TSEM

The dominant fact about TSEM is the gap between price and fundamentals. At $286.74 the stock trades at 147.8x FY2025 diluted EPS of $1.94 and 20.6x sales for a foundry earning $220M on $1.57B of revenue — a 7.6% return on equity. That is a multiple reserved for high-growth, high-return compounders, and the data show neither. Revenue grew 9.1% in FY2025 but is essentially flat across the cycle ($1.51B → $1.68B → $1.42B → $1.44B → $1.57B from FY2021–FY2025), and net income has been volatile rather than compounding ($518M in FY2023 collapsing to $208M, then $220M). Operating income rose just 1.5% YoY.

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