Is Tower Semiconductor Stock a Good Investment?
Tower Semiconductor Investment Advice | TSEM |
- Examine Tower Semiconductor's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Tower Semiconductor's leadership team and their track record. Good management can help Tower Semiconductor navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Semiconductors & Semiconductor Equipment space and any emerging trends that could impact Tower Semiconductor's business and its evolving consumer preferences.
- Compare Tower Semiconductor's performance and market position to its competitors. Analyze how Tower Semiconductor is positioned in terms of product offerings, innovation, and market share.
- Check if Tower Semiconductor pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Tower Semiconductor's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Tower Semiconductor stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Tower Semiconductor is a good investment.
Sell | Buy |
Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost neglects market trends | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Buy | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Tower Semiconductor Stock
Researching Tower Semiconductor's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 63.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.98. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Tower Semiconductor has Price/Earnings To Growth (PEG) ratio of 0.9. The entity last dividend was issued on the 24th of September 1997. The firm had 1:15 split on the 6th of August 2012.
To determine if Tower Semiconductor is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Tower Semiconductor's research are outlined below:
| Tower Semiconductor is unlikely to experience financial distress in the next 2 years | |
| About 63.0% of the company shares are owned by institutional investors | |
| Latest headline from bizjournals.com: Tax breaks OKd for credit union HQ move to Arlingtons Skymark Tower |
Tower Semiconductor Quarterly Cost Of Revenue |
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Tower Semiconductor uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Tower Semiconductor. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Tower Semiconductor's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 14th of February 2024 Upcoming Quarterly Report | View | |
| 20th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 14th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Tower Semiconductor's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Tower Semiconductor's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2020-02-18 | 2019-12-31 | 0.25 | 0.22 | -0.03 | 12 | ||
2021-11-08 | 2021-09-30 | 0.37 | 0.41 | 0.04 | 10 | ||
2016-08-04 | 2016-06-30 | 0.34 | 0.39 | 0.05 | 14 | ||
2017-05-08 | 2017-03-31 | 0.43 | 0.49 | 0.06 | 13 | ||
2014-05-05 | 2014-03-31 | 0.3 | 0.24 | -0.06 | 20 | ||
2014-02-27 | 2013-12-31 | 0.28 | 0.34 | 0.06 | 21 | ||
2024-05-09 | 2024-03-31 | 0.39 | 0.46 | 0.07 | 17 | ||
2017-11-07 | 2017-09-30 | 0.52 | 0.59 | 0.07 | 13 |
Know Tower Semiconductor's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Tower Semiconductor is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Tower Semiconductor backward and forwards among themselves. Tower Semiconductor's institutional investor refers to the entity that pools money to purchase Tower Semiconductor's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | New York State Common Retirement Fund | 2024-09-30 | 49.8 K | Raymond James Finl Svs Advisors, Inc. | 2024-09-30 | 25.9 K | Capital Fund Management Sa | 2024-09-30 | 24.7 K | Hunter Perkins Capital Management, Llc | 2024-09-30 | 20.8 K | First Hawaiian Bank | 2024-09-30 | 19.6 K | Cresset Asset Management, Llc | 2024-06-30 | 19.6 K | Td Asset Management Inc | 2024-09-30 | 16.7 K | Altshuler Shaham Ltd | 2024-06-30 | 15.4 K | Wealth Enhancement Advisory Services, Llc | 2024-09-30 | 12.9 K | Jennison Associates Llc | 2024-09-30 | 2.8 M | Meitav Dash Investments Ltd | 2024-09-30 | 2.6 M |
Tower Semiconductor's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 5.18 B.Market Cap |
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Tower Semiconductor's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.18 | 0.19 | |
| Return On Capital Employed | 0.21 | 0.22 | |
| Return On Assets | 0.18 | 0.19 | |
| Return On Equity | 0.21 | 0.22 |
Determining Tower Semiconductor's profitability involves analyzing its financial statements and using various financial metrics to determine if Tower Semiconductor is a good buy. For example, gross profit margin measures Tower Semiconductor's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Tower Semiconductor's profitability and make more informed investment decisions.
Evaluate Tower Semiconductor's management efficiency
Tower Semiconductor has return on total asset (ROA) of 0.0402 % which means that it generated a profit of $0.0402 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.2163 %, meaning that it created $0.2163 on every $100 dollars invested by stockholders. Tower Semiconductor's management efficiency ratios could be used to measure how well Tower Semiconductor manages its routine affairs as well as how well it operates its assets and liabilities. As of the 21st of November 2024, Return On Tangible Assets is likely to grow to 0.19. Also, Return On Capital Employed is likely to grow to 0.22. At this time, Tower Semiconductor's Total Assets are very stable compared to the past year. As of the 21st of November 2024, Non Current Assets Total is likely to grow to about 1.3 B, while Non Currrent Assets Other are likely to drop about 20.2 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 22.01 | 20.91 | |
| Tangible Book Value Per Share | 21.90 | 20.80 | |
| Enterprise Value Over EBITDA | 7.27 | 4.94 | |
| Price Book Value Ratio | 1.38 | 1.20 | |
| Enterprise Value Multiple | 7.27 | 4.94 | |
| Price Fair Value | 1.38 | 1.20 | |
| Enterprise Value | 645.7 M | 391.6 M |
Tower Semiconductor benefits from a proactive management team that anticipates market trends. Our analysis delves into how this proactive stance influences financial metrics and stock valuation.
Beta 0.901 |
Basic technical analysis of Tower Stock
As of the 21st of November, Tower Semiconductor has the Coefficient Of Variation of 1204.78, semi deviation of 2.65, and Risk Adjusted Performance of 0.0698. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Tower Semiconductor, as well as the relationship between them. Please validate Tower Semiconductor coefficient of variation, as well as the relationship between the treynor ratio and semi variance to decide if Tower Semiconductor is priced more or less accurately, providing market reflects its prevalent price of 47.81 per share. Given that Tower Semiconductor has jensen alpha of 0.0719, we advise you to double-check Tower Semiconductor's current market performance to make sure the company can sustain itself at a future point.Understand Tower Semiconductor's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Tower Semiconductor's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0698 | |||
| Market Risk Adjusted Performance | 0.1365 | |||
| Mean Deviation | 1.85 | |||
| Semi Deviation | 2.65 | |||
| Downside Deviation | 2.9 | |||
| Coefficient Of Variation | 1204.78 | |||
| Standard Deviation | 2.79 | |||
| Variance | 7.77 | |||
| Information Ratio | 0.0488 | |||
| Jensen Alpha | 0.0719 | |||
| Total Risk Alpha | (0.09) | |||
| Sortino Ratio | 0.0468 | |||
| Treynor Ratio | 0.1265 | |||
| Maximum Drawdown | 16.72 | |||
| Value At Risk | (3.78) | |||
| Potential Upside | 3.85 | |||
| Downside Variance | 8.43 | |||
| Semi Variance | 7.03 | |||
| Expected Short fall | (1.83) | |||
| Skewness | 0.6997 | |||
| Kurtosis | 5.35 |
| Risk Adjusted Performance | 0.0698 | |||
| Market Risk Adjusted Performance | 0.1365 | |||
| Mean Deviation | 1.85 | |||
| Semi Deviation | 2.65 | |||
| Downside Deviation | 2.9 | |||
| Coefficient Of Variation | 1204.78 | |||
| Standard Deviation | 2.79 | |||
| Variance | 7.77 | |||
| Information Ratio | 0.0488 | |||
| Jensen Alpha | 0.0719 | |||
| Total Risk Alpha | (0.09) | |||
| Sortino Ratio | 0.0468 | |||
| Treynor Ratio | 0.1265 | |||
| Maximum Drawdown | 16.72 | |||
| Value At Risk | (3.78) | |||
| Potential Upside | 3.85 | |||
| Downside Variance | 8.43 | |||
| Semi Variance | 7.03 | |||
| Expected Short fall | (1.83) | |||
| Skewness | 0.6997 | |||
| Kurtosis | 5.35 |
Consider Tower Semiconductor's intraday indicators
Tower Semiconductor intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Tower Semiconductor stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Tower Semiconductor Corporate Filings
6K | 19th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
| 30th of May 2024 Other Reports | ViewVerify | |
| 22nd of April 2024 Other Reports | ViewVerify |
Tower Stock media impact
Far too much social signal, news, headlines, and media speculation about Tower Semiconductor that are available to investors today. That information is available publicly through Tower media outlets and privately through word of mouth or via Tower internal channels. However, regardless of the origin, that massive amount of Tower data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Tower Semiconductor news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Tower Semiconductor relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Tower Semiconductor's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Tower Semiconductor alpha.
Tower Semiconductor Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Tower Semiconductor can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Tower Semiconductor Corporate Management
| Rafi Mor | Chief Operation Officer of a Subsidiary | Profile | |
| Dani Ashkenazi | Senior Quality | Profile | |
| Lei Qin | Senior Sales | Profile | |
| Yoshihisa Nagano | Chief Japan | Profile |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Tower Semiconductor. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in income. To learn how to invest in Tower Stock, please use our How to Invest in Tower Semiconductor guide.You can also try the Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Tower Semiconductor. If investors know Tower will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Tower Semiconductor listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.043 | Earnings Share 1.84 | Revenue Per Share 12.536 | Quarterly Revenue Growth (0.02) | Return On Assets 0.0402 |
The market value of Tower Semiconductor is measured differently than its book value, which is the value of Tower that is recorded on the company's balance sheet. Investors also form their own opinion of Tower Semiconductor's value that differs from its market value or its book value, called intrinsic value, which is Tower Semiconductor's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Tower Semiconductor's market value can be influenced by many factors that don't directly affect Tower Semiconductor's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Tower Semiconductor's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Tower Semiconductor is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Tower Semiconductor's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.