Update shared on03 Sep 2025
Fair value Increased 6.85%The increase in Tower Semiconductor’s consensus price target is primarily driven by upgraded revenue growth expectations and a notable decline in its forward P/E, now implying a revised fair value of $67.26.
What's in the News
- Tower Semiconductor and Xscape Photonics introduced the industry's first on-chip, optically pumped multi-wavelength laser source on Tower’s PH18 Silicon Photonics platform, targeting growing AI datacenter optical interconnect markets.
- The new solution enables cost-effective, high-reliability, and scalable optical links, simplifying design and reducing latency for GPU-to-GPU and GPU-to-HBM connections in advanced AI clusters.
- Tower announced its 2025 Technical Global Symposium series, focusing on megatrends in AI, high-speed connectivity, and advanced imaging technologies to showcase its technology platforms and design enablement services.
- Provided Q3 2025 revenue guidance of $395 million (+/- 5%), reflecting a 7% increase year-over-year and a 6% rise quarter-over-quarter.
Valuation Changes
Summary of Valuation Changes for Tower Semiconductor
- The Consensus Analyst Price Target has risen slightly from $64.26 to $67.26.
- The Consensus Revenue Growth forecasts for Tower Semiconductor has significantly risen from 10.8% per annum to 15.5% per annum.
- The Future P/E for Tower Semiconductor has significantly fallen from 29.45x to 23.59x.
Disclaimer
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