Tower Semiconductor (NASDAQ:TSEM) Shares Down 3.6% - Should You Sell?

Key Points

• Tower Semiconductor's stock price fell 3.6% on Thursday, trading as low as $65.20, with a significant decline in trading volume compared to its average.
• Recent analyst ratings reflect a generally positive outlook, with a consensus rating of "Buy" and an average price target of $66.00.
• The company reported $0.41 earnings per share for the last quarter, missing expectations but showing a 6.0% increase in revenue year-over-year.

Tower Semiconductor Ltd. (NASDAQ:TSEM - Get Free Report)'s stock price dropped 3.6% during mid-day trading on Thursday . The company traded as low as $65.22 and last traded at $65.20. Approximately 517,203 shares were traded during trading, a decline of 38% from the average daily volume of 831,704 shares. The stock had previously closed at $67.65.

Wall Street Analysts Forecast Growth

TSEM has been the subject of several recent analyst reports. Susquehanna set a $66.00 price target on shares of Tower Semiconductor and gave the stock a "positive" rating in a report on Tuesday, August 5th. Benchmark lifted their target price on shares of Tower Semiconductor from $66.00 to $73.00 and gave the company a "buy" rating in a research report on Monday, September 8th. Finally, Wedbush set a $65.00 price target on shares of Tower Semiconductor and gave the stock an "outperform" rating in a research report on Tuesday, August 5th. Four equities research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the company presently has a consensus rating of "Buy" and a consensus price target of $66.00.

Tower Semiconductor Stock Down 0.4%

The stock has a market capitalization of $7.28 billion, a price-to-earnings ratio of 37.76 and a beta of 0.86. The company has a quick ratio of 5.50, a current ratio of 6.57 and a debt-to-equity ratio of 0.05. The business's 50-day moving average is $52.85 and its two-hundred day moving average is $43.62.

Tower Semiconductor (NASDAQ:TSEM - Get Free Report) last released its quarterly earnings data on Monday, August 4th. The semiconductor company reported $0.41 EPS for the quarter, missing analysts' consensus estimates of $0.47 by ($0.06). The business had revenue of $372.06 million during the quarter, compared to analyst estimates of $371.63 million. Tower Semiconductor had a net margin of 13.20% and a return on equity of 7.37%. The firm's revenue was up 6.0% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.53 EPS. Tower Semiconductor has set its Q3 2025 guidance at EPS. Equities analysts anticipate that Tower Semiconductor Ltd. will post 1.67 EPS for the current year.

Hedge Funds Weigh In On Tower Semiconductor

A number of institutional investors have recently bought and sold shares of TSEM. Cambridge Investment Research Advisors Inc. purchased a new position in Tower Semiconductor in the first quarter worth approximately $551,000. Wealth Enhancement Advisory Services LLC raised its position in Tower Semiconductor by 8.4% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 14,715 shares of the semiconductor company's stock valued at $525,000 after purchasing an additional 1,138 shares during the period. Squarepoint Ops LLC acquired a new position in shares of Tower Semiconductor in the 4th quarter valued at $247,000. Fifth Third Bancorp grew its holdings in shares of Tower Semiconductor by 18.0% during the 1st quarter. Fifth Third Bancorp now owns 9,885 shares of the semiconductor company's stock worth $352,000 after purchasing an additional 1,509 shares during the period. Finally, Cetera Investment Advisers acquired a new stake in shares of Tower Semiconductor during the 4th quarter worth about $249,000. 70.51% of the stock is owned by hedge funds and other institutional investors.

Tower Semiconductor Company Profile

Tower Semiconductor Ltd., an independent semiconductor foundry, focus on specialty process technologies to manufacture analog intensive mixed-signal semiconductor devices in Israel, the United States, Japan, Europe, and internationally. It provides various customizable process technologies, including SiGe, BiCMOS, mixed signal/CMOS, RF CMOS, CMOS image sensor, integrated power management, and MEMS.