Progress, but proof points still pending

Research evidence excerpt

Progress, but proof points still pending

IdeaM

RiskRisk RewardReward– Navitas- SemiconductorNavitas SemiconductorCorp (NVTS.O) Corp (NVTS.O)

WBG market increasingly more competitive

PRICE TARGET $12.60 UNDERWEIGHT THESIS

We value Navitas on 40x CY2027 revenue, a premium to SMID cap GaN peers to reflect ▪The GaN market is increasingly looking

800V optionality. more competitive, with STMicro, Infineon,

and Renesas all making inroads into GaN via $14.46

acquisitions and partnerships. While these

Consensus Price Target Distribution $8.00 $21.00 larger players may expedite the adoption of

MS PT

GaN in markets outside smartphoneSource: Refinitiv, Morgan Stanley Research Mean Morgan Stanley Estimates chargers and expand the TAM, we expect

these opportunities to be captured by more

established power semi providers rather

RISK REWARD CHART than Navitas given their supply assurance

and automotive qualification experience.

800V AI server racks are an USD ▪NVDA's

enticing opportunity, but given competition

and timeline, we think it is too early to fully

price in this opportunity.

$20.90$20.90(+83.17%)$20.90(+83.17%)(+83.17%) Consensus Rating Distribution

25% Overweight

63% Equal-weight

16 13% Underweight

$11.41$11.41$11.41 $12.60$12.60(+10.43%)$12.60(+10.43%)(+10.43%) MS Rating

8 Source: Refinitiv, Morgan Stanley Research

$6.30$6.30(-44.79%)$6.30(-44.79%)(-44.79%)

0 Risk Reward Themes

JUL '25 JAN '26 JUL '26 JUL '27

Special Situation: Positive

Key: Historical Stock Performance Current Stock Price Price Target Technology Diffusion: Positive

View descriptions of Risk Rewards Themes hereSource: Refinitiv, Morgan Stanley Research

BULL CASE $20.90 BASE CASE $12.60 BEAR CASE $6.30

60x CY2027 revenue of $81.9mn 40x CY2027 revenue of $68.2mn 20x CY2027 revenue of $54.6mn