How Low Can Navitas Stock Go?

Core Viewpoint - Navitas Semiconductor (NVTS) shares have experienced a significant decline of 9.9% in a single day, raising concerns about potential revenue reductions from deprioritized low-power products and broader geopolitical market tensions [1] Company Overview - Navitas Semiconductor is valued at $2.2 billion, with revenues of $57 million, and is currently trading at $10.17 [3] - The company specializes in gallium nitride (GaN) power ICs and energy-efficient semiconductor technologies [3] Financial Performance - The last 12-month revenue growth for Navitas Semiconductor is at -38.1%, and the operating margin stands at -181.4% [9] - The company has a debt-to-equity ratio of 0.0 and a cash-to-assets ratio of 0.35 [9] - Currently, shares are trading at a P/E multiple of -17.3 and a P/EBIT multiple of -34.9 [9] Stock Performance and Valuation - The stock has historically provided a median return of 26.7% within a year after sharp declines since 2010 [9] - NVTS stock has plunged 84.0% from a peak of $20.16 on November 15, 2021, to $3.22 on December 27, 2022, compared to a peak-to-trough decline of 25.4% for the S&P 500 [10] - The highest price achieved since the decline is $17.10 on October 20, 2025, with the current trading price at $10.17 [10] Market Resilience - Concerns arise regarding the resilience of NVTS stock if the markets decline further, with potential additional drops of 20-30% to $7 [5] - The stock has significantly underperformed compared to the S&P 500 index during various economic downturns, both in terms of the magnitude of decline and speed of recovery [5]