Yahoo Finance Fabrinet (FN) Gains But Lags Market: What You Should Know
Fabrinet (FN) closed the most recent trading day at $135.52, moving +0.27% from the previous trading session. This move lagged the S&P 500's daily gain of 1.1%. Meanwhile, the Dow gained 0.61%, and the Nasdaq, a tech-heavy index, added 6.59%.
Prior to today's trading, shares of the company that assembles optical, electro-mechanical and electronic devices for other companies had gained 7.13% over the past month. This has lagged the Computer and Technology sector's gain of 10.59% and outpaced the S&P 500's gain of 4.58% in that time.
Wall Street will be looking for positivity from Fabrinet as it approaches its next earnings report date. This is expected to be February 6, 2023. In that report, analysts expect Fabrinet to post earnings of $1.89 per share. This would mark year-over-year growth of 26%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $652.26 million, up 15.11% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.47 per share and revenue of $2.63 billion. These totals would mark changes of +21.86% and +16.24%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Fabrinet. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.2% lower. Fabrinet is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Fabrinet currently has a Forward P/E ratio of 18.09. This valuation marks a discount compared to its industry's average Forward P/E of 18.19.
The Electronics - Miscellaneous Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 147, putting it in the bottom 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Fabrinet (FN) : Free Stock Analysis Report
