Tower Semiconductor (NASDAQ:TSEM)‘s stock had its “buy” rating reissued by research analysts at Needham & Company LLC in a report released on Thursday, March 28th, AnalystRatings.com reports. They currently have a $21.00 price target on the semiconductor company’s stock. Needham & Company LLC’s target price points to a potential upside of 18.85% from the stock’s current price.
The analysts wrote, “TowerJazz extended its manufacturing agreement with Panasonic Semiconductor Solutions (PSCS) for three more years, taking effect in the second quarter of 2019. This agreement is similar to its previous 5-year agreement with PSCS, with the major difference being the lower pricing structure. Due to a lower pricing structure, TSEM expects a roughly $20MM revenue reduction per quarter and a negative impact to gross margin. However, we expect it to offset the revenue and margin impact through operational improvements and cost efficiencies, coupled with the ramp in 300mm utilization rates at the Uozo fab and growth in SiGe, power management and sensors.””
TSEM has been the topic of several other reports. BidaskClub upgraded Tower Semiconductor from a “sell” rating to a “hold” rating in a research note on Friday, February 8th. ValuEngine downgraded Tower Semiconductor from a “hold” rating to a “sell” rating in a research note on Wednesday, January 2nd. Two research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company’s stock. The stock presently has an average rating of “Buy” and a consensus target price of $25.08.
Tower Semiconductor (NASDAQ:TSEM) last released its quarterly earnings results on Tuesday, February 19th. The semiconductor company reported $0.41 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.41. The firm had revenue of $333.59 million for the quarter, compared to the consensus estimate of $338.08 million. Tower Semiconductor had a return on equity of 13.59% and a net margin of 10.40%. The firm’s quarterly revenue was down 6.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.55 EPS. As a group, sell-side analysts anticipate that Tower Semiconductor will post 1.28 EPS for the current fiscal year.
Hedge funds have recently made changes to their positions in the business. Epoch Investment Partners Inc. acquired a new position in Tower Semiconductor during the third quarter worth $31,850,000. Taylor Frigon Capital Management LLC raised its holdings in Tower Semiconductor by 1.2% during the fourth quarter. Taylor Frigon Capital Management LLC now owns 139,764 shares of the semiconductor company’s stock worth $2,060,000 after purchasing an additional 1,650 shares during the last quarter. Renaissance Technologies LLC raised its holdings in Tower Semiconductor by 58.3% during the third quarter. Renaissance Technologies LLC now owns 488,900 shares of the semiconductor company’s stock worth $10,638,000 after purchasing an additional 180,000 shares during the last quarter. Macquarie Group Ltd. raised its holdings in Tower Semiconductor by 0.6% during the third quarter. Macquarie Group Ltd. now owns 2,261,135 shares of the semiconductor company’s stock worth $49,202,000 after purchasing an additional 12,710 shares during the last quarter. Finally, Ibex Investors LLC acquired a new position in Tower Semiconductor during the fourth quarter worth $11,011,000. Institutional investors own 52.12% of the company’s stock.
Tower Semiconductor Company Profile
Tower Semiconductor Ltd., an independent semiconductor foundry, manufactures and markets analog intensive mixed-signal semiconductor devices in the United States, Japan, Asia, and Europe. It provides various customizable process technologies, including SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, integrated power management, and MEMS.
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