Tower SemiconductorFRA:TOW -2.24%70 OCF Yield % is 3.02 as of Jun. 30, 2026, which is 69% below its 10-year median of 9.75. GuruFocus rates FRA:TOW with a GF Score™ of 70/100 and a GF Value™ of €53.49 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 1,029 Semiconductors companies, Tower Semiconductor ranks better than 66.38% on this metric.
OCF Yield % is calculated as Cash Flow from Operations divided by Market Capitalization. It is a financial solvency ratio that compares the operating cash flow a company is expected to earn against its market value.
Similar to Earnings Yield %, OCF Yield % is financial solvency ratio. A lower ratio suggests a less attractive investment, indicating that investors might not receive substantial returns in proportion to their investment. Conversely, a high operating cash flow yield signals that a company generates sufficient cash to comfortably meet its debts, obligations, and dividend payments, making it a promising investment choice.
Tower Semiconductor OCF Yield % Related Terms
Tower Semiconductor OCF Yield % Historical Data
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The historical data trend for Tower Semiconductor's OCF Yield % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Semiconductors subindustry, Tower Semiconductor's OCF Yield %, along with its competitors' market caps and OCF Yield % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Tower Semiconductor OCF Yield % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Tower Semiconductor's OCF Yield % distribution charts can be found below:
* The bar in red indicates where Tower Semiconductor's OCF Yield % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Tower Semiconductor (FRA:TOW) has a OCF Yield % of 3.02 as of Jun. 30, 2026. OCF Yield is calculated as Cash Flow from Operations divided by Market Capitalization. View historical data on Tower Semiconductor and its competitors. This is 69% below median its historical median of 9.75. Over the past decade, Tower Semiconductor's OCF Yield % has ranged from 1.95 to 20.35. According to the industry distribution chart, Tower Semiconductor ranks #346 out of 1029 companies in the Semiconductors industry, placing it in the top 33.6%.
Is Tower Semiconductor's OCF Yield % too high?
Tower Semiconductor's current OCF Yield % of 3.02 is 69% below median its 10-year median of 9.75. Over the past 10 years, this metric has ranged from a low of 1.95 to a high of 20.35. The Semiconductors industry median OCF Yield % is 1.25. Tower Semiconductor's value of 3.02 is 141.6% above this industry median. Based on the distribution chart, Tower Semiconductor ranks #346 out of 1029 companies in the Semiconductors industry, which is above the industry midpoint. Overall, Tower Semiconductor has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Tower Semiconductor's OCF Yield % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Tower Semiconductor ranks #346 out of 1029 companies for OCF Yield %. This puts Tower Semiconductor in the upper half of its industry. The industry median OCF Yield % is 1.25. Tower Semiconductor's value of 3.02 is 141.6% above this benchmark. Historically, Tower Semiconductor's own OCF Yield % has ranged from 1.95 to 20.35 over the past decade. While the company's 10-year median is 9.75 vs. the industry median of 1.25, Tower Semiconductor has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Yield % for a Semiconductors company?
The median OCF Yield % among Semiconductors companies is 1.25, based on 1,029 companies in the industry. Companies in the top quartile (top 25%) have a OCF Yield % significantly above this median, while those in the bottom quartile fall well below. However, OCF Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tower Semiconductor's current OCF Yield % of 3.02 is 141.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high OCF Yield % mean?
A high OCF Yield % can signal that a stock is expensive relative to its fundamentals. OCF Yield is calculated as Cash Flow from Operations divided by Market Capitalization. View historical data on Tower Semiconductor and its competitors. For the Semiconductors industry, the median OCF Yield % is 1.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tower Semiconductor's current OCF Yield % is 3.02, which is 69% below median its own 10-year median of 9.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tower Semiconductor stock overvalued right now?
Based on GuruFocus' analysis, Tower Semiconductor (FRA:TOW) is currently considered Significantly Overvalued. The stock's GF Value™ is €53.49, compared to a current price of €218.00 — trading 307.6% above its estimated fair value. The current OCF Yield % is 3.02, which is 69% below median its 10-year median of 9.75 and 141.6% above the Semiconductors industry median of 1.25. Tower Semiconductor's overall GF Score™ is 70/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Yield % calculated?
OCF Yield % is calculated from a company's financial statements. For Tower Semiconductor (FRA:TOW), the current OCF Yield % is 3.02 as of Jun. 30, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Tower Semiconductor (FRA:TOW) Overvalued in 2026?
Based on GuruFocus' analysis, Tower Semiconductor stock appears to be overvalued.
The current stock price of €218.00 is trading 307.6% above its estimated GF Value™ of €53.49.
GuruFocus considers Tower Semiconductor to be Significantly Overvalued.
Key valuation signals for FRA:TOW:
OCF Yield %: 3.02 (69% below median its 10-year median of 9.75)
GF Value™: €53.49 vs. price of €218.00 (307.6% above fair value)
Industry Position: 141.6% above the Semiconductors median (#346 of 1029)
No single metric tells the full story. See the FRA:TOW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tower Semiconductor Ltd is a pure-play specialty foundry that manufactures semiconductors. As a pure-play foundry, it focuses on producing integrated circuits (ICs) based on the design specifications of customers. The company's line of integrated circuits is incorporated into markets, including consumer electronics, personal computers, communications, automotive, and industrial and medical device products. It produces ICs alongside wholly-owned subsidiaries through fabrication facilities located in Japan. The company has a geographical presence in the USA, Japan, Asia (other than Japan), and Europe.
70GF Score
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