NVTS Stock Forecast & Price Target

Navitas Semiconductor Corp is experiencing a strong demand for its ultra-efficient gallium nitride (GaN) semiconductors, particularly in utility-scale renewables, grid-tie, and solid-state transformer applications, which enhances its competitive edge. The company is projected to achieve a stable Non-GAAP gross margin of approximately 38.5%, with expectations for continued improvement as it shifts focus towards high-value markets such as AI data centers, energy, and industrial electrification. Additionally, with a robust cash position of around $160 million and no debt, management is optimistic about leveraging investments in the data center sector to drive significant revenue growth opportunities from 2027 onward.

Navitas Semiconductor Corp is facing significant revenue challenges, with 3QF25 results showing a 53% year-over-year decline, attributed mainly to tariff impacts and pricing pressures in the Chinese mobile market. The company's strategic pivot away from low-margin consumer markets has led to a bleak outlook for 4Q25, with guidance projecting revenues of only $7.0 million, marking a 61.1% year-over-year drop. As the transition away from mobile applications continues, further revenue declines are anticipated going into 2026, raising concerns about the company's ability to maintain competitiveness in an evolving market.