FNFabrinet demonstrates strong fundamental performance with solid profitability and a healthy balance sheet. Thematic tailwinds in optical networking and data centers are supportive. Technical indicators suggest a mixed short-term outlook but a positive long-term trend.
Fabrinet is positioned to benefit from growth in optical networking, data center expansion, and advancements in telecommunications infrastructure. However, the evolving technological landscape presents some risks.
Fabrinet exhibits robust financial health with consistent revenue growth, strong profitability, and a healthy balance sheet with ample cash reserves and manageable debt.
Fabrinet's stock price shows a strong long-term uptrend, consistently trading above key moving averages. However, some oscillators suggest it may be entering or is within overbought territory, indicating a potential for short-term consolidation.
| Factor | Score |
|---|---|
| Optical Networking Growth | 85 |
| Data Center Expansion | 80 |
| Industrial & Medical Lasers | 70 |
| Technological Obsolescence | 50 |
| Supply Chain Dependencies | 70 |
| Factor | Score |
|---|---|
| Valuation | 65 |
| Profitability | 80 |
| Growth | 75 |
| Balance Sheet Health | 98 |
| Cash Flow | 90 |
| Earnings Surprise | 85 |
| Factor | Score |
|---|---|
| Trend Analysis | 85 |
| Momentum | 60 |
| Volume | 70 |
| Short-term Oscillators | 55 |
| Support/Resistance | 70 |
Consistent EPS Growth
The company has consistently surpassed EPS estimates in recent quarters, with a positive surprise percentage averaging 6.2% over the last four quarters. The latest reported EPS of $2.52 exceeded the estimate of $2.49 by 1.03%.
Reasonable P/E Ratio
The trailing twelve-month (TTM) P/E ratio of 34.02 is within a reasonable range given the company's historical performance and industry standards. Recent annual P/E ratios show a trend of increasing but not excessive valuation.
High Quarterly P/E and P/S Ratios
The most recent quarterly P/E ratio of 134.7 and P/S ratio of 14.5 are significantly higher than the trailing twelve-month (TTM) and annual figures, indicating potential overvaluation based on short-term performance or forward-looking expectations.
Slowing Revenue Growth in Latest Quarter
While annual revenue growth is positive, the revenue for Q2 2025 is projected to be $871.8 million compared to $833.6 million in Q4 2024, showing a relatively modest sequential increase, and the trend in historical quarterly revenue growth needs careful monitoring.
August 2025
19
Next Earnings Date
H: $2.65
A: $2.63
L: $2.61
H: 890.00M
A: 880.19M
L: 870.00M
Fabrinet provides optical packaging and precision optical, electro-mechanical, and electronic manufacturing services in North America, the Asia-Pacific, and Europe. The company offers a range of advanced optical and electro-mechanical capabilities in the manufacturing process, including process design and engineering, supply chain management, manufacturing, printed circuit board assembly, advanced packaging, integration, final assembly, and testing. Its products include switching products, including reconfigurable optical add-drop multiplexers, optical amplifiers, modulators, and other optical components and modules that enable network managers to route voice, video, and data communications traffic through fiber optic cables at various wavelengths, speeds, and over various distances. The company's products also comprise transceivers, tunable lasers, and transponders; and active optical cables, which provide high-speed interconnect capabilities for data centers and computing clusters, as well as Infiniband, Ethernet, fiber channel, and optical backplane connectivity. In addition, it provides solid state, diode-pumped, gas, and fiber lasers used in semiconductor processing, biotechnology and medical device, metrology, and material processing industries; and differential pressure, micro-gyro, fuel, and other sensors used in automobiles, as well as non-contact temperature measurement sensors for the medical industry. Further, the company designs and fabricates application-specific crystals, lenses, prisms, mirrors, laser components, and substrates; and other custom and standard borosilicate, clear fused quartz, and synthetic fused silica glass products. It serves original equipment manufacturers of optical communication components, modules and sub-systems, industrial lasers, automotive components, medical devices, and sensors. The company was incorporated in 1999 and is based in George Town, the Cayman Islands.
256.00 USD
The 39 analysts offering 1 year price forecasts for FN have a max estimate of 375.00 and a min estimate of 172.04.