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↓Deteriorating
- Perfect Earnings Beat Streak Growth↑Improving
- +1 more pillar — see the Why tab for full reasoning
Tower Semiconductor Ltd. (TSEM) Stock Analysis
Breakout setup
Technology · Semiconductors
Hold if already holding. Not a fresh buy at $253.50, but acceptable to hold if already in. Reasons: Thin upside margin: 9.6%; Expensive valuation.
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
Hold if already holding. Not a fresh buy at $253.50, but acceptable to hold if already in. Reasons: Thin upside margin: 9.6%; Expensive valuation. Chart setup: Golden cross, above all MAs, RSI 55, MACD bullish. Maintain position. Not compelling to add more. Score 6.0/10, moderate confidence.
Passes 8/9 gates (positive momentum, clean insider activity, no SEC red flags, news boost analyst 0.70, news boost analyst cluster(4), earnings proximity 93d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.
Recent developments
updated 2026-08-09Recent Developments — Tower Semiconductor Ltd.
Latest news
- NEWS A Look at Tower Semiconductor Ltd (TSEM) After 7.5% Decline -- G - GuruFocus — GuruFocus negative
- NEWS Altshuler Shaham Ltd Purchases 313,445 Shares of Tower Semiconductor Ltd. $TSEM - MarketBeat — MarketBeat positive
- NEWS TSEM|Tower Semiconductor Ltd|Price:222.455|Chg%:+11.295 - TradingKey — TradingKey positive
- NEWS Tower Semiconductor Ltd (TSEM) Technical Analysis: Support, Resistance, Indicators & Moving Averages - TradingKey — TradingKey neutral
- NEWS TSEM|Tower Semiconductor Ltd|Price:222.455|Chg%:+11.295 - tradingkey.com — tradingkey.com positive
Generated 2026-08-09T08:42:15Z.
Upcoming dated catalysts
Thesis
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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·1 ceiling hit
Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static
Technicals 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
Hold if already holding. Not a fresh buy at $253.50, but acceptable to hold if already in. Reasons: Thin upside margin: 9.6%; Expensive valuation. Chart setup: Golden cross, above all MAs, RSI 55, MACD bullish. Maintain position. Not compelling to add more. Target $276.80 (+9.2%), stop $234.82 (−8.0%), A.R:R 0.6:1. Score 6.0/10, moderate confidence.
Take-profit target: $276.80 (+9.6% upside). Target $276.80 (+9.2%), stop $234.82 (−8.0%), A.R:R 0.6:1. Stop-loss: $234.82.
Thin upside margin: 9.6%; Expensive valuation.
Tower Semiconductor Ltd. trades at a P/E of 88.6 (forward 38.8). TrendMatrix value score: 2.1/10. Verdict: Hold.
11 analysts cover TSEM with a consensus score of 4.0/5. Average price target: $318.
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