STM vs. TSEM: STMicroelectronics vs. Tower Semiconductor Stock Comparison

November 11, 2026

How do STMicroelectronics (STM) and Tower Semiconductor (TSEM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

STMicroelectronics (STM) and Tower Semiconductor (TSEM) are both classified in the Semiconductors sub-industry within the broader Semiconductors & Semiconductor Equipment industry, placing them in the closest GICS peer bucket.

Tower Semiconductor (TSEM) trades as ordinary local shares, while STMicroelectronics (STM) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Profile Item	STM	TSEM
Name	STMicroelectronics N.V.	Tower Semiconductor Ltd.
Country/Region	Switzerland	Israel
GICS Sector	Information Technology	Information Technology
GICS Industry Group	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Industry	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Semiconductors	Semiconductors
Market Capitalization	37.30 billion USD	15.59 billion USD
Currency	USD	USD
Exchange	NYSE	Nasdaq
Listing Date	December 8, 1994	October 26, 1994
Security Type	ADR	Common Stock

Price Performance

Cumulative Growth

STM

TSEM

GSPC

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM), with S&P 500 (GSPC) for reference: 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 STMicroelectronics (STM) and Tower Semiconductor (TSEM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for STMicroelectronics (STM) and Tower Semiconductor (TSEM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Total Return (1Y)	90.64%	78.71%
Total Return (3Y, Annualized)	4.24%	83.79%
Total Return (5Y, Annualized)	-1.95%	32.56%

Risk Profile

Drawdown History

STM

TSEM

GSPC

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM), with S&P 500 (GSPC) for reference: 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 STMicroelectronics (STM) and Tower Semiconductor (TSEM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Volatility (1Y, Annualized)	62.24%	84.90%
Beta (5Y)	2.00	0.99
Max Drawdown (5Y)	-66.66%	-58.66%
Avg. Volume (3M)	9.18M	2.22M

Risk-Adjusted Performance

Risk-Return Positioning

STM and TSEM are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Sharpe Ratio (1Y)	1.39	0.88
Sortino Ratio (1Y)	2.07	1.32

Profitability

ROE (TTM)

Both STMicroelectronics (STM) at 2.95% and Tower Semiconductor (TSEM) at 11.86% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

STM

Semiconductors & Semiconductor Equipment industry group

2.95%

Max: 52.82%
Q3: 22.26%
Median: 10.58%
STM: 2.95%
Q1: 1.29%
Min: -16.89%

TSEM

Semiconductors & Semiconductor Equipment industry group

11.86%

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

Both STMicroelectronics (STM) at 3.80% and Tower Semiconductor (TSEM) at 19.36% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

STM

Semiconductors & Semiconductor Equipment industry group

3.80%

Max: 63.80%
Q3: 28.36%
Median: 11.44%
STM: 3.80%
Q1: 0.90%
Min: -37.77%

TSEM

Semiconductors & Semiconductor Equipment industry group

19.36%

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Both STMicroelectronics (STM) at 11.10% and Tower Semiconductor (TSEM) at 24.16% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

STM

Semiconductors & Semiconductor Equipment industry group

11.10%

Max: 58.66%
Q3: 30.23%
Median: 15.91%
STM: 11.10%
Q1: 7.54%
Min: -25.74%

TSEM

Semiconductors & Semiconductor Equipment industry group

24.16%

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
ROE (TTM)	2.95%	11.86%
ROA (TTM)	2.63%	6.07%
Net Margin (TTM)	3.80%	19.36%
Operating Margin (TTM)	11.10%	24.16%
Gross Margin (TTM)	35.53%	29.62%

Growth

Revenue Growth

Tower Semiconductor (TSEM) at 9.05% is around its peer norm for revenue growth, while STMicroelectronics (STM) at -11.07% drops into the bottom quartile, signaling weaker demand or pricing momentum.

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their Revenue Growth across different time periods.

EPS Growth

Tower Semiconductor (TSEM) at 4.86% is around its peer norm for EPS growth, while STMicroelectronics (STM) at -89.16% drops into the bottom quartile, signaling weaker earnings momentum.

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Revenue Growth (YoY)	-11.07%	9.05%
Revenue Growth (3Y CAGR)	-9.89%	-2.27%
EPS Growth (YoY)	-89.16%	4.86%
EPS Growth (3Y CAGR)	-66.39%	-6.72%

Financial Strength

Current Ratio (MRQ)

Both STMicroelectronics (STM) at 3.13 and Tower Semiconductor (TSEM) at 3.72 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

STM

Semiconductors & Semiconductor Equipment industry group

3.13

Max: 10.33
Q3: 5.62
Median: 3.33
STM: 3.13
Q1: 2.35
Min: 1.03

TSEM

Semiconductors & Semiconductor Equipment industry group

3.72

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Both STMicroelectronics (STM) at 0.19 and Tower Semiconductor (TSEM) at 0.05 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

STM

Semiconductors & Semiconductor Equipment industry group

0.19

Max: 1.46
Q3: 0.65
Median: 0.27
STM: 0.19
Q1: 0.04
Min: 0.00

TSEM

Semiconductors & Semiconductor Equipment industry group

0.05

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Current Ratio (MRQ)	3.13	3.72
Debt / Equity (MRQ)	0.19	0.05
Net Debt / EBITDA	-0.63	-1.92

Dividends

Dividend Yield (TTM)

Tower Semiconductor (TSEM) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile STMicroelectronics (STM) reports a yield of 0.90%, ranking against industry peers normally.

STM

Semiconductors & Semiconductor Equipment industry group

0.90%

Max: 1.37%
STM: 0.90%
Q3: 0.65%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

Tower Semiconductor (TSEM) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile STMicroelectronics (STM) reports a payout of 63.16%, ranking against industry peers normally.

STM

Semiconductors & Semiconductor Equipment industry group

63.16%

STM: 63.16%
Max: 49.64%
Q3: 21.71%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TSEM

Semiconductors & Semiconductor Equipment industry group

0.00%

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
Dividend Yield (TTM)	0.90%	0.00%
Dividend Payout Ratio (TTM)	63.16%	0.00%

Valuation

P/E Ratio (TTM)

Tower Semiconductor (TSEM) at 44.16 is near its industry’s usual P/E ratio, while STMicroelectronics (STM) at 73.19 sits in the richer quartile — STM needs stronger growth or earnings quality to justify the premium.

STM

Semiconductors & Semiconductor Equipment industry group

73.19

Max: 110.34
STM: 73.19
Q3: 66.81
Median: 37.02
Q1: 23.96
Min: 8.12

TSEM

Semiconductors & Semiconductor Equipment industry group

44.16

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

STMicroelectronics (STM) at 2.73 sits in the cheaper P/S ratio quartile while Tower Semiconductor (TSEM) at 8.47 prices around its industry’s middle — STM costs less per dollar of sales, though read it alongside growth and margins.

STM

Semiconductors & Semiconductor Equipment industry group

2.73

Max: 21.42
Q3: 12.27
Median: 5.76
Q1: 2.73
STM: 2.73
Min: 0.00

TSEM

Semiconductors & Semiconductor Equipment industry group

8.47

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

STMicroelectronics (STM) at 2.09 sits in the lower P/B ratio quartile against book while Tower Semiconductor (TSEM) at 4.85 is valued near its industry’s middle — STM is cheaper on assets, though weigh it against ROE and asset quality.

STM

Semiconductors & Semiconductor Equipment industry group

2.09

Max: 14.06
Q3: 7.44
Median: 4.29
Q1: 2.30
STM: 2.09
Min: 0.20

TSEM

Semiconductors & Semiconductor Equipment industry group

4.85

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

STMicroelectronics (STM) vs. Tower Semiconductor (TSEM): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for STMicroelectronics (STM) and Tower Semiconductor (TSEM)
Metric	STM	TSEM
P/E Ratio (TTM)	73.19	44.16
P/S Ratio (TTM)	2.73	8.47
P/B Ratio (MRQ)	2.09	4.85
Free Cash Flow Yield (TTM)	0.29%	1.59%