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$11.8B
Market Cap
53.4
P/E
1.82
PEG
16.7%
ROCE
19.0%
ROE
0.00
D/E
10.0%
OPM
-56.2%
% from 52W High
24
α RS
🔍 FN is showing a multi-screen setup because it matches 7 of 39 tracked screener presets, Sector RRG has Technology in the Improving quadrant with the trail still strengthening, and an ECS of 57 last quarter. The main caution: the Margin Expansion preset's Backtest win rate is only 47.4%. Net: Mixed signal stack, not a recommendation. ? Conviction RRG ECS Backtest
Sources
Conviction 7/39 · Technology in Improving quadrant · ECS 57 · Backtest win rate 47.4%
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Currency-adjusted total returns for FN including FX impact
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📈 Price History
Ratio Health
— Excellent
— Good
— Average
— Poor
By Category
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About

Fabrinet provides optical packaging and precision optical, electro-mechanical, and electronic manufacturing services in North America, the Asia-Pacific, Europe, and internationally. 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, 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.

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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 120.0K $62.6M 0.08% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q3 2026
Revenue
$1.214B
+39% YoY
Operating Income
$129.9M
+46% YoY
Operating Margin
10.7%
+0.5pp YoY
Net Income
$134.9M
+48% YoY
What Went Right
  • Record revenue of $1.214B exceeded guidance range of $1.18B-$1.22B.
  • Telecom revenue surged 55% YoY to a record $628M.
  • DCI revenue grew 90% YoY to $197M, with strong long-term trends intact.
What to Watch
  • Datacom revenue grew only 4% YoY due to broadening component supply constraints.
  • Supply-demand imbalance expected to persist into Q4, capping near-term Datacom shipments.
  • HPC program ramp pushed out by one quarter; $150M quarterly milestone now expected in Q1 FY2027.
Management Guidance
  • Q4 FY2026 revenue guidance: $1.25B-$1.29B, representing ~40% YoY growth at midpoint.
  • Q4 FY2026 non-GAAP EPS guidance: $3.72-$3.87.
  • Gross margin dynamics expected similar to Q3; continued operating leverage from top-line growth.
Investor Lens
The thesis is stronger after this call. Record revenue and earnings, accelerating growth (39% YoY), and multiple new growth vectors (direct hyperscale Datacom wins, merchant programs, CPO) provide diversification and long-term momentum. Near-term supply constraints in Datacom are a temporary headwind, but demand far exceeds supply, and capacity expansion (Building 10, Navanakorn facility) positions Fabrinet to capture outsized revenue when components ease. Strong execution and operating leverage (OpEx at 1.4% of revenue) support margin expansion.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record revenue and EPS exceed guidance, growth accelerating.
Revenue
Revenue hit a record $1.214B, up 39% YoY and 7% sequentially, above the guided range of $1.18B-$1.22B. Optical Communications grew 35% YoY to $889M, with Telecom surging 55% to $628M (DCI up 90% to $197M) and Datacom up 4% to $260M. Non-Optical Communications grew 52% YoY to $326M, led by High-Performance Compute ($107M, +25% QoQ).
Profitability
Non-GAAP net income was a record $134.9M, up 48% YoY, with non-GAAP EPS of $3.72 exceeding the guidance range of $3.55-$3.70. GAAP net income was $125.2M ($3.45 per diluted share).
Margins
Gross margin was 12.1%, down 30bp sequentially due to FX headwinds but up 10bp YoY. Operating margin improved to 10.7% (up 50bp YoY) as operating expenses declined to 1.4% of revenue, reflecting strong operating leverage.
Balance Sheet
Cash and short-term investments ended at $946M, down $60M QoQ. CapEx of $64M supported Building 10 construction and capacity expansion. Free cash flow was an outflow of $11M. The company also made a $32M minority investment in Raytek Semiconductor and completed a $11M purchase of a Navanakorn facility.
Key Risks
Three key risks flagged: (1) Broadening component supply shortages (lasers, memory, ASICs) are constraining Datacom shipments, with imbalance expected to persist in Q4. (2) HPC program transition pushed out by one quarter, delaying the $150M quarterly milestone. (3) Foreign exchange headwinds continue to pressure gross margins.
Outlook
For Q4 FY2026, management expects revenue of $1.25B-$1.29B (~40% YoY growth at midpoint) and non-GAAP EPS of $3.72-$3.87. Management expressed optimism for FY2027, citing new Datacom programs (hyperscale direct and merchant) and CPO opportunities as additional growth vectors.
Generated by AI · Q3 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q3 2026 Q3 2026 2026-05-04
Record Q3 revenue and EPS exceeded guidance, driven by strong growth in Telecom and new Datacom programs. Supply constraints limited Datacom shipments, but multiple new customer ramps and capacity expansions position the company for continued robust growth into FY27.
Q2 2026 Q2 2026 2026-02-02
Record Q2 revenue and EPS were driven by strong growth in telecom, Datacom, and HPC segments, with robust demand and new capacity expansions underway. Guidance calls for continued double-digit growth in Q3, despite ongoing FX headwinds, as supply constraints ease and new programs ramp.
Q1 2026 Q1 2026 2025-11-03
Record Q1 revenue and EPS exceeded guidance, driven by strong Telecom, DCI, and new HPC growth. Q2 outlook projects continued robust expansion, with revenue expected to rise 29% year-over-year at the midpoint and EPS between $3.15 and $3.30.
Q4 2025 Q4 2025 2025-08-18
Record Q4 and fiscal 2025 results were driven by strong Telecom and DataCom growth, with new partnerships and capacity expansions positioning the company for continued momentum. Temporary supply constraints are expected to ease, supporting robust guidance for Q1 fiscal 2026.
Q3 2025 Q3 2025 2025-05-05
Q3 revenue and EPS exceeded guidance, driven by strong telecom and automotive growth, while datacom declined due to product transitions. Major new ramps, including Amazon and 1.6 Tbps, are set for FY 2026, with temporary margin headwinds expected in Q4.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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