Navitas Semiconductor Faces Investor Scrutiny After Major Insider Stock Sales

Significant stock sales by two company directors have cast a shadow over Navitas Semiconductor Corporation, applying downward pressure to its share price. Regulatory filings reveal these insiders disposed of holdings worth more than $11 million, transactions that are currently overshadowing news of recent strategic business developments.

The sales were executed across several days in mid-December and formally disclosed in documents filed with the U.S. Securities and Exchange Commission (SEC). The transactions have become a focal point for market participants.

Director Dipender Saluja substantially reduced his stake in two separate blocks:
* A sale of 315,396 shares on December 12, executed at a weighted average price of $8.65.
* A follow-up sale of 873,488 shares on December 15, at $8.10 per share.

These disposals generated total proceeds of approximately $9.8 million for Saluja, who retains a significant indirect holding exceeding 4.7 million shares. Also on December 12, Director Ranbir Singh sold 179,354 shares at $8.68 each, realizing about $1.56 million. In the wake of these disclosures, Navitas stock was recently trading near $7.83.

Should investors sell immediately? Or is it worth buying Navitas Semiconductor Corporation?

Strategic Moves Contrast with Financial Performance

The insider selling activity coincides with Navitas advancing its commercial partnerships. The company has confirmed a new strategic collaboration with Cyient Semiconductors aimed at accelerating the development of Gallium Nitride (GaN) technology in India. Reports also indicate a potential manufacturing partnership with GlobalFoundries for GaN production in the United States.

However, these operational initiatives are set against a difficult financial backdrop. The company's third-quarter results showed a challenging period, with revenue declining 53.4% year-over-year to $10.11 million. Its net margin stood at negative 220.85%, with earnings per share reported at -$0.05.

Market Perspective and Key Levels to Watch

Navitas shares have exhibited considerable volatility recently. The scale of the director sales within the $8.10 to $8.68 price range is viewed by observers as establishing a resistance zone. Market attention is now focused on whether the equity can maintain support around the $7.50 level.

The current consensus rating among analysts covering the stock is "Hold," with a median price target of $8.00. For investor sentiment to improve sustainably, the market is awaiting clear evidence of financial benefit from the newly formed partnerships with Cyient and GlobalFoundries. Until revenue growth demonstrates a meaningful recovery, the stock is likely to remain sensitive to further insider transactions and broader industry trends.