Yahoo Finance Fabrinet (FN) to Report Q3 Earnings: What's in the Cards?
Fabrinet FN is slated to release third-quarter fiscal 2023 results on May 8.
For the fiscal third quarter, revenues are expected in the range of $640-$660 million.
Non-GAAP earnings are anticipated between $1.86 and $1.93 per share.
The Zacks Consensus Estimate for fiscal third-quarter revenues is pegged at $650.88 million, suggesting a 15.32% growth from the figure reported in the year-ago quarter.
Fabrinet Price and EPS Surprise
Fabrinet price-eps-surprise | Fabrinet Quote
The consensus mark for earnings has been steady at $1.89 per share in the past 30 days, suggesting a 26% growth from the figure reported in the year-ago quarter.
Fabrinet’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the mark once, delivering an earnings surprise of 5.05%, on average.
Let’s see how things have shaped up for the upcoming announcement.
Factors Likely to Have Impacted Q3 Performance
Fabrinet’s performance in the fiscal third quarter is likely to have been benefited from the increased demand for datacom and silicon photonics products.
The company expects an increase in automotive revenues in the to-be-reported quarter, primarily driven by continued improvements and high demand for new automotive products.
FN is expected to have benefited from introduction of new programs in the new one-million square foot building on the Chonburi campus. Its new product introduction facilities at Fabrinet West and Fabrinet Israel is expected to have increased its operational efficiency in the to-be-reported quarter.
Supply-chain constraints for certain components are still persistent globally. This is expected to have hurt Fabrinet’s top line in the fiscal third quarter. FN expects a negative impact between $30 million and $35 million in the said period due to supply-chain disturbances.
What Our Model Says
The Zacks model predicts that the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
Fabrinet has an Earnings ESP of -0.70% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:
Airbnb ABNB has an Earnings ESP of +23.46% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
ABNB’s shares have returned 39% in the year-to-date period compared with the Zacks Internet - Content industry’s increase of 19%.
Blink Charging BLNK has an Earnings ESP of +26.67% and a Zacks Rank of 2.
Blink’s shares have slumped 34.7% in the year-to-date period compared with the Zacks Electronics – Miscellaneous Services industry’s decline of 16.4%.
PubMatic PUBM has an Earnings ESP of +16.67% and is Zacks #3 Ranked.
PUBM’s shares have dropped 4.7% in the year-to-date period compared with the Zacks Internet - Software industry’s rise of 25.6%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Fabrinet (FN) : Free Stock Analysis Report
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