Navitas Semiconductor snapped a three-day losing streak on Wednesday, with nvts stock rising 18.32 percent to close at $22.99 a share after the company said it would spend the full three-day PCIM 2026 event in Nuremberg, Germany, pressing its case in higher-power markets. The company said its focus will include automotive, AI, humanoid robots, the evolution in data center power distribution, riding the SiC wave efficiently, and the future of GaN.
The move gave the stock a sharp rebound, but the business behind it is still under strain. Navitas more-than-doubled its first-quarter net loss to $33.78 million from $16.8 million a year earlier, while net revenues fell 38 percent to $8.6 million from $14 million. Revenue declined nearly 40 percent in the latest quarter, even as the company said its high-power revenue grew 35 percent year over year and its combined AI infrastructure business rose 50 percent sequentially in the first quarter of 2026.
Navitas makes gallium nitride and silicon carbide power semiconductors, and the company is trying to turn that technology mix into a larger role in AI data centers and related infrastructure. It said it will showcase its latest GaN and GeneSiC silicon carbide power semiconductors for AI data centers, energy and grid infrastructure, and industrial electrification, along with two solutions aimed at a faster transition to the 800 VDC standard using GaN and two SST topologies enabled by GeneSiC UHV and HV technology.
That push comes against a difficult financial backdrop. Navitas said its revenue decline reflected a deliberate exit from low-margin mobile and consumer business in China, a move that has helped reshape the mix but has not yet delivered scale. Gross margins started at 45 percent in 2021, dropped to 31 percent in 2022 as mobile volumes were sold at lower prices to fill fab capacity, recovered to 39 percent in 2023, and drifted back toward 31 percent by 2025 before the most recent quarter’s non-GAAP gross margin returned to 39 percent.
Investors have been willing to pay for the future anyway. Navitas shares are up roughly 1,000 percent over the past twelve months and 222 percent year to date, giving the company a market cap of just over $5 billion. A near-term mid-case model target over 4.6 years sits around $22, while an 8-year mid-case target is about $81. The company also has burned between $44 million and $66 million in free cash flow every year since going public, and has never posted a year of positive free cash flow.
The question now is whether the story can move from promise to production. Navitas was selected last year as a power semiconductor partner for NVIDIA’s next-generation 800V HVDC data center architecture, and it recently showcased its 800V-to-6V DC-DC power delivery board at NVIDIA GTC. It has also introduced a 20 kW 800V-to-6V GaNFast power delivery board for AI data centers, a 250-kW solid-state transformer solution for next-generation grid infrastructure, and expanded its fifth-generation 1200V SiC MOSFET lineup with compact packages for denser AI power systems. The company says its AI data center market could represent a potential $1.4 billion to $2.5 billion serviceable market by 2030, but the next proof point will be whether those designs turn into revenue fast enough to outrun the losses.
