Navitas Semiconductor (NVTS) Valuation Check After New SiC Launches and Strategic GlobalFoundries GaN Partnership

Navitas Semiconductor (NVTS) just gave investors fresh tech and manufacturing catalysts by rolling out new 3300V and 2300V SiC devices with its AEC Plus reliability benchmark, alongside a long term GaN partnership with GlobalFoundries.

See our latest analysis for Navitas Semiconductor.

The new SiC launches and recent GlobalFoundries and WT Micro partnerships come after a sharp run, with the share price returning 149 percent year to date and 130.5 percent total shareholder return over 12 months. This suggests momentum is still firmly with the bulls despite a softer 1 month share price return.

If Navitas has you rethinking where the next wave of power and AI demand could land, this might be a good moment to explore other high growth tech and AI stocks that are starting to break out.

With shares trading near analyst targets after a blistering run, yet profits still deep in the red, investors face a key question: is Navitas an underappreciated power and AI enabler, or has the market already priced in its next leg of growth?

Most Popular Narrative: 5% Overvalued

With Navitas closing at $8.69 against a narrative fair value of $8.28, the current setup leans rich and hinges on ambitious growth unlocking premium multiples.

The company reported a $450 million backlog of design wins, expected to transition into revenue in the coming years. This high win rate provides increased visibility for future growth and is likely to positively impact revenue and earnings.

Read the complete narrative.

Want to see what kind of revenue climb and margin shift are assumed to turn that backlog into today’s valuation math? The narrative leans on aggressive scaling, a sharp profitability swing and a future earnings multiple more often reserved for market darlings. Curious how those moving parts fit together into one price tag? Dive in to see the precise assumptions behind that fair value line.

Result: Fair Value of $8.28 (OVERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, softer demand across EV, solar and industrial markets, as well as investor fatigue with extended 800V data center timelines, could quickly unwind today’s premium narrative.

Find out about the key risks to this Navitas Semiconductor narrative.

Build Your Own Navitas Semiconductor Narrative

If you are not fully convinced by this storyline or prefer building from your own due diligence, craft a personalized thesis in under three minutes: Do it your way.

A great starting point for your Navitas Semiconductor research is our analysis highlighting 1 key reward and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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