Photronics Investors Face September Deadline in Securities Lawsuit

The complaint, filed in the United States District Court for the District of Connecticut, centers on the period between December 10, 2025, and May 27, 2026. Plaintiffs allege that CEO George C. Macricostas, CFO Eric Rivera, and PDMC President KangJyh Lee provided misleading information regarding order demand and product mix. According to the filing, these executives touted robust growth forecasts while failing to disclose critical design release pipeline issues caused by high fab utilization and supply constraints.

Central to the legal argument is the Sarbanes-Oxley Act. As signatories of the company’s SEC filings, Macricostas and Rivera were personally required to certify the accuracy of financial disclosures. The lawsuit contends that these certifications were signed despite actual knowledge—or reckless disregard—of the company’s inability to meet its stated growth projections. Shares of Photronics fell $19.49 on May 28, 2026, following the company’s admission that integrated circuit revenue had dropped 11% sequentially and that future guidance would fall well below market expectations.