BN · rank #8 · 2026-06-09
TSEM
NASDAQ · $28.80B
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.60 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +34.8% |
| Forward net margin Consensus forward net margin. | +19.3% |
| Net margin TTM Trailing twelve month net margin. | +15.1% |
| Margin expansion Forward minus trailing net margin (percentage points). | +4.1% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 6.78 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.48× |
| Analyst upside Spread between the consensus 12m target and the current price. | +29.7% |
| Last EPS surprise Most recent reported EPS versus consensus. | +19% |
| Market cap | $28.80B |
The AI research card
Independent qualitative review of each pick before the order is placed.
Summary
Tower Semiconductor is a specialty analog/power foundry addressing bottlenecks in AI server power management, RF front-end, and automotive sensing through differentiated BCD, SiGe, and RF-SOI processes on 200mm and 300mm platforms.
Rationale
34.8% forward revenue growth, 19.3% net margin, and 4.1% margin expansion align with AI power/thermal infrastructure tailwinds and design-win momentum in data-center power-management ICs, while 29.7% analyst upside and 18.7% last EPS surprise suggest consensus underestimation of specialty analog demand.
Material risks
- 1Geopolitical and operational risk from Israeli fab concentration; potential customer diversification away from the region or elevated security/insurance costs could disrupt margins and capacity utilization.
- 2Strategic dependence on Intel partnership for Uozu 300mm ramp; if Intel reallocates capacity or shifts foundry strategy, Tower loses a key growth lever and may face stranded capex.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.