Jim Cramer says concerns about Nvidia selling chips to China are 'nonsense'
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Yahoo
9 minutes ago
- Yahoo
If You'd Invested $10,000 in Navitas Semiconductor Stock 2 Years Ago, Here's How Much You'd Have Today
Key Points Its partnership with Nvidia is proof of the long-term potential for silicon carbide and gallium nitride chips. Investors are looking to 2027 and the launch of new data centers to spur Navitas' growth. 10 stocks we like better than Navitas Semiconductor › If you're wondering how much you'd have if you'd invested $10,000 in Navitas Semiconductor (NASDAQ: NVTS) stock two years ago -- and I'm sure you are since you're reading this -- the answer is about $7,500 as I write this on Aug. 10. While that might surprise investors in Navitas Semiconductor who've only been watching it in 2025, as it's up 85% so far this year, it does highlight some points about investing in growth stocks. Why Navitas Semiconductor's stock has gone up so much in 2025 The simple reason for this year's jump comes down to the mid-May announcement of a partnership with Nvidia to develop data center power architecture for the next generation of data centers, due to launch in 2027. The new more efficient, reliable, and lower-maintenance cost 800 V data centers need silicon carbide (SiC) and gallium nitride (GaN) chips (Navitas' specialty) in the power conversion process in the new data centers. Considerations for growth investors The fact that the stock is down over the last couple of years indicates that patience is key when investing in growth stocks, and it pays to avoid getting caught up in euphoria. For example, in the summer of 2023, Navitas offered 11.5 million shares at a price of $8, which the market eagerly took up. Unfortunately, some of its key end markets, like electric vehicles and consumer electronics (notably mobile phones), slowed markedly, and the stock declined. However, it makes sense to buy into weakness if you have data-backed belief in the long-term growth prospects of a company. This has happened as investors have jumped back into Navitas on the Nvidia news. Do the experts think Navitas Semiconductor is a buy right now? The Motley Fool's expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They've just revealed their to buy now — did Navitas Semiconductor make the list? When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor's total average return is up 1,060% vs. just 182% for the S&P — that is beating the market by 877.59%!* Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $653,427!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,119,863!* The 10 stocks that made the cut could produce monster returns in the coming years. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 11, 2025 Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy. If You'd Invested $10,000 in Navitas Semiconductor Stock 2 Years Ago, Here's How Much You'd Have Today was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
29 minutes ago
- Forbes
Quantum Computing: Run To Buy QUBT Stock Now?
CHONGQING, CHINA - MAY 11: In this photo illustration, the logo of Quantum Computing Inc. (QCi) is displayed on a smartphone screen, with the company's branding visible in the background, on May 11, 2025, in Chongqing, China. (Photo illustration by) Getty Images Quantum Computing Inc. (NASDAQ: QUBT) , a company that is developing quantum-compatible chips and photonic hardware for high-performance computing, AI, and cybersecurity, is set to announce its earnings on Thursday, August 14, 2025. Historically, QUBT's stock has generally shown a positive reaction following earnings reports. Since 2021, the stock has recorded a positive one-day return in 75% of cases, with a median gain of 4.2% and a maximum one-day positive return of 39.3%. For event-driven traders, there are two primary approaches to capitalize on this historical data: Pre-Earnings: Evaluate the historical probabilities and take a position prior to the earnings release. Evaluate the historical probabilities and take a position prior to the earnings release. Post-Earnings: Analyze the relationship between immediate and medium-term returns after the earnings release to guide your trading strategies. Although the results of a conventional company are significantly influenced by their alignment with consensus estimates, quantum computing stocks such as QUBT are an exception. They presently have limited revenue and remain years away from broad commercial applications. As a result, investors frequently focus closely on earnings events for updates regarding the company's technological advancements, rather than merely its financial outcomes. Regarding fundamentals, Quantum Computing currently has a market capitalization of $2.2 billion. Over the past twelve months, the company reported $0.4 million in revenue . Nonetheless, it incurred operational losses, with an operating loss of -$28 million and a net income of -$45 million . That said, if you are looking for potential upside with reduced volatility than standalone stocks, the Trefis High Quality portfolio offers an alternative — having surpassed the S&P 500 and yielding returns greater than 91% since its launch. In addition, see – Sell BBAI Stock At $5? See earnings reaction history of all stocks Here are some insights regarding one-day (1D) post-earnings returns: There are 16 earnings data points recorded in the last five years, with 12 positive and 4 negative one-day (1D) returns noted. In summary, positive 1D returns were achieved approximately 75% of the time. and one-day (1D) returns noted. In summary, positive 1D returns were achieved approximately 75% of the time. Importantly, this percentage rises to 83% when looking at data from the last 3 years instead of 5. The median of the 12 positive returns = 4.2%, and the median of the 4 negative returns = -4.9% Furthermore, additional data regarding observed 5-Day (5D) and 21-Day (21D) returns following earnings is summarized along with the statistics in the table below. Also, see – What's Next For Quantum Computing Inc. After A 3,000% Rise QUBT 1D, 5D, and 21D Post Earnings Return Trefis A relatively lower-risk strategy (though not applicable if the correlation is low) is to understand the correlation between short-term and medium-term returns after earnings, identify a pair with the strongest correlation, and execute the appropriate trade. For instance, if 1D and 5D demonstrate the highest correlation, a trader can position themselves 'long' for the next 5 days if the 1D post-earnings return is positive. Here is some correlation data derived from a 5-year and a 3-year (more recent) history. Note that the correlation 1D_5D refers to the correlation between 1D post-earnings returns and subsequent 5D returns. QUBT Correlation Between 1D, 5D and 21D Historical Returns Trefis While Quantum Computing's historical data indicates a potential positive response to its earnings report, investors should recognize the considerable risks involved. The company experiences a high cash burn rate and operates with a very small revenue base, which is common for businesses in emerging industries. Quantum technology is still years from achieving broad commercial viability, making future revenue streams uncertain. Additionally, QUBT stock is highly unstable. During the 2022 market downturn, the stock fell sharply by 93% from its peak, contrasting sharply with the S&P 500's 25% decline. It took until December 2024 for the stock to regain its previous highs. This record of dramatic price fluctuations underscores the significant risk associated with trading or investing in QUBT stock. See – Buy or Sell QUBT stock – for further information. Alternatively, consider the Trefis RV strategy which has outperformed its all-cap stocks benchmark (a combination of the S&P 500, S&P mid-cap, and Russell 2000), generating strong returns for investors. Separately, if you are seeking upside with a smoother ride than a stock like Quantum Computing, look into the High Quality portfolio , which has surpassed the S&P and achieved >91% returns since its inception.
Yahoo
34 minutes ago
- Yahoo
Nvidia and AMD agree to share China chip sale revenues with US government
Nvidia and AMD agreed to share 15% of their revenues from chip sales to China with the US government, a government official has confirmed. President Donald Trump's administration halted the sale of advanced computer chips to China back in April over national security concerns, but Nvidia and AMD revealed in July that Washington would allow them to resume sales of the H20 and MI308 chips, which are used in artificial intelligence development. The official, who insisted on anonymity to discuss a policy not yet formally announced, confirmed to the Associated Press the revenue sharing terms of the deal, and said the broad strokes of the initial report by The Financial Times were accurate. The FT reported that Nvidia and AMD agreed to the financial arrangement as a condition for obtaining export licence to resume sales to China. Nvidia did not comment about the specific details of the agreement or its quid pro quo nature, but said they would adhere to the export rules laid out by the administration. 'We follow rules the US government sets for our participation in worldwide markets. While we haven't shipped H20 to China for months, we hope export control rules will let America compete in China and worldwide,' Nvidia wrote in a statement to the AP. 'America cannot repeat 5G and lose telecommunication leadership. America's AI tech stack can be the world's standard if we race.' AMD did not immediately reply to a request for comment. The top Democrat on a House panel focusing on competition with China raised concerns over the reported agreement, calling it 'a dangerous misuse of export controls that undermines our national security'. Representative Raja Krishnamoorthi, the ranking member of the House Select Committee on China, said he would seek answers about the legal basis for this arrangement and demand full transparency from the administration. 'Our export control regime must be based on genuine security considerations, not creative taxation schemes disguised as national security policy,' he said. 'Chip export controls aren't bargaining chips, and they're not casino chips either. We shouldn't be gambling with our national security to raise revenue.' Back in July, Nvidia argued that tight export controls around their chip sales would cost the company an extra 5.5 billion US dollars (£4 billion). They have argued that such limits hinder US competition in a sector in one of the world's largest markets for technology, and have also warned that US export controls could end up pushing other countries toward China's AI technology. Commerce Secretary Howard Lutnick told CNBC in July that the renewed sale of Nvidia's chips in China was linked to a trade agreement made between the two countries on rare earth magnets. Restrictions on sales of advanced chips to China have been central to the AI race between the world's two largest economic powers, but such controls are also controversial. Proponents argue that these restrictions are necessary to slow China down enough to allow US companies to keep their lead. Meanwhile, opponents say the export controls have loopholes – and could still spur innovation. The emergence of China's DeepSeek AI chatbot in January particularly renewed concerns over how China might use advanced chips to help develop its own AI capabilities. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
