NVTS Stock Forecast & Price Target

Navitas Semiconductor Corp is poised for a positive outlook due to its strategic focus on high-growth sectors, specifically in data centers and industrial electrification, alongside rising demand in utility-scale renewables and solid-state transformer applications. The company projects a Non-GAAP gross margin of approximately 38.5%, with expected improvements as it shifts its product mix towards higher-value markets, indicating strong profitability potential. Additionally, with a cash position of around $160 million and no debt, Navitas is well-positioned to navigate market transitions and capitalize on long-term electrification trends that promise sustainable revenue growth into 2027 and beyond.

Navitas Semiconductor Corp has reported significant revenue declines, with 3QF25 revenue decreasing by 53% year-over-year and 30% quarter-over-quarter, primarily due to tariff impacts in China and shifting away from low-margin consumer markets. The company has guided for a further downturn in revenue for 4Q25, projecting a midpoint of $7.0M, which represents a 30.7% sequential decline and a staggering 61.1% year-over-year decrease, highlighting challenges in maintaining market demand. Furthermore, management anticipates continued revenue losses, especially in the mobile sector, as it transitions its focus to high-growth markets, raising concerns about long-term market share and competitiveness.