Update shared on 21 Oct 2025
Fair value Increased 7.42%Analysts Cite Mixed Sentiment as Navitas Semiconductor Price Target Rises on Growth Prospects
Analysts have raised their price target for Navitas Semiconductor to $7.24 from $6.74, citing continued optimism about revenue growth and the company's strategic shift toward higher power applications. This adjustment comes despite some ongoing uncertainty in the market.
Analyst Commentary
Recent research reports on Navitas Semiconductor reflect a mix of optimism and caution from analysts, particularly as the company undergoes strategic shifts and responds to industry headwinds.
Bullish Takeaways- Bullish analysts have raised price targets for Navitas, indicating confidence in the company's potential to grow revenue, especially as it pivots toward higher power applications in Mobile, Data Center, and Energy Infrastructure markets.
- The ongoing reconfiguration in the Mobile business is viewed positively, with expectations that a focus on 100W+ applications positions the company to capture stronger, higher-margin opportunities.
- Despite near-term tariff uncertainties, there is belief that longer-term execution could yield outsized returns as Navitas capitalizes on new power architectures and end markets.
- Recent financial results, described as in line, support the narrative of stability and set a foundation for future growth aspirations.
- Some bearish analysts have expressed that expectations around the impact of new data center architectures may be ahead of current market trends, suggesting adoption could take longer than investors anticipate.
- Valuation remains an area of concern, with shares trading at notably high multiples relative to consensus long-term revenue forecasts, raising questions about risk-reward balance.
- There is skepticism regarding investor patience, as the anticipated inflection in new markets for Navitas may not materialize for the next two years, potentially testing shareholders' commitment in the interim.
- Lingering uncertainties around tariffs and mobile segment reconstruction are viewed as near-term headwinds that could compress estimates and slow momentum.
What's in the News
- GigaDevice and Navitas Semiconductor officially launched the Digital Power Joint Lab, achieving technological milestones such as 4.5kW and 12kW server power supply solutions and a highly efficient 500W single-stage PV micro-inverter for markets like AI data centers and energy storage systems (Key Developments).
- Navitas announced progress on next-generation 800 VDC GaN and SiC power devices designed to enable NVIDIA's new AI factory computing platforms. These devices address high-density power requirements in advanced data centers (Key Developments).
- Chris Allexandre was appointed as Chief Executive Officer, effective September 1, 2025, following the resignation of founding CEO Gene Sheridan. Sheridan will remain available to support the transition (Key Developments).
- The company provided third-quarter 2025 earnings guidance, expecting net revenues of $10.0 million, plus or minus $0.5 million. This outlook reflects tariff risks and a more selective mobile strategy (Key Developments).
- Navitas' GaNSense Control ICs were selected to power Xiaomi's next-generation 90W GaN charger, combining high efficiency and compact design features for consumer electronics (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly, increasing from $6.74 to $7.24 per share.
- Discount Rate edged down marginally from 10.08% to 10.06%.
- Revenue Growth forecast increased from 23.94% to 24.87%, reflecting higher expected expansion.
- Net Profit Margin expectation fell slightly, moving from 14.11% to 13.84%.
- Future P/E ratio estimate rose from 128.1x to 137.1x, indicating a higher valuation relative to projected earnings.
Disclaimer
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