10 Best Semiconductor Penny Stocks To Invest In Right Now

6. Navitas Semiconductor Corporation (NASDAQ:NVTS)

Number of Hedge Fund Holders In Q3 2024: 8

Navitas Semiconductor Corporation (NASDAQ:NVTS) is an American semiconductor company that specializes in designing and selling power management products. Its products are used across a variety of applications such as data centers, electric vehicles, and solar systems. As a result, if you followed the intro to this piece, you wouldn’t be surprised to know that Navitas Semiconductor Corporation (NASDAQ:NVTS)’s shares are down 68% year-to-date. The firm has had a tough year which has seen it miss guidance estimates. Its third-quarter earnings marked the fourth consecutive time that it failed to meet its guidance. Consequently, Navitas Semiconductor Corporation (NASDAQ:NVTS)’s hypothesis is dependent on the recovery of power management demand in industrial markets and a broader economic recovery.

Navitas Semiconductor Corporation (NASDAQ:NVTS)’s management shared insights about its market observations during the Q3 2024 earnings call. Here is what they said:

“We’ve also increased our organizational focus on our three most strategic markets. AI data center, mobile and EV. We believe these three markets utilizing our industry leading GaN and silicon carbide technology along with complementary silicon controllers and isolators will be our largest revenue drivers over the coming years.

The technologies we create for these markets will have significant opportunities for cross selling into industrial, appliance, consumer, solar and energy storage markets. Looking forward, given continued softness in some of our end markets, combined with a couple of customer project delays, we anticipate a more muted outlook for the next couple of quarters. However, with the strength of our $1.6 billion plus customer pipeline and continued design win momentum, we expect solid growth to resume later next year. In addition, today’s announcements of our new low-voltage GaN technology, a dual sourcing partnership with Infineon and creation of a more efficient and focused organization all set Navitas on an improved path to growth and profitability.”