On May 26, Tower Semiconductor rose 5.02% in pre-market trading, trading at $299.18/share, with trading volume of $9.24 million. The stock continues its upward momentum driven by a confluence of fundamental catalysts.
On the news front, the company reported Q1 revenue of $414 million, up 15% year-over-year, with net income surging 62% YoY and silicon photonics revenue tripling. Tower signed a landmark $1.3 billion long-term silicon photonics supply contract, having already received $290 million in prepayments to lock in capacity, with the customer committing to even larger orders by 2028. Additionally, the company announced an extra $270 million investment to expand silicon photonics capacity, targeting a fivefold increase in wafer starts by Q4 of next year.
Multiple institutions have densely upgraded their target prices, with Wedbush raising its target from $140 to $300 and CITIC Securities assigning a $316 target while maintaining a Buy rating, providing sustained support for market confidence following short-term profit-taking earlier this month.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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