How Much Higher Can Nvidia Take Navitas Semiconductor Stock?

Core Insights - Navitas Semiconductor (NVTS) shares increased over 25% following an update on its partnership with Nvidia (NVDA), which has selected Navitas as a key supplier for its next-generation high-voltage artificial intelligence factory architecture [1][3] - The stock has risen approximately 700% from its year-to-date low in early April, indicating strong market performance [2] - Successful integration of Navitas' gallium nitride (GaN) and silicon carbide (SiC) semiconductors into Nvidia's new 800V AI architecture has validated their performance and scalability for multi-megawatt AI workloads [3][4] Company Positioning - The progress in the partnership signifies real commercial traction, enhancing investor confidence in Navitas' role in the AI infrastructure boom [4] - With increasing demand for energy-efficient power solutions, Navitas is establishing itself as a core supplier to Nvidia, positively impacting its growth outlook [4] Market Expectations - Options traders are optimistic about further upside for NVTS shares, with near-term contracts suggesting a potential rise to $15.78 and longer-dated contracts indicating a possible increase to $19.31 by January 2026 [5] - The upcoming quarterly earnings release on November 3 is anticipated to show a loss of $0.09 per share, which is 25% less than the same quarter last year, while the current price-sales (P/S) multiple of 21x is considered relatively inexpensive for an AI stock [6] Wall Street Perspective - Wall Street analysts believe that much of the potential upside related to the Nvidia partnership is already reflected in Navitas' stock price [8]