30M	79.46M	37.94M	23.74M	11.85M
Gross Profit	4.29M	28.34M	31.06M	11.95M	10.69M	3.71M
EBITDA	-86.85M	-66.80M	-97.15M	-115.80M	-67.75M	-18.29M
Net Income	-125.00M	-84.60M	-145.43M	73.91M	-152.69M	-19.04M
Balance Sheet
Total Assets	430.21M	389.98M	485.55M	425.26M	295.60M	48.51M
Cash, Cash Equivalents and Short-Term Investments	150.55M	86.74M	151.89M	110.34M	268.25M	38.87M
Total Debt	8.94M	7.32M	8.54M	6.57M	6.92M	5.97M
Total Liabilities	59.22M	41.97M	104.93M	40.50M	230.06M	120.93M
Stockholders Equity	370.99M	348.01M	380.62M	381.13M	65.54M	-72.42M
Cash Flow
Free Cash Flow	-46.97M	-65.59M	-46.16M	-49.14M	-43.77M	-20.85M
Operating Cash Flow	-44.97M	-58.82M	-41.38M	-44.50M	-41.70M	-20.63M
Investing Cash Flow	-1.95M	-9.27M	-5.78M	-107.61M	-3.47M	-215.00K
Financing Cash Flow	99.53M	3.50M	89.66M	-5.81M	274.55M	53.59M

Navitas Semiconductor Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVTS, the sentiment is Negative. The current price of 7.66 is below the 20-day moving average (MA) of 8.45, below the 50-day MA of 10.12, and above the 200-day MA of 6.40, indicating a neutral trend. The MACD of -0.43 indicates Positive momentum. The RSI at 40.70 is Neutral, neither overbought nor oversold. The STOCH value of 21.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	$10.19B	43.83	23.58%	―	39.37%	40.87%
VECO	70 Neutral	$1.78B	35.68	6.12%	―	-3.90%	-41.66%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
POWI	61 Neutral	$2.05B	118.06	2.53%	2.27%	10.50%	-52.00%
MXL	60 Neutral	$1.55B	-8.44	-35.16%	―	7.53%	22.97%
UCTT	52 Neutral	$1.19B	―	-20.61%	―	6.65%	-4652.36%
NVTS	48 Neutral	$1.77B	-11.98	-33.25%	―	-38.06%	-50.14%

Navitas Semiconductor Corporate Events

Navitas Semiconductor Partners with GlobalFoundries for GaN Tech

On November 20, 2025, Navitas Semiconductor and GlobalFoundries announced a strategic partnership to enhance U.S.-based GaN technology and manufacturing. This collaboration aims to deliver advanced GaN solutions for high-power applications, including AI datacenters and energy infrastructure, leveraging GF’s manufacturing capabilities and Navitas’ expertise in GaN innovation. The partnership is expected to bolster U.S. semiconductor leadership and support national security and competitiveness while promoting decarbonization in energy and compute platforms.

Navitas Semiconductor Secures $100 Million in Private Placement

On November 7, 2025, Navitas Semiconductor Corporation entered into a securities purchase agreement with accredited investors for a private placement of 14,814,813 shares of Class A common stock, closing on November 10, 2025. The company raised approximately $100 million in gross proceeds, which it intends to use for working capital and general corporate purposes, potentially impacting its operational capabilities and market positioning.

Navitas Semiconductor Raises $100M for Expansion

On November 7, 2025, Navitas Semiconductor announced a private placement of common stock, raising approximately $100 million to support its Navitas 2.0 strategy. This capital will accelerate the company’s expansion into high-power markets, enhancing its growth and value creation in sectors such as AI data centers and industrial electrification.

Navitas Semiconductor Announces Q3 Results and Strategic Shift

On November 3, 2025, Navitas Semiconductor announced its third-quarter financial results, highlighting a strategic pivot towards high-power markets with GaN and high-voltage SiC technologies. Despite a decrease in revenue to $10.1 million compared to the previous year, Navitas is focusing on high-growth, higher-margin markets, reallocating resources, and enhancing its product roadmap to capitalize on global megatrends. The company has been recognized by NVIDIA as a power semiconductor partner, underscoring its leadership in enabling efficient and high-performance power architectures. The strategic shift is expected to create long-term value for stakeholders, although it involves significant operational and market risks.