Tower Semiconductor (NASDAQ:TSEM) Stock Price Target Cut by Susquehanna

Key Points

• Susquehanna cut Tower Semiconductor’s price target from $355 to $305 while maintaining a “positive” rating, implying approximately 96% upside from the reported share price.
• Analyst sentiment remains favorable overall: Tower has a “Moderate Buy” consensus rating and an average price target of $291.71, with ratings including one Strong Buy, seven Buys and two Holds.
• Tower reported quarterly revenue of $526.16 million, up 32.8% year over year and above estimates, but earnings of $1.05 per share narrowly missed the $1.07 consensus forecast.

Tower Semiconductor (NASDAQ:TSEM - Get Free Report) had its price target lowered by investment analysts at Susquehanna from $355.00 to $305.00 in a report issued on Tuesday, Benzinga reports. The brokerage presently has a "positive" rating on the semiconductor company's stock. Susquehanna's price objective indicates a potential upside of 96.37% from the company's current price.

Several other research firms have also issued reports on TSEM. Weiss Ratings lowered shares of Tower Semiconductor from a "hold (c)" rating to a "hold (c-)" rating in a research report on Tuesday, August 18th. Barclays initiated coverage on shares of Tower Semiconductor in a research note on Friday, September 18th. They issued an "overweight" rating and a $310.00 price target on the stock. UBS Group reaffirmed a "buy" rating on shares of Tower Semiconductor in a research note on Wednesday, July 15th. Bank of America began coverage on shares of Tower Semiconductor in a research note on Friday, August 7th. They issued a "buy" rating and a $367.00 price objective for the company. Finally, Wedbush reissued a "neutral" rating and issued a $190.00 price objective on shares of Tower Semiconductor in a research report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $291.71.

Tower Semiconductor Stock Performance

TSEM opened at $155.32 on Tuesday. The business's 50 day moving average is $211.30 and its 200-day moving average is $204.38. The company has a current ratio of 4.91, a quick ratio of 4.31 and a debt-to-equity ratio of 0.04. The stock has a market cap of $17.47 billion, a PE ratio of 61.39 and a beta of 0.89. Tower Semiconductor has a twelve month low of $80.63 and a twelve month high of $319.94.

Tower Semiconductor (NASDAQ:TSEM - Get Free Report) last released its quarterly earnings results on Monday, November 2nd. The semiconductor company reported $1.05 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.07 by ($0.02). The business had revenue of $526.16 million during the quarter, compared to the consensus estimate of $521.83 million. Tower Semiconductor had a return on equity of 9.83% and a net margin of 16.94%. The company's revenue for the quarter was up 32.8% compared to the same quarter last year. During the same period in the previous year, the company posted $0.47 EPS. On average, analysts predict that Tower Semiconductor will post 3.56 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Yoav Chelouche sold 232 shares of Tower Semiconductor stock in a transaction dated Thursday, September 10th. The shares were sold at an average price of $215.06, for a total transaction of $49,893.92. Following the sale, the director directly owned 33,734 shares in the company, valued at approximately $7,254,834.04. The trade was a 0.68% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Russell Ellwanger sold 104,226 shares of Tower Semiconductor stock in a transaction dated Tuesday, August 11th. The shares were sold at an average price of $248.34, for a total transaction of $25,883,484.84. Following the sale, the chief executive officer owned 526,788 shares in the company, valued at approximately $130,822,531.92. This trade represents a 16.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 181,767 shares of company stock valued at $45,610,065. Corporate insiders own 1.00% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. E20 Capital Ltd bought a new stake in shares of Tower Semiconductor during the 1st quarter valued at $107,708,000. Altshuler Shaham Ltd lifted its stake in shares of Tower Semiconductor by 1,175.6% in the 1st quarter. Altshuler Shaham Ltd now owns 340,108 shares of the semiconductor company's stock valued at $58,025,000 after purchasing an additional 313,445 shares during the period. Mirae Asset Global Investments Co. Ltd. bought a new position in shares of Tower Semiconductor in the 3rd quarter worth $46,661,000. Swiss National Bank boosted its position in shares of Tower Semiconductor by 86.0% in the 1st quarter. Swiss National Bank now owns 414,850 shares of the semiconductor company's stock worth $70,625,000 after purchasing an additional 191,839 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC acquired a new stake in shares of Tower Semiconductor during the first quarter worth $33,976,000. Institutional investors own 70.51% of the company's stock.

Trending Headlines about Tower Semiconductor

Here are the key news stories impacting Tower Semiconductor this week:

• Positive Sentiment: Tower reported record third-quarter revenue of $526.2 million, up 32.8% year over year and ahead of the $521.8 million consensus estimate. Management also forecast fourth-quarter revenue of $570 million to $630 million, with the midpoint above consensus and implying continued record growth. Tower Semiconductor Reports Record Third-Quarter 2026 Results
• Positive Sentiment: The company said it is advancing near-package optical technology with Innolight for artificial-intelligence infrastructure. The collaboration could strengthen Tower’s exposure to AI-related demand and higher-growth optical connectivity markets. Tower Semiconductor and Innolight Advance Near-Package Optics for AI Infrastructure
• Positive Sentiment: Stifel Nicolaus maintained a “buy” rating, indicating confidence in Tower’s long-term outlook, although its target remains well above the current share price. Stifel Nicolaus Tower Semiconductor Ratings
• Neutral Sentiment: Management’s fourth-quarter revenue guidance spans $570 million to $630 million versus a $578.4 million consensus estimate. While the midpoint is favorable, the broad range leaves room for uncertainty.
• Negative Sentiment: Third-quarter adjusted earnings of $1.05 per share narrowly missed the $1.07 estimate, potentially disappointing investors despite the revenue beat and substantial year-over-year earnings growth. Tower Semiconductor Third-Quarter Earnings Report
• Negative Sentiment: Stifel lowered its price target from $270 to $235. The continued “buy” rating is supportive, but the target reduction signals more cautious expectations after the stock’s sharp run-up and elevated valuation.

Tower Semiconductor Company Profile

Tower Semiconductor Ltd. is an Israeli specialty semiconductor foundry that manufactures integrated circuits for fabless semiconductor companies, integrated device manufacturers and system companies. The company provides process technologies and production services rather than selling branded end-user electronics.

Its offerings include analog and mixed-signal technologies, radio-frequency and high-voltage circuits, power management solutions, image sensors, and specialty memory products.

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