Tower Semiconductor Ltd. Stock Price and Value Analysis

Should you buy Tower Semiconductor Ltd. stock? (NasdaqGS:TSEM). Let's see how it does in our automated value investing analysis system.

TSEM Free Cash Flow Trend

Free Cash Flow trendline for TSEM
Free Cash Flow trendline for Tower Semiconductor Ltd.

Based on historical returns, we believe that Tower Semiconductor Ltd. can grow its free cash at a rate of about 8%. That's positive!

AdvantagesDisadvantagesNeutral
  • This company is making money at a decent rate.
  • This stock is on sale.
  • This company is less known than others.
  • This company has wild ups and downs.
  • This company pays no dividend.

Inside the TSEM Numbers

TSEM Price
(Tower Semiconductor Ltd. stock price per share)
$27.80
[?] TSEM Fair Price
(based on intrinsic value)
$37.95
[?] TSEM Safety Price (based on a variable margin of safety) $22.77
[?] PE Ratio versus Sector 122% higher than other Technology stocks
[?] PE Ratio versus Industry 38% lower than other Semiconductors stocks
[?] Cash Yield 11.04%
[?] Free Cash Flow Jitter 94%

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 713,097 shares shorted. With 100,018,719 shares available for purchase and an average trading volume over the past 10 trading days of 552,871, it would take at least 1.29 days for all of the short holders to cover their shorts.

Is Tower Semiconductor Ltd. Stock on Sale?

We believe that Tower Semiconductor Ltd. may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Tower Semiconductor Ltd. looks like a price in the fair value range. Based on our analysis—if the company keeps making money the way it has been—you could be looking at a good stock. See Before You Buy for your next steps.

Should You Buy TSEM Stock?

Does Tower Semiconductor Ltd. have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.