Tower Semiconductor (NASDAQ:TSEM) Shares Gap Down – Here’s What Happened

Shares of Tower Semiconductor Ltd. (NASDAQ:TSEM) gapped down before the market opened on Tuesday . The stock had previously closed at $316.85, but opened at $280.28. Tower Semiconductor shares last traded at $289.2630, with a volume of 449,730 shares changing hands.

Wall Street Analyst Weigh In

TSEM has been the subject of a number of analyst reports. Wedbush upped their price objective on shares of Tower Semiconductor from $140.00 to $300.00 and gave the stock a “neutral” rating in a research report on Thursday, May 14th. Benchmark raised their target price on Tower Semiconductor from $230.00 to $335.00 and gave the company a “buy” rating in a research report on Thursday, May 14th. Finally, Susquehanna raised their target price on Tower Semiconductor from $180.00 to $330.00 and gave the company a “positive” rating in a research report on Thursday, May 14th. Two research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $276.75.

Tower Semiconductor Trading Down 10.6%

The firm has a market cap of $31.84 billion, a price-to-earnings ratio of 131.69 and a beta of 0.87. The company’s 50-day moving average price is $244.49 and its 200-day moving average price is $173.81. The company has a quick ratio of 4.92, a current ratio of 5.63 and a debt-to-equity ratio of 0.04.

Tower Semiconductor (NASDAQ:TSEM) last released its quarterly earnings results on Wednesday, May 13th. The semiconductor company reported $0.65 earnings per share for the quarter, topping the consensus estimate of $0.56 by $0.09. The firm had revenue of $413.63 million during the quarter, compared to the consensus estimate of $410.72 million. Tower Semiconductor had a net margin of 15.13% and a return on equity of 8.54%. The company’s revenue for the quarter was up 15.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.35 EPS. Equities analysts expect that Tower Semiconductor Ltd. will post 2.84 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TSEM. Amundi grew its holdings in shares of Tower Semiconductor by 86.8% during the first quarter. Amundi now owns 21,617 shares of the semiconductor company’s stock worth $771,000 after buying an additional 10,042 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in shares of Tower Semiconductor by 4.1% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 99,633 shares of the semiconductor company’s stock worth $3,553,000 after buying an additional 3,954 shares in the last quarter. Geode Capital Management LLC boosted its position in Tower Semiconductor by 0.7% during the second quarter. Geode Capital Management LLC now owns 95,384 shares of the semiconductor company’s stock worth $4,135,000 after acquiring an additional 662 shares during the last quarter. Hsbc Holdings PLC acquired a new position in Tower Semiconductor during the second quarter worth about $438,000. Finally, Arrowstreet Capital Limited Partnership acquired a new position in Tower Semiconductor during the second quarter worth about $5,809,000. Hedge funds and other institutional investors own 70.51% of the company’s stock.

About Tower Semiconductor

Tower Semiconductor, traded on NASDAQ under the symbol TSEM, is a specialty foundry company that provides analog and mixed-signal semiconductor manufacturing services to a broad array of customers worldwide. The company focuses on delivering tailored process technologies for high-growth markets, including radio frequency (RF), power management, imaging, automotive electronics, and Internet of Things (IoT) applications. By combining deep process know-how with flexible manufacturing capabilities, Tower Semiconductor supports the development and volume production of advanced semiconductor devices for fabless and integrated device manufacturer customers.

The company’s technology portfolio spans standard and specialty processes such as CMOS, BiCMOS, high-voltage, radio frequency, silicon photonics, micro-electromechanical systems (MEMS) and image sensor production.