Navitas Semiconductor (NVTS) Valuation Reassessed Amid Pivot to Higher Power and AI-Focused Growth

Navitas Semiconductor recently announced a pivot toward higher power customers and revenue streams, along with a leaner distribution network and lower channel inventory. Despite a sharp rebound in its shares, the company's valuation is now considered overvalued, with a fair value of $8.28 and a consensus price target of $6.738. The analysts have a degree of disagreement amongst them, with the most bullish reporting a price target of $8.0 and the most bearish reporting a price target of just $4.4. The pivot and recent rebound sit on top of a sharp short-term move, with a 7-day share price return of 40.86% and a year-to-date share price return of 21.69%.