Tower Semiconductor Ltd (TSEM) Stock Analysis
Verdict: WATCH (do not buy)
Specialty foundry leadership is overshadowed by a 100x+ P/E and shrinking revenue — technical support at $212 is the only near-term floor.
Investment score: 48/100
Analysis as of
Is Tower Semiconductor Ltd stock worth reviewing? The TradeMates thesis
Avoid due to extreme valuation (105x P/E) vs. negative revenue growth and high 30-day volatility.
7-factor investment score
- Valuation: 25/100 (weight 20%)
- Financial Health: 55/100 (weight 15%)
- Technical Momentum: 40/100 (weight 15%)
- Earnings Quality: 85/100 (weight 15%)
- Insider Sentiment: 50/100 (weight 10%)
- Analyst Consensus: 70/100 (weight 10%)
- Risk-Adjusted Return: 35/100 (weight 15%)
Tower Semiconductor Ltd opportunities and risks
What speaks for TSEM
- Robust 2027/2028 Earnings Recovery
What speaks against TSEM
- Severe Valuation Premium vs. DCF Fair Value
Peers and competitors
- SLRM.TA
- VLN
- MTLK
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| TSEM | 125.2x | 18.8x | 59.9x | 24.8% | 15.1% | 1.1% |
| VLN | n/a | 3.0x | n/a | 62.3% | -44.7% | -5.3% |
| MTLK | 3.1x | 0.0x | n/a | 0.0% | 0.0% | 22.4% |
| Peer median | n/a | 1.5x | n/a | 31.1% | -22.3% | 8.5% |
Frequently asked questions about Tower Semiconductor Ltd (TSEM)
Is TSEM stock a good investment?
The TradeMates model rates Tower Semiconductor Ltd as WATCH (do not buy) with an investment score of 48/100. Avoid due to extreme valuation (105x P/E) vs. negative revenue growth and high 30-day volatility. This is algorithmic model output, not personal investment advice.
Is TSEM stock a buy?
The TradeMates model verdict for TSEM is WATCH (do not buy) with an investment score of 48/100. Treat this as a model signal to review, not a personal buy recommendation.