New York, January 25, 2026, 19:00 EST — The market closed.
- Tower Semiconductor ended Friday at $128.62, slipping roughly 1% from Thursday’s close.
- Intel’s outlook shook confidence, dragging chip stocks down and pushing the semiconductor sector index lower by roughly 1.2%.
- Traders are eyeing the Fed decision on Wednesday and Tower’s earnings report due Feb. 11.
Tower Semiconductor Ltd. shares slipped on Friday, closing at $128.62 after fluctuating between $124.00 and $129.90. Trading volume hit roughly 1.15 million shares. The stock ended about 1.0% lower than Thursday’s $129.98 close.
Macro risk returns as the next session kicks off. The Federal Reserve is set to hold its policy meeting from Jan. 27-28, with a decision expected at 2:00 p.m. ET on Jan. 28, followed by a press conference at 2:30 p.m., according to the Fed’s calendar.
Chip stocks were volatile Friday after Intel took a hit, warning of supply constraints and struggling to meet demand for AI data center server chips. “Going into results, we’re in a ‘show-me’ period where you have to put up revenue growth,” said Julian McManus, portfolio manager on Janus Henderson’s Global Alpha Equity team, noting stretched valuations as megacap tech earnings roll in. Reuters
The PHLX Semiconductor Sector Total Return index dropped 1.21% on Friday, according to Nasdaq data, underscoring how the sector’s recent rally remains vulnerable to sharp reversals after disappointing results or conservative outlooks.
Tower’s next big event is just around the corner. The company plans to report its fourth-quarter and full-year 2025 results on Feb. 11, along with guidance for the first quarter of 2026. A conference call will follow at 10:00 a.m. ET. Tower, a foundry specializing in contract manufacturing, focuses on analog and mixed-signal chips used in automotive and industrial electronics.
The Feb. 11 call will probably hinge on a few key points: demand tone, utilisation, and management’s confidence about Q1. Investors will be hunting for any solid details on mix, since when nerves hit, higher-value analog usually steals the spotlight.
Friday’s session offered a clear snapshot. The stock dipped early on, then fought its way back, yet still ended the day lower. In this market, the intraday low often carries as much weight as the closing price.
But here’s the catch: if the Fed turns hawkish on inflation, long-duration tech stocks usually bear the brunt first. Smaller chip makers often get pulled down too, even when there’s no fresh news on their end.
Tower faces a more immediate threat from its guidance. Even a slight signal that customers are delaying orders or that demand is shifting unevenly across sectors could send the stock tumbling. Traders are already braced for volatile “haves versus have-nots” moves in the semiconductor space.
Monday’s open will set the initial tone, but Wednesday’s Fed decision could change the narrative. The next big company event is Feb. 11, when Tower releases its earnings and updates guidance.
