Why Photronics Stock Ripped Higher Today

• Photronics bushed connected income and bushed connected net this morning.

• Guidance for Q1 2026 looks beardown arsenic well.

• 10 stocks we similar amended than Photronics ›

Photronics (NASDAQ: PLAB) stock, which makes "photomasks" (devices for laying retired circuit designs connected semiconductor wafers) for the semiconductor industry, shocked investors with a large net bushed this greeting -- and the banal is up 46.5% arsenic of 9:45 a.m. ET.

Analysts forecast Photronics would gain lone $0.44 per stock connected $204.5 cardinal successful Q4 2025, but the institution really earned $0.60 per share, with income of $215.8 million.

And this was lone the commencement of the bully news. Although Photronics suffered thing of a income slump successful Q4 (and indeed, each twelvemonth long), with income falling 3% for the 4th and 2% for the year, net took a large leap forward.

As calculated according to mostly accepted accounting principles (GAAP), Photronics earned $1.07 per stock successful Q4, astir doubly past year's Q4 nett and adjacent much wealth than the non-GAAP fig noted above. For the year, Photronics earned $2.28 per share, up 9% contempt the income decline, and again, much wealth than you'd expect from the non-GAAP results.

CEO George Macricostas called these "very bully results ... with peculiar spot successful the United States," and an enlargement of the concern successful South Korea.

Looking up to Q1 of the caller fiscal year, Photronics expects to gain betwixt $0.51 and $0.59 per stock (non-GAAP) connected income of betwixt $217 cardinal and $225 million.

All of these numbers are good up of expert forecasts, but adjacent here, the quality gets better. Even earlier increasing to gain what it says it's going to gain this year, Photronics banal trades for little than 17 times earnings. With profits continuing to turn steadily, this looks similar a bully terms astatine which to buy.

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