Navitas Semiconductor (NASDAQ:NVTS) Releases Earnings Results

Navitas Semiconductor (NASDAQ:NVTS) announced its earnings results on Monday. The company reported ($0.04) earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of ($0.04), FiscalAI reports. Navitas Semiconductor had a negative net margin of 856.85% and a negative return on equity of 16.24%. The company had revenue of $10.53 million for the quarter, compared to analyst estimates of $9.97 million. During the same period in the prior year, the business earned ($0.25) earnings per share. Navitas Semiconductor’s quarterly revenue was down 27.3% on a year-over-year basis.

Here are the key takeaways from Navitas Semiconductor’s conference call:

• Revenue rose 22% sequentially to $10.5 million in Q2, while high-power markets grew more than 50% year over year. Management expects Q3 revenue of $13.5 million at the midpoint, up 28% sequentially and returning to year-over-year growth.
• Navitas said its transition to “Navitas 2.0” is nearly complete, with mobile and low-end consumer revenue expected to become insignificant by year-end. AI infrastructure is expected to contribute at least one-third of Q4 sales, supported by growing GaN and high-voltage SiC demand across data centers and grid infrastructure.
• Gross margin improved to 39.5% in Q2 and is expected to rise gradually as the mix shifts toward higher-value products and scale improves. The company also reported record book-to-bill and backlog extending beyond 2026, though it did not quantify the portion tied to committed 2027 programs.
• Navitas remains unprofitable, with a Q2 non-GAAP operating loss of $11.4 million, and plans to increase quarterly operating expenses by $1.0 million to $1.5 million for R&D, customer support, and operational readiness. The company raised approximately $373 million at an average share price of $21.89, strengthening its balance sheet but adding potential equity dilution, while separate patent litigation from Wolfspeed and Renesas creates additional uncertainty.

Navitas Semiconductor Stock Down 12.3%

NVTS stock opened at $10.01 on Wednesday. The business’s fifty day moving average is $19.64 and its 200-day moving average is $14.18. The company has a market cap of $2.34 billion, a P/E ratio of -7.53 and a beta of 3.82. Navitas Semiconductor has a twelve month low of $5.44 and a twelve month high of $34.17.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the stock. Wall Street Zen upgraded shares of Navitas Semiconductor from a “sell” rating to a “hold” rating in a research report on Saturday, May 9th. Morgan Stanley reiterated an “underweight” rating and issued a $12.60 price objective on shares of Navitas Semiconductor in a research report on Tuesday. Jefferies Financial Group set a $13.00 target price on Navitas Semiconductor in a research note on Tuesday. Weiss Ratings upgraded Navitas Semiconductor from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Wednesday, June 17th. Finally, Rosenblatt Securities reaffirmed a “neutral” rating and set a $13.00 price target on shares of Navitas Semiconductor in a research note on Tuesday. Two equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Navitas Semiconductor presently has an average rating of “Hold” and an average target price of $14.27.

Insider Buying and Selling

In other news, Director Richard J. Hendrix sold 110,165 shares of the business’s stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $28.96, for a total transaction of $3,190,378.40. Following the completion of the transaction, the director directly owned 101,709 shares in the company, valued at approximately $2,945,492.64. The trade was a 52.00% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Ranbir Singh sold 3,060,118 shares of the stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $29.29, for a total transaction of $89,630,856.22. Following the completion of the sale, the director owned 15,607,533 shares in the company, valued at $457,144,641.57. This represents a 16.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 3,989,478 shares of company stock valued at $116,356,387 over the last 90 days. Company insiders own 12.40% of the company’s stock.

Hedge Funds Weigh In On Navitas Semiconductor

Several institutional investors and hedge funds have recently made changes to their positions in the company. State Street Corp lifted its holdings in Navitas Semiconductor by 18.0% during the fourth quarter. State Street Corp now owns 8,597,950 shares of the company’s stock worth $61,389,000 after acquiring an additional 1,308,626 shares in the last quarter. Invesco Ltd. raised its position in shares of Navitas Semiconductor by 257.8% during the fourth quarter. Invesco Ltd. now owns 4,737,624 shares of the company’s stock worth $33,827,000 after purchasing an additional 3,413,394 shares during the period. Geode Capital Management LLC lifted its holdings in shares of Navitas Semiconductor by 12.8% during the 4th quarter. Geode Capital Management LLC now owns 4,417,408 shares of the company’s stock valued at $31,546,000 after purchasing an additional 501,110 shares in the last quarter. BNP Paribas Financial Markets grew its position in shares of Navitas Semiconductor by 90.0% in the 3rd quarter. BNP Paribas Financial Markets now owns 3,048,943 shares of the company’s stock valued at $22,013,000 after purchasing an additional 1,444,405 shares during the period. Finally, Marex Group plc grew its position in shares of Navitas Semiconductor by 22,203.8% in the 4th quarter. Marex Group plc now owns 2,675,113 shares of the company’s stock valued at $19,100,000 after purchasing an additional 2,663,119 shares during the period. Institutional investors and hedge funds own 46.14% of the company’s stock.

Trending Headlines about Navitas Semiconductor

Here are the key news stories impacting Navitas Semiconductor this week:

• Positive Sentiment: Revenue and guidance exceeded expectations. Second-quarter revenue was $10.53 million, above the $9.97 million consensus estimate, while the company guided for third-quarter revenue of $13 million to $14 million versus expectations of $11.1 million. Management also indicated that higher revenue should support margin improvement. NVTS Q2 Earnings Meet Estimates, Revenues Beat on High-Power Growth
• Positive Sentiment: AI infrastructure demand is strengthening. Navitas highlighted accelerating demand for power semiconductors used in AI data centers, where power bottlenecks are creating new opportunities. The company expects high-power markets to contribute more than one-third of annual revenue as it advances its “Navitas 2.0” strategy. Navitas Sees Accelerated Demand in Q2 Due to Power Bottlenecks in AI Infrastructure
• Positive Sentiment: Cash resources and analyst support provide some offset. Navitas reportedly ended the quarter with approximately $557.4 million in cash, supporting product development and expansion. Needham reaffirmed a Buy rating with a $21 price target, while Rosenblatt maintained a Neutral rating with a $13 target. Needham Reiterates Buy Rating on Navitas Semiconductor
• Neutral Sentiment: Navitas’ adjusted second-quarter loss of $0.04 per share matched consensus and improved from a $0.05 loss a year earlier, but quarterly revenue remained below the prior-year period. Navitas Semiconductor Reports Q2 Loss, Beats Revenue Estimates
• Negative Sentiment: Persistent losses overshadowed the revenue beat. Investors focused on Navitas’ substantial GAAP net loss, negative net margin and ongoing cash-burning profile, rather than its stronger outlook. The company continues to operate at a loss, making the stock highly sensitive to execution and growth expectations. Navitas Semiconductor falls on large loss despite Q2 revenue beat
• Negative Sentiment: New patent and trade-secret disclosures add risk. Navitas identified heightened litigation and intellectual-property risks that could lead to material legal expenses, financial liabilities or operational disruption. Patent and Trade Secret Battles Raise Material Legal and Financial Risk for Navitas Semiconductor

Navitas Semiconductor Company Profile

Navitas Semiconductor is a fabless semiconductor company specialized in gallium nitride (GaN) power integrated circuits. The company’s core mission centers on delivering high-efficiency, high-power-density power solutions that address the needs of modern electronic devices, ranging from fast chargers for consumer electronics to industrial and automotive power systems.

Navitas offers a portfolio of GaNFast power ICs designed to replace traditional silicon-based power components. These products integrate GaN transistors, drivers and protection features into single-chip solutions, enabling faster charging, reduced energy loss and smaller power supply footprints.