Core Insights - Tower Semiconductor's Q3 report exceeded Wall Street expectations, leading to an 18.1% increase in stock price despite a general decline in chip stocks [1][2] - The company's earnings per share were $0.47, surpassing analyst estimates by $0.02, while sales reached $396 million, exceeding forecasts by $1 million [2] - Year-over-year revenue growth was 7%, with gross profit rising to $93 million from $80 million in the previous year [4] Financial Performance - The current market capitalization of Tower Semiconductor is $11 billion [3] - The gross margin for the quarter was 22.01%, and operating cash flow was $139 million, representing a margin of 31.6% [4] - For Q4, the company projects sales of $440 million, indicating a potential annual growth of 14% and sequential growth of 11% [5] Growth Drivers - Tower Semiconductor is experiencing growth across all core product segments, including power management, image sensors, and 65nm RF mobile [6] - There is increasing demand from artificial intelligence (AI) data centers, which is positively impacting the company's growth outlook [6]

Core Insights - Tower Semiconductor reported fiscal third-quarter revenue growth of 6.8% year-over-year to $395.67 million, exceeding analyst expectations of $393.98 million [1] - The adjusted EPS of 55 cents also surpassed the consensus estimate of 54 cents [1] Company Performance - CEO Russell Ellwanger highlighted that core technologies such as power management, image sensors, and 65nm RF mobile are driving year-over-year revenue growth, establishing a solid foundation for expansion [2] - The company's leadership in SiGe and SiPho technologies for optical transceivers, along with increasing demand from data centers, is contributing to both revenue and profit growth [2] Future Outlook - Tower Semiconductor anticipates fourth-quarter revenue between $418.00 million and $462.00 million, compared to the analyst consensus estimate of $434.35 million [3] - Following the earnings announcement, Tower Semiconductor shares increased by 0.3% to $98.40 [3] Analyst Ratings and Price Targets - Benchmark analyst Cody Acree maintained a Buy rating and raised the price target from $73 to $120 [5] - Susquehanna analyst Medhi Hosseini kept a Positive rating and increased the price target from $100 to $135 [5] - Wedbush analyst Matt Bryson maintained an Outperform rating and raised the price target from $85 to $125 [5] - Barclays analyst Tavy Rosner maintained an Equal-Weight rating and increased the price target from $74 to $97 [5]