Photronics, Inc. is facing investor litigation and law-firm probes after its shares fell 36.42% on May 28, 2026 following fiscal second-quarter results and weaker guidance. Hagens Berman said it is investigating, while Pomerantz LLP, The Portnoy Law Firm and Levi & Korsinsky, LLP said class actions have been filed or are being pursued on behalf of investors who bought securities during the Dec. 10, 2025 to May 27, 2026 class period. The notices allege Photronics and certain executives misled investors about demand, projected revenue, product mix and margins in its high-end integrated circuit photomask business while downplaying post-holiday seasonality, macroeconomic risks and operational constraints. The claims center on Photronics' May 28, 2026 report, which the firms say showed sequential revenue declines, revenue and earnings well below internal projections, an 11% sequential drop in IC revenue, compressed margins and third-quarter guidance below market consensus. Management said an expected seasonal recovery after the Chinese New Year did not materialize because of extensive new product launch delays, elevated fab utilization rates, geopolitical uncertainty and bottlenecks in the design-release pipeline. Levi & Korsinsky's notice added allegations that operating margin fell from 24.4% in the first quarter to 20.1% in the second quarter, with third-quarter guidance of 18% to 20%, and that revenue guidance moved from $217 million-$225 million to $207 million-$215 million as the slowdown became apparent. Photronics shares fell from $53.51 on May 27 to $34.02 on May 28, a one-day loss of $19.49 that Hagens Berman said erased more than $1.1 billion in market value. Investors seeking lead plaintiff status have until Sept. 4, 2026.