Navitas Semiconductor (NASDAQ:NVTS) Stock Price Down 18.2% – Time to Sell?

Navitas Semiconductor Corporation (NASDAQ:NVTS)’s share price was down 18.2% during trading on Friday . The stock traded as low as $24.38 and last traded at $25.08. Approximately 36,164,670 shares changed hands during trading, an increase of 25% from the average daily volume of 28,990,670 shares. The stock had previously closed at $30.67.

Navitas Semiconductor News Summary

Here are the key news stories impacting Navitas Semiconductor this week:

• Positive Sentiment: Navitas was highlighted as a key enabler of AI infrastructure, with commentary saying its technology helps address thermal bottlenecks in AI server racks by improving power delivery architecture. Navitas: NVIDIA’s AI Power Broker?
• Positive Sentiment: News that NVIDIA showcased Navitas technology at Computex continued to drive momentum, reinforcing the market’s view that NVTS could be a beneficiary of NVIDIA’s AI ecosystem. NVTS Stock Soars on NVIDIA Collaboration: Is More Upside Ahead?
• Positive Sentiment: Investors also reacted to the stock hitting an all-time high after the NVIDIA showcase, underscoring strong speculative and momentum-driven buying. Navitas (NVTS) Hits All-Time High — Nvidia May Hold the Reason
• Neutral Sentiment: Navitas completed a share issuance tied to triggering events, which adds shares to the float but appears to be a routine corporate action rather than a major business update. Navitas Semiconductor Completes Share Issuance for Triggering Events
• Negative Sentiment: Some commentary is questioning whether the stock’s valuation has run too far, suggesting the recent surge may have outpaced fundamentals and could be vulnerable to a pullback. Navitas: Nvidia Cannot Save This Valuation

Analysts Set New Price Targets

NVTS has been the topic of several recent research reports. Morgan Stanley reiterated an “underweight” rating and issued a $13.70 price objective on shares of Navitas Semiconductor in a research report on Wednesday, May 6th. Needham & Company LLC raised their price target on shares of Navitas Semiconductor from $13.00 to $21.00 and gave the company a “buy” rating in a research note on Wednesday, May 6th. Wall Street Zen upgraded shares of Navitas Semiconductor from a “sell” rating to a “hold” rating in a research note on Saturday, May 9th. Weiss Ratings downgraded Navitas Semiconductor from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Tuesday. Finally, Rosenblatt Securities increased their price objective on Navitas Semiconductor from $7.00 to $13.00 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Two analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $12.87.

Navitas Semiconductor Stock Down 18.2%

The firm has a market capitalization of $5.86 billion, a P/E ratio of -39.81 and a beta of 3.75. The business’s 50 day moving average is $17.64 and its two-hundred day moving average is $11.92.

Navitas Semiconductor (NASDAQ:NVTS) last released its earnings results on Tuesday, May 5th. The company reported ($0.04) EPS for the quarter, beating the consensus estimate of ($0.05) by $0.01. The firm had revenue of $8.60 million for the quarter, compared to analysts’ expectations of $8.22 million. Navitas Semiconductor had a negative net margin of 330.67% and a negative return on equity of 14.30%. Navitas Semiconductor’s quarterly revenue was down 38.7% on a year-over-year basis. During the same quarter last year, the company earned ($0.06) EPS. As a group, equities analysts anticipate that Navitas Semiconductor Corporation will post -0.39 earnings per share for the current fiscal year.

Insider Activity

In other Navitas Semiconductor news, Director Gary Kent Wunderlich, Jr. sold 35,165 shares of the company’s stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $28.14, for a total value of $989,543.10. Following the completion of the sale, the director directly owned 2,375,060 shares in the company, valued at $66,834,188.40. This represents a 1.46% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Chris Allexandre sold 13,323 shares of the stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $31.81, for a total value of $423,804.63. Following the transaction, the chief executive officer directly owned 1,072,633 shares of the company’s stock, valued at approximately $34,120,455.73. The trade was a 1.23% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 4,087,630 shares of company stock valued at $117,414,466 over the last 90 days. Corporate insiders own 12.40% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of NVTS. DNB Asset Management AS bought a new position in shares of Navitas Semiconductor during the 4th quarter valued at about $774,000. UBS Group AG raised its holdings in shares of Navitas Semiconductor by 131.0% in the 4th quarter. UBS Group AG now owns 3,307,036 shares of the company’s stock worth $23,612,000 after purchasing an additional 1,875,228 shares in the last quarter. Diversify Advisory Services LLC acquired a new stake in Navitas Semiconductor during the third quarter valued at approximately $960,000. Newbridge Financial Services Group Inc. boosted its holdings in Navitas Semiconductor by 1,425.5% during the fourth quarter. Newbridge Financial Services Group Inc. now owns 132,874 shares of the company’s stock worth $949,000 after buying an additional 124,164 shares in the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Navitas Semiconductor during the fourth quarter worth approximately $484,000. 46.14% of the stock is owned by institutional investors and hedge funds.

About Navitas Semiconductor

Navitas Semiconductor is a fabless semiconductor company specialized in gallium nitride (GaN) power integrated circuits. The company’s core mission centers on delivering high-efficiency, high-power-density power solutions that address the needs of modern electronic devices, ranging from fast chargers for consumer electronics to industrial and automotive power systems.

Navitas offers a portfolio of GaNFast power ICs designed to replace traditional silicon-based power components. These products integrate GaN transistors, drivers and protection features into single-chip solutions, enabling faster charging, reduced energy loss and smaller power supply footprints.