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TSEM

💻 Technology

Tower Semiconductor Ltd.

Conservative #666Aggressive #984Low RiskHigh 82
$125.97-0.03%
Day High$131.66
Day Low$125.25
Volume1.7M
Mkt Cap$14.1B
52W Low $2952W High $150
Market Cap
$14.4B
P/E Ratio
64.5
Sector avg: 87.8
Rev Growth
9.1%
Sector avg: 14.8%
Earnings Growth
6.1%
Profit Margin
14.1%
Sector avg: -110.0%
Debt/Equity
0.06

Why This Score

TSEM scores 46.5 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Strengths
  • Minimal leverage (D/E 0.06) provides financial flexibility and downside protection.
  • High conviction (82/100) — fundamental and ML signals agree on this stock.
Risk Factors
  • Momentum reversion risk: Extreme momentum (203%) increases mean-reversion probability. 5-point penalty applied.
  • Procyclicality: Late-cycle macro signals reduce confidence in extreme-momentum names. 2-point additional penalty.
  • Signal divergence: Fundamental and ML signals disagree by a significant margin, reducing confidence.
  • Elevated valuation at 64.5x earnings — requires sustained growth to justify the premium.
  • Above-average volatility (12.5%) may not suit conservative risk tolerance.

Net penalties of -11.9 points significantly impact the ranking. Without these adjustments, TSEM would rank considerably higher.

Score Breakdown

Overall Score46.5
Fundamental Score64.0
ML Score16.0

Score by Horizon

3 Month
42.6
6 Month
47.6
Primary
1 Year
50.1

Quality Assessment

B
Earnings Grade
Solid fundamentals with minor quality concerns

Position Sizing

Suggested Allocation
5%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
100
Advancing
Sentiment (2.5%)
73
Positive
Analyst (6.4%)
68
Favorable
Tradability (post-hoc)
97
Grade A
Base
47.4
SHAP
+2.5
Factors
+0.6
Conviction
+0.9
Divergence
-5.0
Final
46.5
Positive adjustment
Negative adjustment
Base blend
Final score

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)47.0
Technical (Momentum, Weinstein, Volatility)93.0
External (Sentiment, Analyst, Macro)85.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage89%

Growth Estimates

Short-term
-3.8% to +0.5%
Medium-term
-5.6% to +0.8%
Long-term
-7.4% to +1.1%

ML Model Core Features100 trained inputs → ML Score: 16

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score67.9/100
Target Upside+22.1%
Coverage14 analysts
Market Sentiment
Sentiment Score72.9/100
News Volume1 articles
Technical Stage
Weinstein Stage2 — Advancing
12M Momentum+2.0%
6M Momentum+1.2%
Volatility+0.1%
Momentum & Technical
Momentum Acceleration+84.0%
Momentum ConsistencyModerate (0.59)
Relative Strength vs Sector+199.3%
Trend Strength (ADX Proxy)Strong (5.0)
Momentum Quality+1.939
Momentum BreadthBroad ✓
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
1%
Low risk
Sector RevGr Rank
P46
Revenue growth vs Technology peers
Sector PE Rank
P17
Valuation vs Technology peers
Sector FCF Rank
P12
Free cash flow vs Technology peers
Growth Deviation
-0.0σ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 61 relative to sector peers61/100
Machine learning model ranks this stock at the 52th percentileP52
ML model weight reduced to 9% due to macro conditions: market in extended rally phase; yield curve inverted (recession indicator); late-cycle economic indicators detected9% ML weight
SHAP feature alignment: +3.7pt (features align with model priorities)
Blend: 91% fund (60.7) + 9% ML (51.6) + SHAP(+3.7) = 63.5
Factor quality: +0.9pt (multi-factor composite)
Risk assessment: low. Annualized volatility 12.5%Low
Momentum mean-reversion: -6.0pt (203% 12m momentum)
Market cap adjustment: +2.0 points ($14.4B market cap)+2.0 pts
Conviction bonus: +1.4pt (conviction=82)
Risk Factors
Earnings quality grade B: adequate earnings quality with minor concerns. Score adjusted by -5 pointsGrade B
Quality concern: High accrual ratio (-84.2%) — earnings quality concern; R&D-adjusted ROIC: 5.1% (original: 5.7%). Semiconductors has ~18% R&D intensity. Capitalizing R&D over 5 years increases invested capital by ~45%.Flag

Sector Peer Comparison(Technology — Rank #153 of 289 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
TSEM46.564.59.1%14.1%$14.4B
MPWR84.891.721.2%81.0%$57.1B
ZM84.218.03.1%21.7%$27.7B
NVDA80.645.2114.2%55.8%$4.5T
CRUS79.719.16.0%17.5%$7.4B
ASML77.848.115.6%29.4%$546.0B
IDCC77.431.8-4.0%48.8%$9.7B
CSCO77.127.65.3%18.0%$303.6B
RMBS75.548.320.7%32.3%$11.0B
DBX75.313.91.9%17.7%$6.4B
FSLR75.017.326.7%30.7%$24.2B
SIMO74.79.210.2%13.8%$4.5B
ADI74.374.116.9%20.6%$165.1B
AAPL72.533.16.4%27.0%$3.9T
OLED72.527.012.4%34.3%$5.9B
AMAT72.336.44.4%24.7%$281.7B
Sector Average47.487.814.8%-110.0%

Market Sentimentvia FMP

Analyst Consensus
Buy14 analysts
Buy: 10Hold: 4
Price Target
$154consensus
Low $140Median $142High $180
+22.3% to consensus target

Company Overviewvia FMP

Tower Semiconductor Ltd., an independent semiconductor foundry, manufactures and markets analog intensive mixed-signal semiconductor devices in the United States, Japan, other Asia countries, and Europe. It provides various customizable process technologies, including SiGe, BiCMOS, mixed signal/CMOS, RF CMOS, CMOS image sensor, integrated power management, and MEMS. The company also offers wafer fabrication services and design enablement platform for design cycle, as well as transfer optimization and development process services to integrated device manufacturers and fabless companies. It serves various markets, such as consumer electronics, personal computers, communications, automotive, industrial, aerospace, military, and medical device products. The company was incorporated in 1993 and is headquartered in Migdal Haemek, Israel.

CEO
Russell C. Ellwanger
Employees
5,613
Beta
0.89
Industry
Semiconductors
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
54.3
Neutral
Trend
Bullish
10-day vs 50-day MA
From 52W High
-15.8%
High: $149.57
From 52W Low
+339.8%
Low: $28.64
Moving Averages
10-Day
$128.70
Below
20-Day
$132.10
Below
50-Day
$126.20
Below
200-Day
$79.30
Above
60-Day Support
$105.2
60-Day Resistance
$149.57
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 2 — AdvancingScore: 90/100

Stock is in an uptrend above the 200-day moving average. This is the stage where institutional accumulation typically occurs. The 50-day SMA provides support.

Favorable technical position; 50-day SMA acts as support
Price vs 200 SMA
+58.9%
200 SMA Slope (60d)
+48.66%
Rising
Volume Ratio
1.19x
10d avg vs 50d avg
Days in Stage
100
Confidence: 90%

Financial Statementslast 4 quarters via FMP

MetricQ4 2025Q3 2025Q2 2025Q1 2025
Revenue$440M$396M$372M$358M
Gross Profit$118M$93M$80M$73M
Operating Income$71M$51M$40M$33M
Net Income$80M$54M$47M$40M
EPS (Diluted)$0.70$0.47$0.41$0.35
Gross Margin26.7%23.5%21.5%20.4%
Operating Margin16.1%12.8%10.7%9.2%
Net Margin18.2%13.6%12.5%11.2%

Why This Stock

TechnologyProfit margin 14.1%

Tradability FilterGrade A — 97/100Score impact: -8.3pt

Volume
100
1.9M avg/day
Dollar Vol
100
$237M/day
Float
100
112M shares
Mkt Cap
82
$14.4B
Range
100
422% spread
Composite Liquidity Score97/100
FDCBA

Multi-Year Range Analysis

Sideways: 0/100
YearLowHighRangeStatus
2021$24.81$40.4547.9%Wide
2022$31.04$49.1345.1%Wide
2023$21.43$45.8772.6%Wide
2024$28.02$54.2763.8%Wide
2025$28.64$129.58127.6%Wide
3-Year Range
143.2%
Narrow Years
0 / 5
Sideways Penalty
None
Free Float
100.5%
Outstanding Shares
112M
Bid-Ask Spread
422.0%
Institutional Tradable
Yes

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.