Why Tower Semiconductor Took a Dive Today

Yahoo Finance ·

Shares of Tower Semiconductor ( TSEM 7.19% ) fell 7.4% on Friday. Tower is an Israeli semiconductor manufacturing company that produces specialty semiconductor nodes. Those aren't the most leading-edge, cutting-edge chips produced by the likes of Taiwan Semiconductor Manufacturing ( TSM 0.57% ) . However, Tower has become a massive AI winner, with the stock up a whopping 465% over the past year, due to its specialized silicon photonics technology . AI data centers are switching from copper to silicon photonics networking right now, so Tower's growth and future expectations have exploded. However, investors are in a profit-taking mood today after a rumor emerged yesterday that OpenAI may delay its IPO.

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