NVTS

Navitas makes gallium-nitride (GaN) and silicon-carbide (SiC) power semiconductors and is repositioning from mobile/consumer toward AI data centers, energy/grid infrastructure, and industrial electrification. That pivot is the entire bull case — and it is unproven. FY2025 revenue actually fell 44.9% to $45.9M as the company deliberately de-emphasized its old consumer markets faster than the new high-power design wins ramped, and management's own risk factors warn that design wins typically take 'one year or more, if ever' to convert to revenue.

The income statement is deeply unprofitable: a net loss of $117M, a -234.7% operating margin, and -$0.57 EPS, with operating cash burn of -$42.9M. Gross margin of 23.3% is low for a chip designer and reflects sub-scale volumes. The one clear strength is the balance sheet: $237M of cash (up 173%), essentially no debt (0.13x liabilities/equity), and $444M of equity — enough runway to fund the transition for some time. But the accumulated deficit of -$502M underscores how much capital has been consumed without reaching sustainable profitability.