NVTS gains 6% intraday but trades 34% below its May peak, with hyperscaler revenue delayed until 2027 and legal risks looming.
Navitas Semiconductor (NASDAQ:NVTS) climbed 6% on August 3, closing at $11.52 after opening at $10.52. The gain follows a 34% decline over the past month, leaving shares well below the May high of $15.74.
The company’s $3.01 billion market cap rests on just $10.53 million in Q2 2026 revenue projections, with no profitability in sight. A GAAP net loss of $228.2 million last quarter, including a $203.1 million non-cash charge, underscores ongoing financial strain. CEO Chris Allexandre confirmed hyperscaler revenue won’t ramp until 2027, adding to valuation concerns.
Legal risks persist after Wolfspeed filed a patent lawsuit on July 28 targeting core products. Despite today’s rally, shares remain volatile, swinging between $8.26 and $15.74 this year.