TSEM · NASDAQ · STOCK
Tower Semiconductor (TSEM) Stock Analysis
$228.72
52W $34.73 – $319.94
60/100
$25.80B
90.5
0.89
Is TSEM Bullish or Bearish?
Bullish.
Innellis AI committee rates Tower Semiconductor Ltd. (TSEM) Buy with a composite score of 60/100
, based on 6 analysts with 67% agreement.
Last updated October 10, 2026.
What Would Change This View
- Upgrade to Strong Buy
- Requires a committee score of 75.0 — +15.06 from today. Applies on the first day at or above the line; upgrades are never dampened.
- Downgrade to Watch
- Requires the score to fall below 55.0 — -4.94 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.
Executive Summary
The primary driver is price structure making higher highs and higher lows. The main limiting factor is sector concentration is already high (hhi 2796.97). The committee is constructive but not yet at full conviction.
Bull & Bear Case
Bull Case
- EPS growing 133.9% YoY — Growth
- 4 consecutive earnings beats -- consistent execution — Growth
- Quarter-over-quarter growth rate is ACCELERATING, not just positive — Growth
- Price structure making higher highs and higher lows — Technical
- MACD histogram positive -- bullish momentum — Technical
- Trend and market structure agree -- coherent bullish picture — Technical
Bear Case
- P/E of 88.4 is expensive by classic value standards — Value
- Price-to-book of 4.5x prices in significant intangible value — Value
- Revenue declining -12.6% YoY -- this is not a growth story right now — Growth
- Bollinger bandwidth of 30.2% signals elevated volatility — Risk
Both cases are generated from quantitative data signals, not qualitative or
forward-looking judgement. They summarise what the numbers say today.
Price History (6M)
AI Investment Committee
Committee Consensus
As of October 10, 2026
Overall Committee Score
60/100
Agreement
67%
Analysts
6
Conviction
Moderate
Sector Rank
Top 40%
of 287 Technology peers
Value Analyst
bearish
40
/ 100 · Moderate confidence
Multiples don't clear a genuine value bar here, or cheapness looks justified by weak fundamentals
− P/E of 88.4 is expensive by classic value standards
Growth Analyst
bullish
66
/ 100 · High confidence
Strong, accelerating growth with consistent execution
+ EPS growing 133.9% YoY
− Revenue declining -12.6% YoY -- this is not a growth story right now
Technical Analyst
bullish
69
/ 100 · High confidence
Price action is constructive -- trend and momentum agree
+ Price structure making higher highs and higher lows
Risk Analyst
neutral
58
/ 100 · Moderate confidence
Moderate risk -- no single red flag, but nothing that clearly de-risks the position either
+ Low leverage (debt-to-equity 0.05) -- balance sheet can absorb a shock
− Bollinger bandwidth of 30.2% signals elevated volatility
Macro Analyst
bullish
65
/ 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst
bullish
62
/ 100 · Low confidence
News flow and recent filings/analyst actions are net positive
Portfolio Manager
bearish
30
/ 100 · Moderate confidence
The existing book itself argues for caution here, independent of how good this specific stock looks
− Sector concentration is already high (HHI 2796.97)
Investment Thesis Evolution
Committee score moved marginally from 60.4 to 59.9.
- New bearish signals: 2 appeared.
- Bullish support removed: 1 signal(s) disappeared.
- Bearish pressure eased: 2 signal(s) disappeared.
Analyst-level changes:
- Risk Analyst: +1 bearish signal(s).
- Value Analyst: +1 bearish signal(s).
Comparing 2026-10-09 to 2026-10-10 (1 day apart).
Technical Analysis
RSI (14)
44.8
Neutral
MACD Histogram
0.610
Bullish Momentum
Trend Direction
Uptrend
Weekly: Uptrend
Market Structure
Hh Hl
Support
$185.22
Resistance
$277.27
Bollinger %B
0.51
Inside Bands
Price vs Moving Averages
EMA 9
$236.89
Below
EMA 21
$231.68
Below
EMA 50
$229.09
Below
EMA 200
$198.19
Above
Fundamental Analysis
Valuation
17
Growth
94
Profitability
52
Financial Health
100
Cash Flow
70
Valuation
P/E Ratio
90.5×
P/B Ratio
8.48×
PEG Ratio
1.99
Dividend Yield
0.00%
52W High
$319.94
52W Low
$34.73
Quality & Growth
ROE
759.0%
ROA
663.6%
Gross Margin
2687.1%
Operating Margin
1615.9%
Revenue Growth YoY
—
Debt / Equity
0.05
AI Fundamental Assessment
P/E ratio of 90.5 (rich relative to a 15-40x range); Price-to-book of 8.5x; PEG ratio of 2.0 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 7.6%; Return on assets of 6.6%; Net margin of 16.9%; Gross margin of 26.9%; Current ratio of 4.91 (healthy short-term liquidity); Debt-to-equity of 0.05; Free cash flow per share is positive (2.72); Most recent quarter beat estimates by 13.8%; 4 consecutive earnings beats; EPS growth accelerating (-16.7% -> +35.4% QoQ); Analyst estimates rising over recent quarters
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