Here's Why Navitas Shares Powered Higher Today (Hint: Another Bullish Data Point for AI Infrastructure Spending)
Key Points
Vicor's raised guidance boosted AI infrastructure stocks, including Navitas.
Navitas is pivoting toward high-power AI data center applications.
Navitas remains unprofitable until at least 2030, increasing volatility.
- 10 stocks we like better than Navitas Semiconductor ›
AI infrastructure stocks received a boost today after power components and systems company Vicor (NASDAQ: VICR) raised its second-quarter revenue guidance from $126 million to $142 million. The news was enough to send Vicor stock soaring, and it also sent Navitas Semiconductor (NASDAQ: NVTS) shares higher by as much as 15.6% at 11 a.m. today.
Why Vicor's results read across well for Navitas
As outlined recently, Navitas is a company whose stock is highly sensitive to developments in AI data center infrastructure spending. The reason is that management has deliberately pivoted the company away from its traditional core markets of power chips for mobile phone charging and consumer products toward high-power applications. Indeed, Navitas is a partner of Nvidia in developing next-generation data center power chips.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Therefore, when Vicor, whose advanced products focus on data center and hyperscaler segments according to SEC filings, raises its guidance to reflect stronger hyperscaler spending, it signals positive momentum for Navitas.
Where next for Navitas
The company is loss-making and will be so until 2030, according to the Wall Street consensus from S&P Global Market Intelligence. Given that timeline toward profitability, the stock is highly likely to fluctuate heavily with every twist and turn in the debate over whether AI infrastructure spending is in its early or mid innings.
Should you buy stock in Navitas Semiconductor right now?
Before you buy stock in Navitas Semiconductor, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Navitas Semiconductor wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $477,813!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,320,088!*
Now, it’s worth noting Stock Advisor’s total average return is 986% — a market-crushing outperformance compared to 208% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of May 26, 2026.
Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.
Recommended Articles
