U.S. stock markets rallied on July 14, 2026, as inflation cooled to 3.5%, matching 2020 lows and boosting growth stocks. The Nasdaq Composite rose 1.06%, while the S&P 500 gained 0.49%. IBM plunged 24% on earnings concerns, while CleanSpark and Tower Semiconductor surged on major infrastructure and expansion announcements. Banking stocks showed mixed results as earnings season began.

Tower Semiconductor announced it will release its second quarter 2026 earnings on August 4, 2026, followed by a conference call at 10:00 a.m. Eastern Time to discuss financial results and provide third quarter 2026 guidance. The call will be webcast and available for replay for 90 days.

Tower Semiconductor and Marvell Technology announced they have shipped over 5 million coherent photonic integrated circuits (PICs) for AI data center applications. Tower is expanding its silicon photonics capacity fivefold by end of 2026 and signed a multi-year supply deal with IQE for Indium Phosphide epiwafers. The stock is trading near 52-week highs with strong technical indicators and analyst consensus rating of Buy.

U.S. stock futures advanced on Monday with the S&P 500, Dow Jones, and Nasdaq 100 all rising. Markets are awaiting the Federal Reserve's interest rate decision on Wednesday under new chairman Kevin Warsh. Key gainers include Micron Technology (up 8.19% on analyst upgrade), Taiwan Semiconductor Manufacturing (up 3.77% on strong revenue growth), Tower Semiconductor (up 5.01% on supply deal), and SpaceX (up 5.90% following its IPO debut). President Trump announced a peace deal with Iran, causing crude oil futures to decline 5.2%.

Tower Semiconductor (NASDAQ: TSEM) announced a multi-year supply agreement with IQE plc for Indium Phosphide (InP) epiwafers to support silicon photonics and AI-driven data center infrastructure. The stock rose 5.16% in premarket trading, approaching its 52-week high of $302.86. The company carries a Buy rating with an average price target of $276.75 and has shown a 550.95% gain over the past 12 months.

Tower Semiconductor rallied 15.5% in May following strong Q1 earnings that beat expectations with 15.6% revenue growth and 62.9% EPS growth. The company secured $1.3 billion in silicon photonics contracts for 2027 with customer prepayments, plus additional commitments for 2028. A Susquehanna analyst nearly doubled the price target from $180 to $330, projecting an $8 EPS run rate by 2028.

Large-cap technology and AI-linked stocks dominated Wall Street's top gainers last week, with companies in semiconductors, cybersecurity, and digital infrastructure leading gains. Tower Semiconductor surged 28.48% after beating earnings and securing a $1.3 billion contract, while Cisco jumped 22.4% on strong results and analyst upgrades. Other notable gainers included Rocket Lab (18.08%), Palo Alto Networks (16.76%), and Applied Optoelectronics (25.36%).

Global semiconductor stocks retreated after Trump and Xi's summit failed to announce major chip agreements or breakthroughs on NVIDIA's China business. Key developments include Taiwan Semiconductor's $31.28B capital spending approval for AI chip manufacturing, Meta offering free WhatsApp access to competing AI developers to resolve EU antitrust concerns, Trump Mobile delivering delayed $499 smartphones, and the Elon Musk vs. OpenAI trial concluding with closing arguments. Notable earnings included strong results from Applied Materials, Cisco, and Tower Semiconductor, while Alibaba reported mixed results and Birkenstock faced margin pressures.

Tower Semiconductor surged nearly 30% this week following strong Q1 earnings that beat analyst expectations on both revenue ($413.6M, +15% YoY) and net income. The company also provided bullish Q2 guidance of $455M and announced $1.3B in silicon photonics contracts with major clients. Two analysts significantly raised their price targets, citing the company's strong growth potential in AI-related photonics technology.

Aeluma (ALMU) experienced a ~35% stock price correction following Q3 earnings miss due to delayed government contracts, not fundamental issues. The company continues advancing its commercialization strategy with new partnerships for quantum dot laser manufacturing. Despite dilution concerns, analysts and institutions view the dip as a buying opportunity, with support levels near $23.50 and price targets around $25. Key catalysts include improving customer demand driven by AI and growing patent portfolio.

Tower Semiconductor shares surged 18% after issuing an upbeat growth forecast driven by strong demand for its silicon photonics technology used in AI infrastructure. The company reported 62% net profit growth to $65 million with expanding margins, projects 22% revenue growth to $455 million in Q2, and secured $1.3 billion in photonics contracts for 2027. Management reaffirmed its 2028 targets of $2.8 billion in revenue and $750 million in net profit.

Tower Semiconductor (TSEM) surged 26% in April, driven by its leadership in silicon photonics for AI networking, positive sentiment from major chipmaker earnings reports, and a new customer win to produce defense industry chips. The stock has gained 486% over the past year but trades at a lofty 71.3x earnings.