Why Navitas Semiconductor Stock ($NVTS) Doubled in 2025
Summary
Navitas Semiconductors doubled in 2025 after being named by Nvidia as a potential partner for next-generation AI data centre power architecture.
The company used its rising share price to raise significant capital and accelerate a strategic pivot toward AI infrastructure.
Despite the rally, revenue remains modest, making future execution and Nvidia-related outcomes critical to the investment case.
Navitas Semiconductor shares doubled in 2025 as investor perception shifted almost overnight. The turning point came when Navitas Semiconductors was named by Nvidia as a potential partner for future AI data centre designs.
At the start of the year, Navitas Semiconductors was largely overlooked and tied to low-growth mobile handset markets. That narrative changed once AI infrastructure entered the picture.
In May, Nvidia outlined plans for an 800-volt data centre architecture designed to support megawatt-scale server racks. Navitas Semiconductors appeared on Nvidia’s partner shortlist, triggering a sharp re-rating of the stock.
The market reaction allowed Navitas Semiconductors to raise $200 million across two equity offerings in 2025. With no debt and a strengthened balance sheet, the company gained time and flexibility to pursue its AI ambitions.
Leadership changes reinforced the pivot as Chris Allexandre was appointed CEO to replace founder Gene Sheridan. His background in power and automotive semiconductors signalled urgency around execution.
Navitas Semiconductors later announced progress on medium- and high-voltage gallium nitride and silicon carbide products aimed at AI data centres. The update sparked another major rally despite limited current revenue.
Financially, the numbers remain small relative to the valuation. Navitas Semiconductors reported roughly $10 million in quarterly revenue while guiding lower in the near term.
Management has been clear that resources are shifting away from legacy business toward AI infrastructure. Revenue growth is expected to return in 2026, ahead of broader data centre adoption in 2027.
The risk is clear for investors. If Nvidia’s architecture evolves differently or Navitas Semiconductors is not selected as a key supplier, expectations could unwind quickly.