What Should Investors Know About Fabrinet (FN) Stock?

Technology sector company Fabrinet posted a -1.6% performance today, while the S&P 500 returned -0.1%.

Fabrinet provides optical packaging and precision optical, electro-mechanical, and electronic manufacturing services in North America, the Asia-Pacific, and Europe. The company is based in Grand Cayman and has 14,235 full time employees. Its market capitalization is $4,754,179,839.

5 analysts are following Fabrinet and have set target prices ranging from $102 to $142 per share. On average, they have given the company a rating of buy. At today's prices, FN is trading 2.07% away from its average analyst target price of $127.3 per share.

Over the last year, FN's share price has increased by 31.0%, which represents a difference of None% when compared to the S&P 500. The stock's 52 week high is $140.18 per share whereas its 52 week low is $74.57. The company has healthy top line and earnings growth, along with reasonable leverage levels. However the clear pattern of declining free cash flow may worry some investors.

2019-06-30 2020-06-30 2021-06-30 2022-06-30
Revenue (MM) $1,584 $1,642 $1,879 $2,262
Revenue Growth n/a 3.63% 14.47% 20.37%
Gross Margins 11.3% 11.3% 11.8% 12.3%
Gross Margins Growth n/a 0.0% 4.42% 4.24%
Operating Margins 7.8% 7.2% 8.0% 9.0%
Operating Margins Growth n/a -7.69% 11.11% 12.5%
Earnings Per Share $3.23 $3.01 $3.95 $5.36
EPS Growth n/a -6.81% 31.23% 35.7%
Free Cash Flow (MM) $128 $107 $74 $34
FCF Growth n/a -16.58% -30.77% -54.62%
Capital Expenditures (MM) -$19 -$44 -$44 -$91
Net Debt / EBITDA -0.74 -1.09 -1.39 -0.69
The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.