Photronics (NASDAQ:PLAB) Downgraded to Buy Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Photronics from strong-buy to buy, while broader analyst sentiment remains mixed with a Moderate Buy consensus and an average price target of $49.33.
• Photronics reported weaker-than-expected Q2 results, with EPS of $0.42 versus the expected $0.53 and revenue of $209.94 million below estimates. The company also issued Q3 guidance below consensus, signaling pressure on demand and margins.
• There has been notable insider selling and some institutional buying: insiders sold 346,144 shares over the last three months, while firms like JPMorgan and Royal Bank of Canada increased their holdings. Photronics stock opened at $32.35, well below its recent moving averages and 52-week high of $56.00.

Photronics (NASDAQ:PLAB - Get Free Report) was downgraded by Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued to clients and investors on Saturday.

A number of other equities research analysts have also recently commented on the stock. Craig Hallum reissued a "buy" rating on shares of Photronics in a research report on Friday. Zacks Research cut shares of Photronics from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, May 13th. Lake Street Capital reissued a "buy" rating and set a $55.00 target price on shares of Photronics in a research report on Friday, May 1st. Finally, Weiss Ratings raised shares of Photronics from a "hold (c)" rating to a "hold (c+)" rating in a research report on Wednesday, April 29th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, Photronics has an average rating of "Moderate Buy" and an average price target of $49.33.

Photronics Stock Performance

Shares of PLAB opened at $32.35 on Friday. The company has a 50 day moving average price of $46.21 and a 200-day moving average price of $37.16. Photronics has a fifty-two week low of $16.59 and a fifty-two week high of $56.00. The stock has a market capitalization of $1.91 billion, a PE ratio of 11.81 and a beta of 1.51.

Photronics (NASDAQ:PLAB - Get Free Report) last posted its earnings results on Thursday, May 28th. The semiconductor company reported $0.42 EPS for the quarter, missing analysts' consensus estimates of $0.53 by ($0.11). Photronics had a net margin of 18.47% and a return on equity of 7.69%. The firm had revenue of $209.94 million for the quarter, compared to analysts' expectations of $216.47 million. During the same period in the previous year, the company earned $0.40 EPS. The company's revenue was down .5% on a year-over-year basis. Photronics has set its Q3 2026 guidance at 0.390-0.450 EPS. Equities research analysts forecast that Photronics will post 2.35 EPS for the current year.

Insider Buying and Selling at Photronics

In other Photronics news, Director Constantine S. Macricostas sold 50,000 shares of the company's stock in a transaction that occurred on Tuesday, April 14th. The shares were sold at an average price of $45.35, for a total transaction of $2,267,500.00. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, COO Hsueh-Chun Wang sold 19,250 shares of the company's stock in a transaction that occurred on Tuesday, April 14th. The shares were sold at an average price of $45.30, for a total transaction of $872,025.00. Following the transaction, the chief operating officer owned 113,560 shares in the company, valued at $5,144,268. The trade was a 14.49% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 346,144 shares of company stock worth $15,061,759 in the last three months. 3.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of PLAB. Royal Bank of Canada increased its stake in Photronics by 30.1% during the 1st quarter. Royal Bank of Canada now owns 219,290 shares of the semiconductor company's stock valued at $4,553,000 after purchasing an additional 50,707 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in shares of Photronics by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 36,647 shares of the semiconductor company's stock worth $761,000 after acquiring an additional 1,600 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Photronics by 14.4% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 96,752 shares of the semiconductor company's stock valued at $2,009,000 after buying an additional 12,159 shares during the period. Intech Investment Management LLC grew its position in Photronics by 6.0% during the first quarter. Intech Investment Management LLC now owns 62,441 shares of the semiconductor company's stock valued at $1,296,000 after buying an additional 3,526 shares during the period. Finally, JPMorgan Chase & Co. grew its position in Photronics by 21.5% during the second quarter. JPMorgan Chase & Co. now owns 273,646 shares of the semiconductor company's stock valued at $5,153,000 after buying an additional 48,342 shares during the period. Institutional investors and hedge funds own 88.38% of the company's stock.

Photronics News Roundup

Here are the key news stories impacting Photronics this week:

• Negative Sentiment: Photronics reported weaker-than-expected Q2 earnings and revenue, prompting a sharp selloff. Photronics Reports Second Quarter 2026 Results
• Negative Sentiment: Q3 guidance also missed consensus, signaling near-term pressure on demand and margins. Why Is Photronics Stock Falling Friday?
• Negative Sentiment: Several law firms announced investigations into possible securities-law violations, creating an additional headline risk for shareholders. Securities Fraud Investigation Into Photronics, Inc. (PLAB) Announced

About Photronics

Photronics, Inc is a leading global supplier of photomask products used in the manufacture of integrated circuits, flat panel displays, microelectromechanical systems (MEMS), and advanced packaging applications. Photomasks, also known as reticles, are critical templates that carry the precise circuit patterns required for semiconductor lithography processes. The company offers a comprehensive range of mask solutions, including binary masks, attenuated phase-shift masks, reticles for micro-optics, and specialized products for high‐resolution applications.

Founded in 1969 and headquartered in Brookfield, Connecticut, Photronics has grown through organic expansion and strategic investments in high‐end lithography technology.

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