FN
Fabrinet

FabrinetFN

Technology · Electronic Components
403.80USD
+0.56%
Sep 23, 2026
FN overview ready
Precision Optical Manufacturing Enabler for High-Bandwidth AI Interconnects
Precision optical manufacturing enabler for OEM optical modules, interconnect products, silicon-photonics assemblies, and related high-performance-computing hardware.
Strong narrative exposure
Exposed to the AI Compute Infrastructure Buildout narrative through AI Fabric Networking and Optical Interconnect — enabling supplier.
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
Demanding valuation
The price embeds expectations that run ahead of the cash the business currently produces.
Fundamentals under pressure
Free cash flow yield is weak.
Primary risk
Cyclicality in technology hardware demand.
Market Sep 22Filing Jun 26Price action Sep 22Research Sep 1

Conviction Level

NarrativeHeat9.5ThemeHeat9.1PriceAction5.4Valuation0.3CompanyPosition9.3
Price
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Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
EntryConstructive

Structure is constructive, but price remains well extended from the long-term weekly base and the earlier reset has already been partly recovered — a workable rather than ideal entry location.

Key Financials

Market Cap
$14.5B
Avg Volume (60D)
910.4K
60 sessions
Revenue Growth YoY
+35.7%
FY2026 vs FY2025
Gross Margin
+12.0%
Trailing twelve months
Operating Margin
+10.0%
Trailing twelve months
Free Cash Flow Yield
+0.0%
Distance from 200DMA
-24.5%
Next Earnings
2026-11-02
P/E
30.6x
EV / Sales
2.9x
Market metrics as of Sep 22, 2026
Financial results for the period ended Jun 26, 2026
Filed balance-sheet data as of Jun 28, 2024

Fundamentals & Valuation

All three valuation perspectives agree this company is expensive.
Fabrinet has an Expensive valuation stance because the price embeds expectations that run ahead of the cash the business currently produces. It trades at a 0.0% free-cash-flow yield and 2.9x revenue, which require sustained delivery to be justified.

Company Research

Thesis
Precision optical manufacturing enabler for OEM optical modules, interconnect products, silicon-photonics assemblies, and related high-performance-computing hardware. The exposure is adjacent rather than pure-play: the company sells into the same demand, alongside a broader business.
Opportunity
High opportunity
Accelerator-cluster spending on high-bandwidth optical links, advanced optical packaging, signal integrity, and fabric connectivity required to scale AI data centers.
Key risk
Cyclicality in technology hardware demand.

Narrative & Theme

AI Compute Infrastructure Buildout
Part of AI Fabric Networking and Optical Interconnect, with strong fit.
FN is not a designer of lasers, transceivers, switches, or networking silicon, but its advanced optical packaging, assembly, integration, test, and supply-chain services are directly used to manufacture the complex optical and interconnect products required by growing AI data-center fabrics.
Narrative HeatHot9.5 / 10
Theme HeatHot9.1 / 10

Business & Markets

Technology · Electronic Components
What they do

Fabrinet provides precision optical, electro-mechanical, and electronic manufacturing services globally, including process design, supply chain management, assembly, and testing for advanced optical components.

How it earns

The company generates revenue primarily through project-based manufacturing contracts with customers in various technology sectors.

Products & services
Precision optical packaging
Electro-mechanical manufacturing
Printed circuit board assembly
Final assembly and testing
Customers & end markets
Optical transceiver manufacturers
Telecommunications equipment makers
Technology hardware companies
Market position

Fabrinet is a leading provider of precision optical manufacturing services with scale and advanced capabilities.

Demand drivers
Medium cyclicality

Demand is linked to technology hardware cycles and capital spending in optical networking equipment.

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