GlobalFoundries Inc. (GFS) vs Tower Semiconductor Ltd. (TSEM)

GlobalFoundries Inc. and Tower Semiconductor Ltd. are both Semiconductors companies. GlobalFoundries Inc. is the larger, with a market value of $26.8B against $23.8B — 1.1× the size. GlobalFoundries Inc. trades at the lower P/E: 35.9× against 76.1×. Tower Semiconductor Ltd. grew revenue faster over the last twelve months: 14.9% against 1.40%. Tower Semiconductor Ltd. has the higher net margin (16.9% vs 10.3%) and the higher return on invested capital (9.97% vs 4.51%). Across the 22 metrics below, GlobalFoundries Inc. leads on 11 and Tower Semiconductor Ltd. on 11.

Valuation

Metric GFS TSEM Semiconductors median
P/E 35.91 76.10 45.58
P/S 3.69 12.92 7.63
P/B 2.16 7.19 4.90
Price to free cash flow 36.04 69.50 48.34
EV/EBITDA 12.35 34.75 28.36
EV/Sales 3.59 12.13 7.15
Earnings yield 2.78% 1.31% 0.75%
Free cash flow yield 2.77% 1.44% 0.67%

Profitability

Metric GFS TSEM Semiconductors median
Gross margin 27.14% 26.87% 52.28%
Operating margin 11.59% 16.16% 4.76%
Net margin 10.32% 16.94% 4.26%
Free cash flow margin 13.07% 18.04% 8.47%
Return on equity 6.13% 10.53% 2.59%
Return on assets 4.25% 8.30% 1.78%
Return on invested capital 4.51% 9.97% 2.27%

Growth

Metric GFS TSEM Semiconductors median
Revenue growth (TTM) 1.40% 14.90% 16.92%
EPS growth (last fiscal year) 431.25% 4.86% 27.17%
Revenue growth, 5-year CAGR 6.96% 4.35% 5.83%
Net income growth, 5-year CAGR 0.00% 21.78% 0.00%

Health

Metric GFS TSEM Semiconductors median
Debt to equity 0.14 0.05 0.05
Current ratio 2.48 4.91 3.28
Net debt to EBITDA (0.68) (1.99) 0.58

Dividend

Metric GFS TSEM Semiconductors median
Dividend yield 0.51% — 1.19%
Payout ratio 0.19 — 0.40

Size

Metric GFS TSEM Semiconductors median
Market cap 26.76b 23.82b 5.43b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack