NVTS vs TXN: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of October 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. NVTS and TXN share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined NVTS and TXN exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Navitas Semiconductor is a power-semiconductor company focused on next-generation materials: gallium nitride (GaN) and silicon carbide (SiC). These wide-bandgap materials switch faster and run more efficiently than traditional silicon power chips, enabling smaller, cooler, and more power-dense designs. Navitas makes money selling GaN power ICs and SiC devices into chargers and adapters for phones and laptops, data center power supplies, solar and energy storage inverters, electric vehicles, and consumer appliances. The company integrates control, drive, and protection circuitry onto its GaN chips, which it markets as a system-level advantage over discrete components. Founded in 2013 and headquartered in Torrance, California, Navitas is a smaller, growth-stage player whose story centers on the AI data center power transition, where rising rack power densities are pushing the industry toward GaN and SiC for higher efficiency.

Full NVTS guide

Texas Instruments (TI) is one of the largest analog semiconductor companies in the world. The vast majority of TI's revenue comes from analog and embedded processing chips: signal-chain semiconductors (op-amps, ADCs, DACs), power management ICs, and small microcontrollers. These are unglamorous compared to GPUs but are essential to nearly every electronic system: industrial equipment, automotive (a major end market), communications infrastructure, and consumer electronics.

Full TXN guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• NVTS drivers: AI data center power; GaN and SiC adoption curve.
• TXN drivers: US-domestic manufacturing capacity expansion; Automotive and industrial as core growth markets.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Navitas is small, unprofitable, and competes against far larger and better-capitalized incumbents (Infineon, onsemi, STMicroelectronics, Texas Instruments) that also sell GaN and SiC. For TXN, the massive US fab expansion compresses margins near-term and creates execution risk if demand doesn't materialize as expected; free cash flow of about $3.55 billion trails a dividend of about $6.08 per share, and debt has risen to about $14 billion.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick NVTS if you believe its drivers more; TXN if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the NVTS and TXN guides.

NVTS. Navitas trades as a growth and theme stock rather than on current earnings: at about 62 times trailing sales, the price assumes the data center and energy markets replace the exited charger business many times over. Analysts expect losses to continue (about -$0.15 per share in 2026 and -$0.13 in 2027) while revenue grows toward about $74 million in 2027. With roughly $557 million of cash, a large share of the roughly $2.3 billion market cap is balance sheet, and the November 3 third-quarter report (consensus about $13.5 million of revenue) is the next check on the guided 28% sequential growth.

TXN. TI's premium valuation reflects the quality of the analog business (sticky designs, long product lifecycles, high margins), the dividend growth track record, and now a strong cyclical recovery. Trailing earnings still include the weak 2025 quarters, so the ~43x trailing multiple overstates how expensive the stock is against the ~26x forward figure. Fab spending continues to hold free cash flow well below net income until the new capacity is absorbed.

Headline figures (approximate, October 2026): NVTS shows revenue (ttm) ~$37 million, revenue growth (q2 2026, yoy) ~-27% (mobile charger exit); +22% sequentially, gross margin (ttm) ~38%, operating margin (ttm) deeply negative (~-255%); TXN shows revenue (ttm) ~$19.5 billion (+~23% YoY in Q2 2026), operating margin ~43%, net income (ttm) ~$6.0 billion, eps (ttm / 2027 est.) ~$6.57 / ~$10.18.

NVTS and TXN are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined NVTS and TXN exposure against your real portfolio. It is not an investment adviser.