5 Small Publicly Traded Semiconductor Companies

1. Navitas Semiconductor Corporation (NASDAQ:NVTS)

Market capitalization as of March 3: $ 876.75 million
Number of hedge fund holders: 3

Navitas Semiconductor Corporation (NASDAQ:NVTS) designs, develops, and markets gallium nitride (GaN) power integrated circuits (ICs) used in power conversion and charging. The company operates in Asia, Europe, and North America, with the main offices in Torrance, California, United States. Navitas Semiconductor Corporation (NASDAQ:NVTS) stock is up 11.86% over the past month, up 20.61% over the past six months, and up 75.07% year-to-date. Navitas’ financials indicate the company is doing well, with a 6.82x price-to-earnings (PE) ratio for the full year 2022. The PE ratio for the trailing twelve months (TTM) is 10.299x.

Unlike other semiconductor companies, even the big ones like Intel and TSMC, Navitas Semiconductor Corporation (NASDAQ:NVTS) uses GaN technology to make ICs and power semiconductors. GaN technology is not only groundbreaking but also unique – the standard technology for making traditional chips uses silicon. Unlike silicon, gallium nitride-based semiconductors are more efficient, smaller in size, perform better, and enhance sustainability. As a result, Navitas has an edge in this niche, making it potentially a major player in the semiconductor industry in the future.

Deutsche Bank analyst Ross Seymore reaffirmed a Buy rating on Navitas Semiconductor Corporation (NASDAQ:NVTS)’s shares on February 24, following the Q4 results, and raised the price target from $6 to $8. Seymore anticipated that investors could reap the benefits of a re-acceleration in the company’s business, driven by an expanding range of drivers.

As of the end of the fourth quarter of 2022, 3 hedge funds in Insider Monkey’s database held stakes in Navitas Semiconductor Corporation (NASDAQ:NVTS), a decrease compared to 6 funds in the preceding quarter.

Baron Funds, an investment management company, mentioned Navitas Semiconductor Corporation (NASDAQ:NVTS) in its third quarter 2022 investor letter. Here is what the fund said:

“During the quarter, we purchased additional shares of Navitas Semiconductor Corporation (NASDAQ:NVTS), a leader in gallium nitride (GaN) power semiconductors. We took advantage of what we believe to be a dislocation in the stock due to near-term weakness in mobile phone demand, especially in China. Navitas’ GaN products continue to see strong share gains driven by its monolithically integrated GaN power ICs (full power systems on a single chip), which provide greater reliability and performance compared to competitors who supply discrete (non-integrated) power devices. Navitas also remains on track with its higher-power products targeting data center, renewable energy, and automotive end-markets in the coming years. Additionally, the company recently acquired GeneSiC, a small and rapidly growing silicon carbide (SiC) power semiconductor designer, which is already shipping its SiC products into Navitas’ targeted higher-power endmarkets and can leverage Navitas’ existing global organization to accelerate growth. GaN and SiC are highly complementary products, and Navitas is now the only pure-play one-stop-shop for these energy efficient next generation power semiconductors. As GaN and SiC power devices continue to take market share from silicon-based products due to their improved efficiency, size, and power density, Navitas will disproportionately benefit as a technology leader, and we believe the current stock price does not reflect the tremendous growth opportunity over the coming decade.”

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