Photronics Profitability Analysis

PLAB Stock  USD 31.42  1.97  5.90%   
Based on Photronics' profitability indicators, Photronics is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in February. Profitability indicators assess Photronics' ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1985-10-31
Previous Quarter
22.9 M
Current Value
61.8 M
Quarterly Volatility
21.4 M
 
Black Monday
 
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Yuan Drop
 
Covid
The current year's EV To Sales is expected to grow to 1.56, whereas Price To Sales Ratio is forecasted to decline to 1.56. At present, Photronics' Operating Income is projected to increase significantly based on the last few years of reporting. The current year's Income Before Tax is expected to grow to about 267.8 M, whereas Accumulated Other Comprehensive Income is projected to grow to (73.8 M). At present, Photronics' Gross Profit is projected to increase significantly based on the last few years of reporting. The current year's Pretax Profit Margin is expected to grow to 0.25, whereas Gross Profit Margin is forecasted to decline to 0.39.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.390.41
Notably Down
Slightly volatile
Net Profit Margin0.150.14
Notably Up
Slightly volatile
Pretax Profit Margin0.250.24
Sufficiently Up
Slightly volatile
Return On Assets0.09220.0878
Sufficiently Up
Slightly volatile
Return On Equity0.140.13
Significantly Up
Very volatile
For Photronics profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Photronics to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Photronics utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Photronics's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Photronics over time as well as its relative position and ranking within its peers.

Photronics' Revenue Breakdown by Earning Segment

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For information on how to trade Photronics Stock refer to our How to Trade Photronics Stock guide.The next projected EPS of Photronics is estimated to be 0.5 with future projections ranging from a low of 0.5 to a high of 0.5. Photronics' most recent 12-month trailing earnings per share (EPS TTM) is at 2.28. Please be aware that the consensus of earnings estimates for Photronics is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
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Credit Downgrade
 
Yuan Drop
 
Covid
Photronics is projected to generate 0.5 in earnings per share on the 30th of April 2026. Photronics earnings estimates show analyst consensus about projected Photronics EPS (Earning Per Share). It derives the highest and the lowest estimates based on Photronics' historical volatility. Many public companies, such as Photronics, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Photronics Revenue Breakdown by Earning Segment

By analyzing Photronics' earnings estimates, investors can diagnose different trends across Photronics' analyst sentiment over time as well as compare current estimates against different timeframes.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Photronics. If investors know Photronics will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Photronics listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.984
Earnings Share
2.28
Revenue Per Share
14.248
Quarterly Revenue Growth
(0.03)
Return On Assets
0.074
The market value of Photronics is measured differently than its book value, which is the value of Photronics that is recorded on the company's balance sheet. Investors also form their own opinion of Photronics' value that differs from its market value or its book value, called intrinsic value, which is Photronics' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Photronics' market value can be influenced by many factors that don't directly affect Photronics' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Photronics' value and its price as these two are different measures arrived at by different means. Investors typically determine if Photronics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Photronics' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Photronics Return On Asset vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Photronics's current stock value. Our valuation model uses many indicators to compare Photronics value to that of its competitors to determine the firm's financial worth.
Photronics is regarded second in return on equity category among its peers. It also is regarded second in return on asset category among its peers reporting about  0.60  of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Photronics is roughly  1.67 . At present, Photronics' Return On Equity is projected to increase slightly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Photronics' earnings, one of the primary drivers of an investment's value.

Photronics' Earnings Breakdown by Geography

Photronics Return On Asset vs. Return On Equity

Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Photronics

Return On Equity

 = 

Net Income

Total Equity

 = 
0.12
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

Photronics

Return On Asset

 = 

Net Income

Total Assets

 = 
0.074
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

Photronics Return On Asset Comparison

Photronics is currently under evaluation in return on asset category among its peers.

Photronics Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Photronics, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Photronics will eventually generate negative long term returns. The profitability progress is the general direction of Photronics' change in net profit over the period of time. It can combine multiple indicators of Photronics, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-77.7 M-73.8 M
Operating Income239.4 M251.4 M
Income Before Tax255.1 M267.8 M
Total Other Income Expense Net15.4 M16.2 M
Net Income156.9 M164.7 M
Income Tax Expense36.3 M38.1 M
Net Income Applicable To Common Shares136.6 M143.4 M
Net Income From Continuing Ops218.8 M229.7 M
Non Operating Income Net Other33.4 M35 M
Interest Income25.3 M26.6 M
Net Interest Income25.2 M26.5 M
Change To Netincome76.8 M80.6 M
Net Income Per Share 2.06  2.16 
Income Quality 1.63  1.72 
Net Income Per E B T 0.71  0.78 

Photronics Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Photronics. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Photronics position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Photronics' important profitability drivers and their relationship over time.

Photronics Profitability Trends

Photronics profitability trend refers to the progression of profit or loss within a business. An upward trend means that Photronics' profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is Photronics' gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.

Photronics Profitability Drivers Correlations

One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between Photronics different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards Photronics in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down Photronics' future profitability.

Photronics Earnings Estimation Breakdown

The calculation of Photronics' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Photronics is estimated to be 0.5 with the future projection ranging from a low of 0.5 to a high of 0.5. Please be aware that this consensus of annual earnings estimates for Photronics is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
0.50
Lowest
Expected EPS
0.5
0.50
Highest

Photronics Earnings Projection Consensus

Suppose the current estimates of Photronics' value are higher than the current market price of the Photronics stock. In this case, investors may conclude that Photronics is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Photronics' stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 30th of April 2026Current EPS (TTM)
175.89%
0.0
0.5
2.28

Photronics Earnings History

Earnings estimate consensus by Photronics analysts from Wall Street is used by the market to judge Photronics' stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we recommend analyzing not only Photronics' upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.

Photronics Quarterly Gross Profit

75.53 Million

At present, Photronics' Retained Earnings are projected to increase significantly based on the last few years of reporting. The current year's Retained Earnings Total Equity is expected to grow to about 526 M, whereas Price Earnings Ratio is forecasted to decline to 8.22. The current year's Net Income Applicable To Common Shares is expected to grow to about 143.4 M, whereas Common Stock Shares Outstanding is forecasted to decline to about 46.2 M.
Hype
Prediction
LowEstimatedHigh
24.2130.9337.65
Details
Intrinsic
Valuation
LowRealHigh
29.5736.2943.01
Details
1 Analysts
Consensus
LowTargetHigh
38.2242.0046.62
Details
Earnings
Estimates (0)
LowProjected EPSHigh
0.500.500.50
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Photronics. Your research has to be compared to or analyzed against Photronics' peers to derive any actionable benefits. When done correctly, Photronics' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Photronics. Note that many institutional investors and large investment bankers can move markets due to the volume of Photronics assets they manage. They also follow analysts to some degree and often drive overall investor sentiments towards Photronics. With so many stockholders watching consensus numbers, the difference between actual and projected earnings is one of the most critical factors driving Photronics' stock price in the short term.

Photronics Earnings per Share Projection vs Actual

Actual Earning per Share of Photronics refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Photronics predict the company's earnings will be in the future. The higher the earnings per share of Photronics, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.

Photronics Estimated Months Earnings per Share

For an investor who is primarily interested in generating an income out of investing in entities such as Photronics, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Photronics should always be considered in relation to other companies to make a more educated investment decision.

Photronics Quarterly Analyst Estimates and Surprise Metrics

Earnings surprises can significantly impact Photronics' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
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2025-12-17
2025-10-310.450.60.1533 
2025-08-27
2025-07-310.390.510.1230 
2025-05-28
2025-04-300.480.4-0.0816 
2025-02-26
2025-01-310.470.520.0510 
2024-12-11
2024-10-310.520.590.0713 
2024-08-29
2024-07-310.560.51-0.05
2024-05-22
2024-04-300.550.46-0.0916 
2024-02-21
2024-01-310.490.42-0.0714 
2023-12-13
2023-10-310.530.720.1935 
2023-09-06
2023-07-310.520.44-0.0815 
2023-05-24
2023-04-300.450.650.244 
2023-02-20
2023-01-310.40.23-0.1742 
2022-12-13
2022-10-310.480.60.1225 
2022-08-30
2022-07-310.50.510.01
2022-05-25
2022-04-300.350.490.1440 
2022-02-23
2022-01-310.310.380.0722 
2021-12-08
2021-10-310.250.330.0832 
2021-08-25
2021-07-310.220.230.01
2021-05-26
2021-04-300.170.170.0
2021-02-24
2021-01-310.110.130.0218 
2020-12-09
2020-10-310.150.1-0.0533 
2020-08-27
2020-07-310.150.170.0213 
2020-05-27
2020-04-300.140.1-0.0428 
2020-03-04
2020-01-310.160.160.0
2019-12-11
2019-10-310.150.150.0
2019-08-20
2019-07-310.10.10.0
2019-05-22
2019-04-300.070.130.0685 
2019-02-21
2019-01-310.050.080.0360 
2018-12-12
2018-10-310.170.180.01
2018-08-22
2018-07-310.150.170.0213 
2018-05-22
2018-04-300.070.150.08114 
2018-02-14
2018-01-310.060.090.0350 
2017-11-29
2017-10-310.060.080.0233 
2017-08-14
2017-07-310.090.06-0.0333 
2017-05-17
2017-04-300.050.03-0.0240 
2017-02-15
2017-01-310.030.030.0
2016-12-06
2016-10-310.030.050.0266 
2016-08-18
2016-07-310.140.12-0.0214 
2016-05-18
2016-04-300.130.130.0
2016-02-24
2016-01-310.160.170.01
2015-12-02
2015-10-310.180.250.0738 
2015-08-18
2015-07-310.120.170.0541 
2015-05-18
2015-04-300.10.120.0220 
2015-02-17
2015-01-310.060.070.0116 
2014-12-08
2014-10-310.090.07-0.0222 
2014-08-19
2014-07-310.070.070.0
2014-05-19
2014-04-300.040.02-0.0250 
2014-02-18
2014-01-310.050.04-0.0120 
2013-12-10
2013-10-310.080.090.0112 
2013-08-13
2013-07-310.10.10.0
2013-05-14
2013-04-300.090.08-0.0111 
2013-02-13
2013-01-310.020.040.02100 
2012-12-04
2012-10-310.040.070.0375 
2012-08-14
2012-07-310.150.160.01
2012-05-14
2012-04-300.120.140.0216 
2012-02-15
2012-01-310.090.090.0
2011-12-06
2011-10-310.120.140.0216 
2011-08-16
2011-07-310.190.230.0421 
2011-05-16
2011-04-300.160.240.0850 
2011-02-15
2011-01-310.180.20.0211 
2010-12-06
2010-10-310.130.140.01
2010-08-17
2010-07-310.090.130.0444 
2010-05-18
2010-04-300.040.090.05125 
2010-02-16
2010-01-31-0.040.010.05125 
2009-12-08
2009-10-31-0.06-0.07-0.0116 
2009-08-18
2009-07-31-0.19-0.130.0631 
2009-05-19
2009-04-30-0.22-0.210.01
2009-02-17
2009-01-31-0.2-0.21-0.01
2008-12-16
2008-10-31-0.140.020.16114 
2008-08-13
2008-07-31-0.11-0.15-0.0436 
2008-05-13
2008-04-30-0.05-0.050.0
2008-02-13
2008-01-31-0.1-0.080.0220 
2007-12-04
2007-10-310.010.010.0
2007-08-15
2007-07-310.040.050.0125 
2007-05-15
2007-04-300.170.14-0.0317 
2007-02-14
2007-01-310.160.13-0.0318 
2006-12-05
2006-10-310.160.260.162 
2006-08-15
2006-07-310.120.150.0325 
2006-05-16
2006-04-300.210.30.0942 
2006-02-14
2006-01-310.130.210.0861 
2005-12-06
2005-10-310.180.190.01
2005-08-16
2005-07-310.30.350.0516 
2005-05-17
2005-04-300.20.280.0840 
2005-02-15
2005-01-310.110.130.0218 
2004-12-07
2004-10-310.250.24-0.01
2004-08-17
2004-07-310.220.230.01
2004-05-18
2004-04-300.140.170.0321 
2004-02-17
2004-01-310.010.070.06600 
2003-12-09
2003-10-310.110.1-0.01
2003-05-20
2003-04-30-0.2-0.130.0735 
2003-02-18
2003-01-31-0.34-0.260.0823 
2002-12-10
2002-10-31-0.09-0.060.0333 
2002-05-14
2002-04-300.110.08-0.0327 
2002-02-12
2002-01-310.060.060.0
2001-12-05
2001-10-310.020.070.05250 
2001-08-15
2001-07-310.030.060.03100 
2001-05-09
2001-04-300.330.32-0.01
2001-02-15
2001-01-310.260.280.02
2000-12-06
2000-10-310.290.290.0
2000-08-16
2000-07-310.230.240.01
2000-05-17
2000-04-300.180.210.0316 
2000-02-16
2000-01-310.140.13-0.01
1999-12-08
1999-10-310.190.20.01
1999-08-18
1999-07-310.170.14-0.0317 
1999-05-19
1999-04-300.10.09-0.0110 
1999-02-16
1999-01-310.060.03-0.0350 
1998-12-09
1998-10-310.120.130.01
1998-08-19
1998-07-310.220.240.02
1998-05-20
1998-04-300.30.30.0
1998-02-20
1998-01-310.270.25-0.02
1997-12-10
1997-10-310.290.290.0
1997-08-19
1997-07-310.270.280.01
1997-05-13
1997-04-300.240.250.01
1997-02-11
1997-01-310.20.20.0
1996-12-10
1996-10-310.230.230.0
1996-08-19
1996-07-310.230.230.0
1996-05-22
1996-04-300.210.220.01
1996-02-21
1996-01-310.20.20.0

Use Photronics in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Photronics position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Photronics will appreciate offsetting losses from the drop in the long position's value.

Photronics Pair Trading

Photronics Pair Trading Analysis

The ability to find closely correlated positions to Photronics could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Photronics when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Photronics - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Photronics to buy it.
The correlation of Photronics is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Photronics moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Photronics moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Photronics can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Photronics position

In addition to having Photronics in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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When determining whether Photronics offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Photronics' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Photronics Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Photronics Stock:
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For information on how to trade Photronics Stock refer to our How to Trade Photronics Stock guide.
You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
To fully project Photronics' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Photronics at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Photronics' income statement, its balance sheet, and the statement of cash flows.
Potential Photronics investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Photronics investors may work on each financial statement separately, they are all related. The changes in Photronics's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Photronics's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.