Photronics Inc. Common Stock (PLAB)

FairStock Score: 57/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

At the 2026-10-13 close of $29.12, Photronics is a $1.7 billion photomask manufacturer with a plain, essential product: the templates that transfer circuit patterns onto semiconductor wafers and display substrates. It is not a glamorous franchise. FairStock labels it a CYCLICAL semiconductor equipment and materials company because earnings follow the economic cycle, and that matches the filed record: revenue was $892.1M in fiscal year 2023, ended 2023-10-31; $866.9M in fiscal year 2024, ended 2024-10-31; and $849.3M in fiscal year 2025, ended 2025-10-31, so the top line has drifted lower. Yet profits have held up. In fiscal Q3 2026, the quarter ended 2026-08-02, revenue was $216.0M and net income $28.9M, or $0.49 per diluted share, compared with $210.4M and $22.9M, or $0.39 per share, in fiscal Q3 2025, the quarter ended 2025-08-03. That is modest sales growth with much stronger profit growth. The balance sheet is a Graham comfort: no debt, and FairStock calculations show an Altman Z-Score of 5.44 plus trailing free cash flow of $110.4M. Still, returns are mixed: FairStock calculations show ROE of 13.77%, ROCE of only 6.50%, and Piotroski of 5/9. At the recent price, FairStock calculations show P/E of 10.36, P/B of 1.32, FCF yield of 6.4%, PEG of 0.39, EV/EBITDA of 3.46, and a Graham Number of $37.30, implying a 21.93% margin of safety. That is inexpensive, but cyclicality and flat long-term revenue keep me from calling it a wide-moat bargain. I want evidence that photomask demand is durable, not just a favorable point in the cycle.

In plain English: Photronics makes photomasks, the special stencils used to print tiny circuit patterns on chips and flat-panel displays. The business is profitable and has no debt, but sales have been fairly flat and the industry moves in cycles. At the recent price, the stock looks somewhat cheap compared with the company's earnings and cash flow, though it is not an obvious bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-08-02) · fiscal Q2 2026 10-Q (period ended 2026-05-03) · fiscal Q1 2026 10-Q (period ended 2026-02-01) · fiscal Q3 2025 10-Q (period ended 2025-08-03) · FY2025 10-K (period ended 2025-10-31) · FY2024 10-K (period ended 2024-10-31) · FY2023 10-K (period ended 2023-10-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer