Chips Used in EVs and Power Are Hot -- Is Fast-Growing Navitas Semiconductor Stock a Buy in This Niche?
Shares of chip design start-up Navitas Semiconductor (NASDAQ: NVTS) have rallied over 30% following its first-quarter 2023 earnings update. This story is starting to sound familiar: A small company that's betting big on electric vehicles (EVs) and the power grid puts up stellar sales growth, and the market hands it a win.
Not for entirely bad reasons, though. EVs are quickly displacing traditional internal combustion engines in new-car sales, the power grid needs more efficient infrastructure, and mobile (think 5G phones and wireless network equipment) is power-hungry and needs new chip technology, too.
But before you chase this hot chip stock of the moment, consider a few important items first.
Source Fool.com
