Quality Momentum

QM · rank #1 · 2026-06-02

TSEM

NASDAQ · $30.05B

verdict · CAUTION

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1
Return from 12 months ago to 1 month ago.
+484.63%
ROE TTM
Return on equity, trailing 12 months.
+8.7%
Profit margin
Net profit margin, trailing 12 months.
+15.1%
Market cap
Size filter: > $500M required.
$30.05B
Anchor (recent)
Close on 2026-05-01
$218.01
Anchor (far)
Close on 2025-05-02
$37.29

The AI research card

Independent qualitative review of each pick before the order is placed.

Summary

Tower Semiconductor Ltd. (TSEM) is a pure-play specialty semiconductor foundry that manufactures analog, mixed-signal, RF, power management, CMOS image sensors, and silicon photonics devices for various end markets including automotive, industrial, medical, and consumer.

Rationale

The strong momentum_12_1 signal of 4.8463, coupled with a solid profit_margin of 0.1513 and roe_ttm of 0.0869, suggests that TSEM is exhibiting both strong recent price performance and fundamental quality, which aligns with a quality_momentum strategy.

Material risks

  • 1Geopolitical and security risks in Israel could disrupt Tower Semiconductor's local fabs and workforce, potentially impacting operations and investor sentiment.
  • 2Dependence on export control regimes and potential semiconductor trade restrictions from the US, Israel, EU, or China could negatively impact customer demand and global capital flows for TSEM.

Verdict reasoning

two_stage score=+1/3 verdicts={'openai': 'CAUTION', 'claude': 'CAUTION', 'gemini': 'PROCEED'} brief=caller-supplied