<p>Schizophrenia (SZ) is marked by deficits in auditory information processing and abnormal EEG dynamics that are not fully captured by conventional linear analysis. To address this gap, we develop a nonlinear fractional-order delay differential model inspired by case–control EEG data from the Consortium on the Genetics of Schizophrenia (COGS-2). We first establish conditions for asymptotic stability of the system and then perform Hopf bifurcation analysis to determine critical delays at which stability is lost and oscillatory activity emerges. These theoretical results are validated through numerical simulations using a predictor–corrector scheme, which illustrate transitions between stable and oscillatory regimes. The findings provide a mechanistic link between delayed feedback, memory effects, and the abnormal rhythms observed in SZ EEG. Overall, this study demonstrates that fractional-order delay models are well suited for capturing the complex temporal structure of neural dynamics in SZ and for explaining sensory processing deficits.</p>