Tower Semiconductor has beaten earnings estimates in all 4 of the last 4 quarters with an average 10.9% positive surprise and shows strong revenue and earnings growth scores of 8.2 out of 10, but a forward P/E of 50x with a PEG of 8.26 reflects expensive growth expectations that leave little margin for error.
Thesis pillars
- Strong Growth Semiconductor Profile—
- Expensive Valuation High Pe→Stable
- Perfect Earnings Beat Streak Growth→Stable
- +1 more pillar — see the Why tab for full reasoning
Tower Semiconductor Ltd. (TSEM) Stock Analysis
Range Bound setup · Catalyst-Driven edge
Technology · Semiconductors
Wait for pullback to $222.30. At $232.50 the A.R:R is 1.1:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $222.30 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Expensive valuation; Negative momentum.
Tower Semiconductor Ltd., an independent semiconductor foundry, provides technology, development, and process platforms for integrated circuits in the United States, Japan, rest of Asia, and Europe. The company provides customizable process technologies, including SiGe, SiPho,... Read more
Wait for pullback to $222.30. At $232.50 the A.R:R is 1.1:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $222.30 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Expensive valuation; Negative momentum. Chart setup: RSI 44 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Score 5.7/10, moderate confidence.
Passes 6/8 gates (clean insider activity, no SEC red flags, news events none recent, earnings proximity 16d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: moderate.
Recent developments
updated 2026-07-20Recent Developments — Tower Semiconductor Ltd.
Latest news
- NEWS Tower Semiconductor(TSEM.US) Officer Sells US$14.4 Million in Common Stock - Moomoo — Moomoo negative
- NEWS Benchmark reiterates Tower Semiconductor stock Buy on Japan capacity - Investing.com — Investing.com positive
- NEWS Is Tower Semiconductor (TSEM.US) undervalued? Wedbush says silicon photonics capacity expansion will unlock growth oppor — Moomoo positive
- NEWS Tower Semiconductor's expansion in Japan likely to aid outlook, Wedbush says (TSEM:NASDAQ) - Seeking Alpha — Seeking Alpha positive
- NEWS Why Is Tower Semiconductor Stock Soaring Today? - Sahm — Sahm positive
Generated 2026-07-20T05:32:11Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static
Momentum below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Wait for pullback to $222.30. At $232.50 the A.R:R is 1.1:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $222.30 (Default 5pct Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Expensive valuation; Negative momentum. Chart setup: RSI 44 mid-range, Bollinger mid-band. Maintain position. Not compelling to add more. | News modifier +2 (HOLD_IF_HOLDING → STRONG_BUY_WAIT) Target $273.04 (+17.4%), stop $178.15 (−30.5%), A.R:R 1.1:1. Score 5.7/10, moderate confidence.
Take-profit target: $273.04 (+16.6% upside). Target $273.04 (+17.4%), stop $178.15 (−30.5%), A.R:R 1.1:1. Stop-loss: $178.15.
Expensive valuation; Negative momentum.
Tower Semiconductor Ltd. trades at a P/E of 108.9 (forward 40.1). TrendMatrix value score: 2.4/10. Verdict: Buy (Wait for Entry).
11 analysts cover TSEM with a consensus score of 4.0/5. Average price target: $314.
What does Tower Semiconductor Ltd. do?Tower Semiconductor Ltd., an independent semiconductor foundry, provides technology, development, and process platforms...
Tower Semiconductor Ltd., an independent semiconductor foundry, provides technology, development, and process platforms for integrated circuits in the United States, Japan, rest of Asia, and Europe. The company provides customizable process technologies, including SiGe, SiPho, mixed signal CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, wafers, and integrated power management. It also offers a design enablement platform for a design cycle, as well as transfer optimization and development process services to integrated device manufacturers and fabless companies. The company serves consumer applications, personal computers, communications, handsets and smartphones, automotive, industrial, aerospace, and medical devices. Tower Semiconductor Ltd. was incorporated in 1993 and is headquartered in Migdal Haemek, Israel