Stock Analiz

Tower Semiconductor Ltd. TSEM

Semiconductors · IPO 1994 · data as of November 13, 2026

$146.89Market cap $16.6B
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Tower Semiconductor Ltd. (TSEM) is a technology company listed in the US with a market value of about $16.6B. In the twelve months to September 30, 2026 it had revenue of $1.8B and net income of $356M, a net margin of 19.4%.

Its overall Stock Analiz score is 1.6 out of 5 (weak). The strongest part is financial health (5/5); the weakest is value (0/5).

Key numbers: a P/E of 47.2, a price to free cash flow of 64.1, 5-year revenue growth of 4% a year, a 5-year average ROIC of 10%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 59% below the current price.

Score: 1.6 / 5

Value0/5
Future growth0/5
Track record2/5
Financial health5/5
Shareholder returns1/5

Checks passed

  • 5-year EPS growth above 10% a year
  • Profitable 5 years in a row
  • More cash than debt, or low debt to equity
  • Positive free cash flow
  • Interest covered more than 5 times
  • Debt below 3 years of free cash flow
  • Liabilities below 60% of assets
  • Stock-based pay below 5% of revenue

Checks not passed

  • P/E below 25
  • P/E below the industry median
  • P/FCF below 20
  • Price below intrinsic value (DCF, moderate assumptions)
  • PEG below 1.5
  • Revenue growth above 10% last year
  • 3-year revenue growth above 10% a year
  • Profit margin improving

Valuation

P/E (TTM)47.2
Forward P/E23.3
P/FCF64.1
P/S9.0
P/B5.2
EV/EBITDA22.2
PEG2.29
Dividend yield0.00%
FCF yield1.6%
Shareholder yield0.0%
Intrinsic value vs. price−59%

Growth and quality

Revenue growth (1 yr)9.0%
Revenue growth (5 yrs, per year)4.3%
EPS growth (5 yrs, per year)20.6%
FCF growth (3 yrs, per year)—
Net margin (5-yr avg.)18.1%
ROIC (5-yr avg.)10.4%
Profitable years (of last 10)10
Years paying a dividend—

Financials, last 10 years

Fiscal yearTTM2025202420232022202120202019201820172016
Revenue$1.8B$1.6B$1.4B$1.4B$1.7B$1.5B$1.3B$1.2B$1.3B$1.4B$1.2B
Net income$356M$220M$208M$518M$265M$150M$82M$90M$136M$298M$204M
Free cash flow$259M-$49M$13M$232M$163M$107M-$37M$100M$103M$168M$110M
EPS (diluted)$3.12$1.95$1.84$4.59$2.34$1.33$0.73$0.80$1.20$2.64$1.80
Net margin19.4%14.1%14.5%36.4%15.8%10.0%6.5%7.3%10.4%21.5%16.3%
ROIC—5.7%6.4%18.2%13.1%8.9%4.9%5.2%11.8%16.9%25.5%

From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.

What analysts expect

The average 12-month price target from 10 analysts is $275.21, 87% above the current price; targets range from $190.00 to $335.00; the consensus rating is “Strong buy”; expected EPS is $4.07 for the fiscal year ending December 31, 2026.

Frequently asked questions

What is Tower Semiconductor’s P/E ratio?

About 47.2, based on the last twelve months of diluted earnings per share (forward P/E about 23.3).

Is Tower Semiconductor stock undervalued?

Our DCF model with moderate assumptions puts its intrinsic value about 59% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.

Does Tower Semiconductor pay a dividend?

Not currently.

Is Tower Semiconductor a good stock to buy?

We do not give buy or sell advice. Tower Semiconductor scores 1.6 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.

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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.