Here's Why Navitas Semiconductor Soares Today (Hint: It's Nvidia Related)

Navitas Semiconductor (NASDAQ: NVTS) has moved away from its previous core market of power chips for mobile and consumer products toward potentially more lucrative high-power markets. The latter includes AI data centers, high-performance computing, grid and energy, and electrification. It's an Nvidia (NASDAQ: NVDA) partner too, and set to play a major role in the next generation of data centers set to hit the market next year. That fact has a major role to play in the stock's 16.7% rise by 12 p.m. today. Traders like to take speculative positions in stocks around events that drive high volatility, and one such event is Nvidia's earnings this week. What Nvidia's management says about the AI data center end markets is obviously critical to Navitas, because the latter is developing power chips that are integral to the new 800V high-voltage direct current (HVDC) data centers Nvidia is building. As previously outlined, Navitas' stock soared last month as the company announced the development of its latest power delivery board, and short sellers were forced to close positions amid continued positive updates on the AI data center market. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool