Navitas Semiconductor (NASDAQ:NVTS) more than doubled its value on Wednesday after markets closed, following the announcement of its collaboration with NVIDIA (NASDAQ:NVDA). The company’s shares skyrocketed by over 160% after hours to $5.02.
The semiconductor maker has collaborated with NVIDIA to develop a next-generation 800V high-voltage direct current (HVDC) power architecture. The collaboration intends to support NVIDIA’s ‘Kyber’ rack-scale systems, which power GPUs such as the Rubin Ultra, which leverages Navitas’ GaNFast gallium nitride and GeneSiC silicon carbide technologies to deliver high efficiency and performance.
The initiative aims to overcome the limitations of the current 54V in-rack power distribution, such as high copper usage, lower efficiency, and power density challenges, especially as power demands exceed 200 kW.
With the 800V HVDC architecture, NVIDIA aims to improve end-to-end power efficiency up to 5%, reduce maintenance costs by 70% and lower cooling costs by directly connecting HVDC to the IT and compute racks.
In April, Navitas also collaborated with GigaDevice to create a joint lab for integrating and tailoring its GaNFast ICs and GigaDevice’s microcontrollers, after which the company’s shares rose nearly 4%.
The company has been gaining strong investor interest with Seeking Alpha as well as Wall Street analysts recommending to Buy the stock. During its latest Q1 earnings, the company beat revenue estimates and guided for revenue in the range of $14M to $15M for the second quarter.
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