Critical Analysis: Navitas Semiconductor (NASDAQ:NVTS) & Impinj (NASDAQ:PI)

Navitas Semiconductor (NASDAQ:NVTS) and Impinj (NASDAQ:PI) are both mid-cap technology companies, but which is the better business? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, earnings, risk, dividends and profitability.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Navitas Semiconductor and Impinj, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Navitas Semiconductor	2	0	4	0	2.33
Impinj	1	3	7	0	2.55

Navitas Semiconductor presently has a consensus price target of $14.43, suggesting a potential upside of 40.18%. Impinj has a consensus price target of $196.10, suggesting a potential upside of 10.72%. Given Navitas Semiconductor’s higher probable upside, analysts plainly believe Navitas Semiconductor is more favorable than Impinj.

Earnings and Valuation

This table compares Navitas Semiconductor and Impinj”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Navitas Semiconductor	$45.92 million	58.54	-$116.95 million	($1.38)	-7.46
Impinj	$387.55 million	14.10	-$10.85 million	($0.33)	-536.73

Impinj has higher revenue and earnings than Navitas Semiconductor. Impinj is trading at a lower price-to-earnings ratio than Navitas Semiconductor, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

46.1% of Navitas Semiconductor shares are owned by institutional investors. 12.4% of Navitas Semiconductor shares are owned by company insiders. Comparatively, 6.8% of Impinj shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Navitas Semiconductor has a beta of 4.04, suggesting that its share price is 304% more volatile than the S&P 500. Comparatively, Impinj has a beta of 1.9, suggesting that its share price is 90% more volatile than the S&P 500.

Profitability

This table compares Navitas Semiconductor and Impinj’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Navitas Semiconductor	-818.84%	-11.84%	-11.00%
Impinj	-2.45%	6.65%	2.95%

Summary

Impinj beats Navitas Semiconductor on 8 of the 14 factors compared between the two stocks.

About Navitas Semiconductor

Navitas Semiconductor develops power semiconductors and integrated circuits based on gallium nitride (GaN) and silicon carbide (SiC). Its products are designed to convert and control electrical power more efficiently than conventional silicon-based solutions. The company’s portfolio includes GaN power ICs and SiC devices used in applications such as mobile-device charging, data centers, electric vehicles, solar power, energy storage and industrial equipment. Navitas serves customers in markets around the world.

About Impinj

Impinj, Inc. develops radio-frequency identification (RFID) technology used to identify and track items. Its platform is based on RAIN RFID, a wireless technology that enables businesses to collect item-level data without requiring direct line of sight. The company’s products include endpoint integrated circuits that are embedded in item tags, reader chips that capture tag data, and related systems and software. These technologies support applications such as inventory management, supply-chain visibility, asset tracking, and loss prevention across retail, logistics, healthcare, and other industries.