Photronics, a leading provider of photomasks, has seen its stock plummet by 48% after reporting a fiscal Q2 earnings miss and issuing cautious guidance for fiscal Q3, primarily due to delays in chip design releases. However, recent developments indicate a potential turnaround, as management noted an uptick in chip design tape-outs in early May. Additionally, Photronics' high-end flat panel display (FPD) segment is poised for growth, particularly with Samsung Display commencing mass production of G8.6 AMOLED displays for Apple's MacBook Pro models. This production ramp-up is expected to bolster Photronics' sales in the segment. Furthermore, the company's expansion into photomask outsourcing for 7nm nodes, particularly in South Korea, is set to enhance its long-term integrated circuit opportunities, with completion anticipated by late fiscal year 2027. Analysts continue to endorse a buy rating for Photronics, adjusting the long-term price target to $58, which reflects a 101% upside potential from its current valuation, signaling confidence in the company's recovery trajectory.