Tower Semiconductor raised its 2028 net income target to $1.2 billion. The company plans to build a second 300mm facility to quadruple its production output in Japan. This expansion will support demand for advanced optical technologies beyond 2028.
Second-quarter revenue reached a record $460 million, a 24% increase year-over-year. Non-GAAP earnings hit $0.88 per share, exceeding consensus estimates.
Cyn Research downgraded the stock from Buy to Hold despite the growth outlook. The firm noted the stock trades at 21 times the 2028 net income target. This valuation suggests the market has already priced in the expected upside.