Fabrinet (NYSE:FN) Releases Q1 2027 Earnings Guidance

Fabrinet (NYSE:FN) issued an update on its first quarter 2027 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of 4.100-4.250 for the period, compared to the consensus estimate of 3.950. The company issued revenue guidance of $1.4 billion-$1.4 billion, compared to the consensus revenue estimate of $1.3 billion.

Fabrinet Trading Up 5.0%

Shares of FN stock traded up $28.28 during midday trading on Monday, reaching $598.50. 1,541,695 shares of the stock were exchanged, compared to its average volume of 830,153. The company’s 50 day moving average is $526.47 and its two-hundred day moving average is $569.40. The firm has a market cap of $21.44 billion, a PE ratio of 51.42 and a beta of 1.23. Fabrinet has a 1 year low of $272.49 and a 1 year high of $748.89.

Fabrinet (NYSE:FN) last posted its quarterly earnings results on Tuesday, August 18th. The technology company reported $4.10 EPS for the quarter, beating analysts’ consensus estimates of $3.81 by $0.29. Fabrinet had a net margin of 9.94% and a return on equity of 19.83%. The firm had revenue of $1.32 billion for the quarter, compared to analysts’ expectations of $1.28 billion. As a group, equities analysts expect that Fabrinet will post 12.97 EPS for the current fiscal year.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the stock. Zacks Research cut shares of Fabrinet from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 15th. Needham & Company LLC reduced their price target on Fabrinet from $800.00 to $650.00 and set a “buy” rating for the company in a research report on Wednesday, July 22nd. Northland Securities set a $800.00 price target on Fabrinet in a report on Monday, April 20th. Weiss Ratings lowered Fabrinet from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday. Finally, Wall Street Zen lowered shares of Fabrinet from a “buy” rating to a “hold” rating in a report on Monday, July 20th. Five equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $643.00.

Insider Buying and Selling at Fabrinet

In related news, Director Homa Bahrami sold 2,500 shares of the business’s stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $711.91, for a total value of $1,779,775.00. Following the transaction, the director owned 16,233 shares in the company, valued at $11,556,435.03. The trade was a 13.35% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Insiders own 0.24% of the company’s stock.

Key Stories Impacting Fabrinet

Here are the key news stories impacting Fabrinet this week:

• Positive Sentiment: Results exceeded expectations: Fourth-quarter revenue reached a record $1.316 billion, up 45% year over year and above guidance. Non-GAAP EPS was $4.10, beating analysts’ consensus estimate of $3.81. GAAP net income rose to $139.3 million, or $3.83 per diluted share, from $87.2 million, or $2.42, a year earlier. Fabrinet Announces Fourth Quarter and Fiscal Year 2026 Financial Results
• Positive Sentiment: Full-year momentum was strong: Fiscal 2026 revenue increased 36% to $4.64 billion, while GAAP net income climbed 42% to $473.0 million. Non-GAAP full-year EPS reached a record $14.09, compared with $10.17 in fiscal 2025. Management cited multiple growth drivers across its optical packaging and precision manufacturing businesses. Fabrinet Reports Record Fourth Quarter and Fiscal 2026 Revenue Growth of 36%
• Positive Sentiment: Fiscal 2027 began with constructive guidance: Fabrinet expects first-quarter revenue of $1.375 billion to $1.425 billion and non-GAAP EPS of $4.10 to $4.25, supporting continued year-over-year growth and reinforcing management’s upbeat outlook.
• Neutral Sentiment: Executive incentives were updated: Fabrinet announced changes to executive incentive arrangements alongside its earnings release. The update may align management compensation with performance goals, but the company did not provide enough detail in the available report to assess a material financial impact. Fabrinet Reports Record Earnings and Updates Executive Incentives
• Negative Sentiment: Investors should monitor quality of earnings and execution risks: A $56.7 million gain from non-marketable equity securities and a $57.4 million Pillar Two tax provision affected GAAP results and were excluded from non-GAAP figures. Fabrinet also reported substantial capital spending and working-capital investment, while citing supply-chain, customer-concentration and demand risks.
• Negative Sentiment: Insider selling remains a secondary caution: Insider Thomas F. Kelly sold 1,850 shares, worth an estimated $1.15 million, during the past six months, with no reported insider purchases.

Institutional Trading of Fabrinet

Several institutional investors have recently made changes to their positions in the stock. Price T Rowe Associates Inc. MD lifted its holdings in shares of Fabrinet by 163.0% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 4,041,227 shares of the technology company’s stock valued at $1,839,891,000 after acquiring an additional 2,504,841 shares during the period. Wasatch Advisors LP grew its holdings in shares of Fabrinet by 45.1% in the 2nd quarter. Wasatch Advisors LP now owns 1,779,665 shares of the technology company’s stock worth $524,432,000 after purchasing an additional 553,196 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in shares of Fabrinet by 183.5% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 333,555 shares of the technology company’s stock worth $121,621,000 after purchasing an additional 215,903 shares during the last quarter. Invesco Ltd. increased its position in shares of Fabrinet by 33.3% during the 3rd quarter. Invesco Ltd. now owns 681,850 shares of the technology company’s stock worth $248,616,000 after purchasing an additional 170,297 shares in the last quarter. Finally, SRS Investment Management LLC acquired a new stake in shares of Fabrinet during the 4th quarter worth about $64,295,000. 97.38% of the stock is owned by hedge funds and other institutional investors.

About Fabrinet

Fabrinet is a global provider of advanced optical packaging and precision optical, electro‐mechanical and electronic manufacturing services (CEM). The company specializes in complex manufacturing processes for original equipment manufacturers (OEMs) in communications, data center, industrial, instrumentation and medical markets. Key capabilities include high‐precision fiber alignment, micro‐assembly, testing and diagnostics, and integration of electro‐optic subassemblies.

Incorporated in 2000, Fabrinet operates under a corporate structure headquartered in Singapore with additional regional offices and design centers in the Americas, Europe and Asia.