Navitas Semiconductor Corporation (NASDAQ: NVTS) saw a significant increase in its share price on Tuesday, rising by 11%. The stock reached a high of $9.92 and closed at $10.0450, up from its previous closing price of $9.05. During mid-day trading, approximately 44,827,245 shares changed hands, representing a 13% increase from the average session volume of 39,707,230 shares.
Analysts Boost Ratings and Price Targets
The surge in Navitas’ stock price comes after several prominent research analysts issued updated ratings. On November 4, Needham & Company LLC raised its price target for Navitas Semiconductor from $8.00 to $13.00, assigning a “buy” rating. Jefferies Financial Group also upgraded its rating to “hold” on October 28. In contrast, Rosenblatt Securities maintained a “neutral” rating with a price target of $8.00. Weiss Ratings provided a more cautious view, issuing a “sell (d-)” rating on October 8. Currently, two analysts have rated the stock as a buy, five as hold, and two as sell, leading to an overall consensus rating of “hold” with an average target price of $6.48, according to data from MarketBeat.com.
Quarterly Earnings and Trends
Navitas Semiconductor recently reported its quarterly earnings on November 3. The company posted earnings per share (EPS) of ($0.05), aligning with analyst expectations. Despite this, the firm reported a negative return on equity of 14.86% and a net margin of -220.85%. The revenue for the quarter was $10.11 million, slightly exceeding analyst estimates of $10.00 million, although this reflects a significant year-over-year decrease of 53.4%. Analysts predict that Navitas will report an EPS of ($0.51) for the current year.
In recent insider trading activity, Director Ranbir Singh sold 179,354 shares on December 12 at an average price of $8.68, amounting to approximately $1,556,792.72. Following this sale, Singh’s holdings in the company decreased by 31.55%. Another director, Brian Long, sold 48,165 shares on December 3 for about $409,402.50. Over the past three months, insiders have sold a total of 3,426,898 shares valued at $29,360,063. Currently, insiders own 29.90% of the company.
Institutional Investor Activity
Recent changes in institutional ownership have also been noteworthy. Kingsview Wealth Management LLC acquired a new position in Navitas Semiconductor valued at approximately $385,000 during the second quarter. Cornerstone Investment Partners LLC also purchased shares worth about $461,000 in the same period. Geode Capital Management LLC increased its holdings by 3.9% during the second quarter, now owning 3,340,193 shares valued at $21,882,000. Other firms, including SCS Capital Management LLC and Journey Strategic Wealth LLC, have also made recent investments in Navitas. Collectively, hedge funds and institutional investors hold 46.14% of the stock.
Navitas Semiconductor is a fabless semiconductor company specializing in gallium nitride (GaN) power integrated circuits. The company focuses on providing high-efficiency power solutions for various electronic devices, from fast chargers for consumer electronics to industrial and automotive power systems. Its GaNFast power ICs are designed to replace traditional silicon-based components, promoting faster charging and reduced energy loss.
As analysts continue to evaluate Navitas Semiconductor, investors will be keen to see how the company’s performance evolves in the coming quarters, particularly in light of recent upgrades and ongoing market trends.
