DailyIQ
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Sector:TechnologyAll sectors
Last updated 2 minutes ago

FN·Fabrinet

$.
-. (-.%)
After Hours
High
$491.50
Open
$476.51
Market Cap
17.30B
52W High
$748.89
Low
$462.05
P. Close
$471.13
P/E
41.09
52W Low
$272.49
Fwd P/E
-
DailyIQ Est.
$769.58
Technical Score (1D)
14
SELL
News Sentiment
46
MIXED
Argus Research has cut FN’s target price to $542, citing slower revenue growth and tighter margins. This downgrade signals a reassessment of the company’s valuation relative to its earnings outlook, potentially dampening bullish sentiment in the short term. The move may prompt traders to re‑evaluate their exposure to FN as the market digests the new valuation benchmark. Investors should watch for the company’s upcoming earnings guidance, which will clarify whether revenue growth is indeed slowing or merely lagging. Pay close attention to any cost‑control measures announced in the guidance, as they could offset margin pressure and restore confidence. Analysts will also be monitoring the company’s operating leverage and any changes in its product mix that could influence future profitability. The broader sector could feel the ripple effect if FN’s valuation shift is seen as indicative of wider industry headwinds. Traders should keep an eye on the next 1–10 trading days for any corporate announcements that could confirm or rebut the analyst’s concerns. A reversal in the target price or a strong earnings surprise could quickly shift sentiment back in favor of the stock.
Earnings Summary
Fabrinet is a key player in advanced manufacturing, specializing in optical communications, industrial lasers, automotive, medical, and sensor industries by providing comprehensive services from process design to assembly and testing of complex components. Operating within the Technology sector, specifically the Electronic Components industry, the company enables high-speed data transmission and manufactures critical parts for various high-tech applications, serving global original equipment manufacturers. In its most recent reported quarters, Fabrinet demonstrated a positive trend in both earnings per share (EPS) and revenue. For Q3 2026, the company reported actual EPS of $3.72 against an estimate of $3.666, and actual revenue of $1.214 billion against an estimate of $1.215 billion. This follows a pattern of strong performance, with Q2 2026 showing actual EPS of null against an estimate of $3.3449 and actual revenue of null against an estimate of $1.109 billion, and Q3 2025 reporting actual EPS of $2.92 against an estimate of $2.81866 and actual revenue of $978.128 million. The company has shown a consistent ability to meet or exceed analyst expectations in recent periods, with EPS beats in Q4 2024 ($2.61 vs $2.49347), Q1 2025 ($2.52 vs $2.47276), Q2 2025 ($2.65 vs $2.62946), and Q3 2025 ($2.92 vs $2.81866), and Q3 2026 ($3.72 vs $3.666). Recent news highlights a record fiscal third-quarter revenue of $1.214 billion, a 39% year-over-year increase, driven by strong optical and non-optical segments, with record non-GAAP EPS of $3.72 exceeding guidance due to execution and favorable foreign exchange. However, component shortages impacted Datacom shipments, and revenue slightly missed expectations, leading to a post-market price decline. Investors will be watching for management's commentary on market dynamics, supply chain navigation, and the outlook for future results, particularly concerning the balance between strong earnings and revenue performance amidst potential constraints. Key will be the company's ability to manage supply chain issues and capitalize on demand in its core segments, as well as analyst sentiment shifts, such as a recent price target reduction to $744.00 by Argus Research, balanced against a Zacks Rank #2 (Buy) driven by upward EPS estimate revisions.

EPS

EstBeatMiss
$2.29$2.69$3.10$3.50$3.91Q4'24Q1'25Q2'25Q3'25Q3'26Q2'26
QtrEstActual+/−
Q2'26$3.34 - -
Q3'26$3.67$3.72+1.5%
Q3'25$2.82$2.92+3.6%
Q2'25$2.63$2.65+0.8%
Q1'25$2.47$2.52+1.9%
Q4'24$2.49$2.61+4.7%

Revenue

EstBeatMiss
$776M$901M$1.0B$1.1B$1.3BQ4'24Q1'25Q2'25Q3'25Q3'26Q2'26
QtrEstActual+/−
Q2'26$1.1B - -
Q3'26$1.2B$1.2B-0.1%
Q3'25 - $978M -
Q2'25 - $910M -
Q1'25 - $872M -
Q4'24 - $834M -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

FN Stock Snapshot

FN is currently trading at $471.13, giving Fabrinet a market cap of 17.30B and a P/E ratio of 41.1. Today's range spans $462.05–$491.50, with shares opening at $476.51 and moving up $0.00 (0.0%) from the prior close. DailyIQ's technical score sits at 14/100 (SELL) with a news sentiment reading of 46/100.

Over the past year FN has traded between $272.49 and $748.89 - the current price is +72.9% off the 52-week low and -37.1% from the high. 21 analysts cover the stock with a Buy consensus and a mean 12-month target of $749.11 (range $635.00–$850.00), implying upside of +59.0%.

FN is showing a SELL signal (14/100) with neutral sentiment (46/100). Price: $471.13 (in the lower half of its 52-week range within $272.49–$748.89). (P/E: 41.1) At 17.30B in Technology market cap, a bearish technical read accompanied by negative sentiment often marks the beginning of an earnings revision cycle downward - active managers trim before the revisions become consensus, compounding the selling pressure.

The current SELL phase for FN (14/100) at $471.13 (in the lower half of its 52-week range) suggests that the market is discounting either a fundamental deterioration or a sector headwind that hasn't fully appeared in the earnings line yet. Sentiment at 46/100 (neutral) confirms that news flow is not providing a counternarrative. At 17.30B in Technology capitalization, FN has the liquidity for institutional exits to be orderly — but orderly doesn't mean shallow within the $272.49–$748.89 range.