Tower Semiconductor stock gained 3.54 percent on October 6

Published on 10/07/2026 at 13:37 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Tower Semiconductor stock closed at USD 258.41 on October 6, 2026, while nine analysts set a USD 312.93 average target. Q2 revenue rose 24 percent to USD 460 million.

Tower Semiconductor, IL0010823792, Illustration mit AI erstellt.

Tower Semiconductor (ISIN IL0010823792) closed at USD 258.41 on Nasdaq on October 6, 2026, gaining 3.54 percent in the session. The move leaves the specialty foundry stock 19.2 percent below its 52-week high of USD 319.94, while its USD 29.2 billion market capitalization keeps the company firmly in large-cap semiconductor territory.

Record quarter supports valuation

The latest operating figures remain the central reason for the market's interest. In its August 4, 2026 release, Tower Semiconductor reported second-quarter 2026 revenue of USD 460 million, up 24 percent from the prior-year quarter.

Profitability expanded even faster. Net profit reached USD 91 million, 95 percent above the USD 47 million recorded in the second quarter of 2025, while diluted GAAP earnings per share rose to USD 0.79 from USD 0.41.

Guidance points to another record

Management also guided to third-quarter 2026 revenue of USD 520 million, with a plus or minus 5 percent range. The midpoint represents 31 percent year-over-year growth and 13 percent sequential growth, according to the August 4 release from Tower Semiconductor.

The company identified silicon photonics as a major growth engine, reporting a USD 680 million annual revenue run rate in the second quarter. It also raised its 2028 model to USD 3.6 billion in revenue and USD 1.2 billion in net profit, although capacity expansion and customer demand remain execution factors.

Analysts see further upside

Consensus remains positive but sets a demanding benchmark. Stock Analysis lists a Strong Buy rating from nine analysts and an average price target of USD 312.93, which is 21.10 percent above the October 6 closing price.

MarketBeat's October 1, 2026 report counted one Strong Buy, seven Buy ratings and two Hold ratings, producing a Moderate Buy consensus and a USD 316 average target. The same report cited Bank of America's USD 367 target from August 7 and Stifel's USD 270 target from September 1, showing a wide spread in expectations.

Stock remains below yearly high

Tower Semiconductor closed at USD 258.41 on Nasdaq on October 6, 2026, with volume of 2,381,233 shares. The 52-week range runs from USD 70.90 to USD 319.94, so the next test for the growth narrative is whether the record guidance converts into sustained earnings growth rather than only higher expectations.