Tower Semiconductor’s market capitalization exceeded $22 billion following a recent stock surge. This valuation marks a dramatic turnaround from four years ago when the company nearly sold to Intel for approximately $5.4 billion.
Shares of the Israeli chipmaker rose nearly 60% over the past month. The stock has climbed approximately 525% over the last year.
The rally stems from Tower's strategic position in the artificial intelligence market. Demand is surging for specialized technologies like silicon photonics used in AI data centers.
Tower has expanded its manufacturing capacity to meet this demand. The company projects that AI-related activities could constitute half of its revenue by 2026.