Critical Survey: Impinj (NASDAQ:PI) vs. Navitas Semiconductor (NASDAQ:NVTS)

Impinj (NASDAQ:PI) and Navitas Semiconductor (NASDAQ:NVTS) are both computer and technology companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, analyst recommendations, risk, profitability, institutional ownership and earnings.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Impinj and Navitas Semiconductor, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Impinj	1	1	6	2	2.90
Navitas Semiconductor	2	3	3	0	2.13

Impinj currently has a consensus target price of $179.00, suggesting a potential downside of 4.77%. Navitas Semiconductor has a consensus target price of $5.65, suggesting a potential downside of 31.35%. Given Impinj’s stronger consensus rating and higher probable upside, research analysts clearly believe Impinj is more favorable than Navitas Semiconductor.

Volatility and Risk

Impinj has a beta of 1.83, suggesting that its share price is 83% more volatile than the S&P 500. Comparatively, Navitas Semiconductor has a beta of 3.03, suggesting that its share price is 203% more volatile than the S&P 500.

Profitability

This table compares Impinj and Navitas Semiconductor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Impinj	0.18%	8.14%	2.64%
Navitas Semiconductor	-182.63%	-18.16%	-16.26%

Insider and Institutional Ownership

46.1% of Navitas Semiconductor shares are owned by institutional investors. 12.4% of Impinj shares are owned by insiders. Comparatively, 29.9% of Navitas Semiconductor shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Impinj and Navitas Semiconductor”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Impinj	$366.09 million	14.94	$40.84 million	$0.01	18,796.00
Navitas Semiconductor	$83.30 million	21.06	-$84.60 million	($0.65)	-12.66

Impinj has higher revenue and earnings than Navitas Semiconductor. Navitas Semiconductor is trading at a lower price-to-earnings ratio than Impinj, indicating that it is currently the more affordable of the two stocks.

Summary

Impinj beats Navitas Semiconductor on 11 of the 15 factors compared between the two stocks.

About Impinj

Impinj, Inc. operates a cloud connectivity platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. Its platform wirelessly connects items and delivers data about the connected items to business and consumer applications. The company’s platform comprises endpoint ICs, a miniature radios-on-a-chip that attaches to a host item and includes a number to identify the item. Its platform also consists of systems products that consists of reader ICs, readers, and gateways to wirelessly provide power to and communicate bidirectionally with endpoint ICs on host items, as well as to read, write, authenticate, and engage the endpoint ICs on those items; and software and algorithms that enable its partners to solve enterprise business problems, such as retail self-checkout and loss prevention. The company primarily serves retail, supply chain and logistics, automotive, aviation, banking, datacenters, food, healthcare, industrial and manufacturing, linen and uniform tracking, sports, and travel industries through original equipment and device manufacturers, tag service bureaus, systems integrators, value-added resellers, independent software vendors, and other solution partners. Impinj, Inc. was incorporated in 2000 and is headquartered in Seattle, Washington.

About Navitas Semiconductor

Navitas Semiconductor Corporation designs, develops, and markets gallium nitride power integrated circuits, silicon carbide, associated high-speed silicon system controllers, and digital isolators used in power conversion and charging. The company’s products are used in mobile, consumer, data center, solar, electric vehicle, industrial motor drive, smart grid, and transportation applications. It operates in the United States, Europe, China, rest of Asia, and internationally. The company was founded in 2013 and is based in Torrance, California.