New York, Jan 16, 2026, 12:35 EST — Regular session
- Shares of Navitas Semiconductor climbed 8.6% to $10.86 by midday, hitting a high of $11.05 earlier in the session.
- Chip stocks climbed broadly following strong cues from contract chipmaker TSMC that boosted the sector.
- Traders are focused on whether high-voltage data-center power plans will turn into orders soon, even as U.S. markets remain closed Monday for the holiday.
Navitas Semiconductor shares climbed 8.6% to $10.86 on Friday, pushing higher after a turbulent January for the small-cap power-chip specialist. The stock touched an intraday peak at $11.05, with roughly 17.1 million shares traded by midday as investors showed renewed appetite for riskier semiconductor bets.
This matters because Navitas now acts as a high-beta play on a very specific slice of the AI surge: revamping power delivery in data centers, not just cranking out faster chips. Semiconductor stocks have seen renewed interest after Taiwan Semiconductor Manufacturing Co. reported a record quarterly profit and outlined plans to invest $52 billion to $56 billion in capital expenditure for 2026. The company also signaled revenue growth close to 30% this year. 1
Nvidia is betting big on 800-volt direct current (VDC) distribution for future “AI factory” data centers, aiming to slash power losses and cut down on bulky copper wiring. The company expects to roll out full-scale 800 VDC data centers with its Kyber rack-scale systems by 2027. It also named Navitas alongside bigger players like Infineon, Texas Instruments, and STMicroelectronics as key parts of this emerging ecosystem. 2
Navitas has pushed that narrative hard, ramping up its presence in key markets. CEO Chris Allexandre took part in a fireside chat at Wednesday’s Needham Growth Conference and held investor meetings throughout the day. 3
Allexandre described the move in data-center power levels as a game-changer in an earlier update on high-voltage power hardware. “The transition from legacy 54 V architectures to 800 VDC is not just evolutionary, it’s transformational,” he stated in an October press release tied to the initiative. 4
Gallium nitride (GaN) and silicon carbide (SiC) are “wide bandgap” materials used in power semiconductors. They switch electricity faster and lose less energy compared to traditional silicon in certain setups. This efficiency makes them valuable in power-conversion equipment where managing heat and space is a major challenge.
Investors remain focused on distinguishing between long-term expansion and short-term revenue impacts. Nvidia’s own roadmap suggests this shift will stretch over several years. Meanwhile, Navitas faces tough competition from much bigger players boasting larger customer bases and greater manufacturing capabilities.
The timing risk goes both ways for a stock that often swings with sector momentum. When chip stocks rally, Navitas usually jumps higher; but if the trade falters, it can slide just as fast.
The key question now: can semiconductor stocks maintain their momentum through next week’s catalysts? U.S. markets will be closed Monday for Martin Luther King Jr. Day. Earnings season kicks into higher gear Tuesday, with Intel among the major reports, putting the spotlight back on the chip sector as trading resumes. 5
