Baron Funds: “Navitas (NVTS) will Continue to See Strong Growth”

Baron Funds, an asset management firm, published its “Baron Discovery Fund” fourth quarter 2021 investor letter – a copy of which can be downloaded here. A quarterly return of 3.13% was delivered by the fund’s institutional shares for the fourth quarter of 2021, which was better than the Russell 2000 Growth Index’s 0.01% return, but below the S&P 500 Index’s gain of 11.03% for the same period. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Baron Discovery Fund, in its Q4 2021 investor letter, mentioned Navitas Semiconductor Corporation (NASDAQ: NVTS) and discussed its stance on the firm. Navitas Semiconductor Corporation is an Ireland-based semiconductor company with a $1.2 billion market capitalization. NVTS delivered a -40.27% return since the beginning of the year and it closed at $10.79 per share on January 20, 2022.

Here is what Baron Discovery Fund has to say about Navitas Semiconductor Corporation in its Q4 2021 investor letter:

“Navitas Semiconductor Corporation is the industry leader in gallium nitride (“GaN”) power semiconductors. The company’s shares rose during the quarter after its SPAC transaction closed. Navitas is seeing strong momentum in its mobile charger and consumer business driven by its monolithically integrated GaN power ICs (full power systems on a single chip), which provide greater reliability and performance compared to competitors that supply discrete power devices (that require multiple power components to create a system). The company also released its initial sample products for higher power end markets in data center, renewable energy, and automotive, which remain on track to generate revenues in the coming years. We believe that Navitas will continue to see strong growth by leveraging its unique technology to maintain leading share of the GaN power semiconductor market, which is expected to grow rapidly in the coming years driven by GaN’s improved efficiency compared to silicon, generating energy and cost savings for customers.”

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Our calculations show that Navitas Semiconductor Corporation (NASDAQ: NVTS) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. Navitas Semiconductor Corporation (NASDAQ: NVTS) delivered a -15.57% return in the past 3 months.

You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

Disclosure: None. This article is originally published at Insider Monkey.