Here's Why Navitas Semiconductor Shares Soared in June (Hint: It's Nvidia Related)

Core Viewpoint - Navitas Semiconductor's stock has surged significantly due to its partnership with Nvidia, which positions the company to play a crucial role in the development of next-generation data centers expected to launch in 2027 [2][5]. Group 1: Stock Performance - Shares in Navitas Semiconductor increased by 28.4% in June and are up more than 80% year to date [1]. Group 2: Partnership and Technology - The partnership with Nvidia is pivotal for Navitas, as it will contribute to the architecture of new data centers that will be more efficient and reliable [2][3]. - Navitas' GaN chips will convert 800-volt HVDC to lower voltages for Nvidia's graphics processing units, while its SiC chips will convert 13.8 kilovolt AC power from the grid to 800-volt HVDC [4]. Group 3: Market Demand - There is optimism regarding ongoing capital spending on data centers and demand from AI applications, with major companies like Microsoft and Alphabet continuing their investment plans despite trade tariff conflicts [6]. - Anecdotal evidence suggests that investment in data centers remains strong [7]. Group 4: Future Outlook - Navitas is expected to experience aggressive sales growth in 2026, leading up to the launch of the new data centers in 2027, with Nvidia's progress on its architecture being a key driver for the stock price [9].