Navitas Semiconductor Overview
Navitas Semiconductor (NASDAQ: NVTS), specializing in gallium nitride (GaN) and silicon carbide (SiC) chips, went public via a SPAC merger on October 21, 2021. The stock opened at $13, peaked at $22.19 within a month, but fell to a low of $1.52 on April 4, 2025. Currently, shares trade around $7, following a partnership with Nvidia (NASDAQ: NVDA) for AI data centers.
Financial Performance and Projections
Navitas reported revenue growth from $37.9 million in 2022 to $79.5 million in 2023, but growth stalled in 2024 at $83.3 million, with adjusted EBITDA remaining negative. Analysts forecast a 7% CAGR revenue growth from 2024 to 2027, although EBITDA is expected to stay negative. The company’s enterprise value stands at $1.27 billion, translating to 26 times sales.
Market Position and Competitive Landscape
Navitas has positioned itself advantageously as a fabless semiconductor maker, differentiating itself from competitors like Wolfspeed (NYSE: WOLF), which filed for bankruptcy in June 2023. The upcoming expansion of its Nvidia partnership could potentially drive future revenue growth despite current challenges such as tariffs and a retreat from lower-margin markets.
