Navitas Semiconductor (NVTS) recently announced a partnership with NVIDIA to develop high-voltage power solutions tailored for AI data centers. This collaboration is driving renewed interest and positioning the company in a fast-growing segment of the tech industry.
See our latest analysis for Navitas Semiconductor.
Navitas’s share price has powered higher, climbing 33.4% over the past month and surging more than 135% year-to-date amid excitement for its AI data center pivot and the manufacturing shift to 8-inch wafers. The stock’s total shareholder return is also notable, up 223% over the past year, which signals strong momentum as investors speculate on growth potential and the value of its proprietary technology.
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After such a dramatic rise, investors are now faced with a key question: does Navitas still have room to run, or has the recent surge already priced in the potential from its new AI partnerships and manufacturing upgrades?
With Navitas trading at $8.23 at last close, the most widely followed narrative places its fair value at just $6.74. This spread sets up a clash between bullish expectations and analyst caution, hinting at ambitious forecasts built into the price.
The analysts have a consensus price target of $6.738 for Navitas Semiconductor based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $8.0, and the most bearish reporting a price target of just $4.4.
Read the complete narrative.
Want to spot what’s behind this valuation call? The narrative is powered by explosive multi-year revenue surges and a profit forecast that most companies can only dream about. Dive deeper to see the bold assumptions and razor-thin margins at the heart of this high-stakes fair value calculation.
Result: Fair Value of $6.74 (OVERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, persistent weakness in key markets and declining gross margins could quickly dampen the optimism surrounding Navitas’s projected growth trajectory.
Find out about the key risks to this Navitas Semiconductor narrative.
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