Tower Semiconductor (TSEM) Stock Analysis

November 11, 2026

This is a peer-relative look at Tower Semiconductor (TSEM): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Semiconductors & Semiconductor Equipment peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Tower Semiconductor (TSEM)
Profile Item	TSEM
Name	Tower Semiconductor Ltd.
Country/Region	Israel
GICS Sector	Information Technology
GICS Industry Group	Semiconductors & Semiconductor Equipment
GICS Industry	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Semiconductors
Market Capitalization	15.59 billion USD
Currency	USD
Exchange	Nasdaq
Listing Date	October 26, 1994
Security Type	Common Stock

Price Performance

Cumulative Growth

TSEM

GSPC

Tower Semiconductor (TSEM) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Tower Semiconductor (TSEM) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Tower Semiconductor (TSEM) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Total Return (1Y)	78.71%	35.06%
Total Return (3Y, Annualized)	83.79%	22.14%
Total Return (5Y, Annualized)	32.56%	7.43%

Risk Profile

Drawdown History

TSEM

GSPC

Tower Semiconductor (TSEM) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Tower Semiconductor (TSEM) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Volatility (1Y, Annualized)	84.90%	73.97%
Beta (5Y)	0.99	1.84
Max Drawdown (5Y)	-58.66%	-64.62%

Risk-Adjusted Performance

Risk-Return Positioning

Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. TSEM is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Sharpe Ratio (1Y)	0.88	0.42
Sortino Ratio (1Y)	1.32	0.61

Profitability

ROE (TTM)

Tower Semiconductor (TSEM) posts ROE of 11.86%, roughly around the peer group’s normal range. Shareholders’ equity is producing a return that looks broadly typical for the industry.

TSEM

Semiconductors & Semiconductor Equipment industry group

11.86%

Group distribution

Max: 52.82%
Q3: 22.26%
TSEM: 11.86%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

Largest peers

NVDA: 117.21%
SKHY: 92.54%
MU: 88.26%
AVGO: 44.25%
TSM: 41.86%
AMD: 11.96%
TSEM: 11.86%

Where Tower Semiconductor (TSEM) stands on ROE within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Tower Semiconductor (TSEM) keeps 19.36% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.

TSEM

Semiconductors & Semiconductor Equipment industry group

19.36%

Group distribution

Max: 63.80%
Q3: 28.36%
TSEM: 19.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

Largest peers

SKHY: 70.27%
MU: 63.80%
NVDA: 63.66%
TSM: 51.12%
AVGO: 42.94%
TSEM: 19.36%
AMD: 16.77%

Where Tower Semiconductor (TSEM) stands on net margin within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Tower Semiconductor (TSEM) turns 24.16% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

TSEM

Semiconductors & Semiconductor Equipment industry group

24.16%

Group distribution

Max: 58.66%
Q3: 30.23%
TSEM: 24.16%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

Largest peers

MU: 80.68%
SKHY: 79.66%
NVDA: 66.24%
TSM: 58.66%
AVGO: 54.31%
TSEM: 24.16%
AMD: 21.17%

Where Tower Semiconductor (TSEM) stands on operating margin within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
ROE (TTM)	11.86%	10.58%
ROA (TTM)	6.07%	4.85%
Net Margin (TTM)	19.36%	11.44%
Operating Margin (TTM)	24.16%	15.91%
Gross Margin (TTM)	29.62%	49.36%

Growth

Revenue Growth

Tower Semiconductor (TSEM) grew revenue 9.05%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

Tower Semiconductor (TSEM): Revenue Growth across different time periods, set against Semiconductors & Semiconductor Equipment industry-group medians.

EPS Growth

Tower Semiconductor (TSEM) grew earnings per share 4.86%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.

Tower Semiconductor (TSEM): EPS Growth across different time periods, set against Semiconductors & Semiconductor Equipment industry-group medians.

Growth Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Revenue Growth (YoY)	9.05%	9.64%
Revenue Growth (3Y CAGR)	-2.27%	0.00%
EPS Growth (YoY)	4.86%	4.90%
EPS Growth (3Y CAGR)	-6.72%	-7.71%

Financial Strength

Current Ratio (MRQ)

Tower Semiconductor (TSEM) has current ratio of 3.72, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.

TSEM

Semiconductors & Semiconductor Equipment industry group

3.72

Group distribution

Max: 10.33
Q3: 5.62
TSEM: 3.72
Median: 3.33
Q1: 2.35
Min: 1.03

Largest peers

SKHY: 26.88
NVDA: 4.59
TSEM: 3.72
MU: 3.31
AMD: 2.73
TSM: 2.51
AVGO: 2.50

Where Tower Semiconductor (TSEM) stands on current ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Debt / Equity (MRQ)

Tower Semiconductor (TSEM) has debt-to-equity ratio of 0.05, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

TSEM

Semiconductors & Semiconductor Equipment industry group

0.05

Group distribution

Max: 1.46
Q3: 0.65
Median: 0.27
TSEM: 0.05
Q1: 0.04
Min: 0.00

Largest peers

AVGO: 0.60
NVDA: 0.17
AMD: 0.13
TSM: 0.12
SKHY: 0.05
TSEM: 0.05
MU: 0.04

Where Tower Semiconductor (TSEM) stands on debt-to-equity ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Current Ratio (MRQ)	3.72	3.33
Debt / Equity (MRQ)	0.05	0.27
Net Debt / EBITDA	-1.92	-0.36

Dividends

Dividend Yield (TTM)

Tower Semiconductor (TSEM) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

Group distribution

Max: 1.37%
Q3: 0.65%
TSEM: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Largest peers

SKHY: 2,118.64%
TSM: 1.70%
AVGO: 0.89%
NVDA: 0.15%
MU: 0.09%
TSEM: 0.00%
AMD: 0.00%

Where Tower Semiconductor (TSEM) stands on dividend yield within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Tower Semiconductor (TSEM) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

Group distribution

Max: 49.64%
Q3: 21.71%
TSEM: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Largest peers

AVGO: 32.44%
TSM: 24.46%
NVDA: 3.54%
MU: 0.71%
TSEM: 0.00%
SKHY: 0.00%
AMD: 0.00%

Where Tower Semiconductor (TSEM) stands on payout ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
Dividend Yield (TTM)	0.00%	0.00%
Dividend Payout Ratio (TTM)	0.00%	0.00%

Valuation

P/E Ratio (TTM)

Tower Semiconductor (TSEM) trades at P/E ratio of 44.16, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

TSEM

Semiconductors & Semiconductor Equipment industry group

44.16

Group distribution

Max: 110.34
Q3: 66.81
TSEM: 44.16
Median: 37.02
Q1: 23.96
Min: 8.12

Largest peers

AMD: 95.95
TSEM: 44.16
AVGO: 37.51
TSM: 24.33
NVDA: 23.60
MU: 9.28
SKHY: 8.12

Where Tower Semiconductor (TSEM) stands on P/E ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Tower Semiconductor (TSEM) trades at 8.47 on P/S ratio, roughly in the peer group’s normal range. The market is not making a strong cheap-or-rich statement about its revenue base.

TSEM

Semiconductors & Semiconductor Equipment industry group

8.47

Group distribution

Max: 21.42
Q3: 12.27
TSEM: 8.47
Median: 5.76
Q1: 2.73
Min: 0.00

Largest peers

AMD: 16.21
AVGO: 15.73
NVDA: 14.88
TSEM: 8.47
MU: 5.86
TSM: 0.39
SKHY: 0.00

Where Tower Semiconductor (TSEM) stands on P/S ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Tower Semiconductor (TSEM) trades at 4.85 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.

TSEM

Semiconductors & Semiconductor Equipment industry group

4.85

Group distribution

Max: 14.06
Q3: 7.44
TSEM: 4.85
Median: 4.29
Q1: 2.30
Min: 0.20

Largest peers

TSM: 71.65
NVDA: 19.68
AVGO: 14.06
AMD: 10.77
MU: 5.64
TSEM: 4.85
SKHY: 3.95

Where Tower Semiconductor (TSEM) stands on P/B ratio within its Semiconductors & Semiconductor Equipment peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Tower Semiconductor (TSEM) metric values compared with Semiconductors & Semiconductor Equipment industry-group medians
Metric	Current stock: TSEM	Industry group median
P/E Ratio (TTM)	44.16	37.02
P/S Ratio (TTM)	8.47	5.76
P/B Ratio (MRQ)	4.85	4.29
Free Cash Flow Yield (TTM)	1.59%	1.46%