Fabrinet (NYSE:FN) Shares Up 4.7% – Should You Buy?

Fabrinet (NYSE:FN)’s stock price traded up 4.7% during trading on Wednesday. The stock traded as high as $356.00 and last traded at $359.3960. Approximately 207,413 shares changed hands during mid-day trading, a decline of 76% from the average daily volume of 851,398 shares. The stock had previously closed at $343.21.

Wall Street Analysts Forecast Growth

FN has been the subject of a number of analyst reports. Zacks Research raised Fabrinet from a “hold” rating to a “strong-buy” rating in a research report on Monday, October 5th. Wall Street Zen downgraded shares of Fabrinet from a “buy” rating to a “hold” rating in a report on Monday, July 20th. Rosenblatt Securities restated a “buy” rating and set a $750.00 target price on shares of Fabrinet in a research report on Tuesday, August 18th. B. Riley Financial dropped their target price on shares of Fabrinet from $598.00 to $431.00 and set a “neutral” rating for the company in a research report on Thursday, October 15th. Finally, Barclays upped their price target on shares of Fabrinet from $702.00 to $739.00 and gave the stock an “overweight” rating in a research report on Tuesday, August 18th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $631.88.

Fabrinet Price Performance

The stock’s 50 day simple moving average is $406.88 and its two-hundred day simple moving average is $523.00. The stock has a market cap of $12.51 billion, a P/E ratio of 27.85 and a beta of 1.23.

Fabrinet (NYSE:FN) last released its earnings results on Tuesday, August 18th. The technology company reported $4.10 EPS for the quarter, beating the consensus estimate of $3.81 by $0.29. Fabrinet had a return on equity of 21.23% and a net margin of 10.19%. The firm had revenue of $1.32 billion for the quarter, compared to analysts’ expectations of $1.28 billion. During the same quarter in the previous year, the business posted $2.65 EPS. The business’s quarterly revenue was up 44.6% compared to the same quarter last year. As a group, analysts forecast that Fabrinet will post 17.50 earnings per share for the current fiscal year.

Insider Activity

In other news, EVP Edward Archer sold 2,500 shares of the company’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $385.91, for a total transaction of $964,775.00. Following the sale, the executive vice president owned 7,007 shares in the company, valued at $2,704,071.37. This represents a 26.30% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Corporate insiders own 0.22% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of FN. Paradigm Capital Management Inc. NY acquired a new position in Fabrinet in the 2nd quarter valued at approximately $298,183,000. Janus Henderson Group PLC boosted its position in Fabrinet by 15.9% in the first quarter. Janus Henderson Group PLC now owns 291,659 shares of the technology company’s stock worth $152,071,000 after purchasing an additional 40,090 shares during the last quarter. Principal Financial Group Inc. grew its position in shares of Fabrinet by 15.0% during the 1st quarter. Principal Financial Group Inc. now owns 216,049 shares of the technology company’s stock valued at $112,674,000 after acquiring an additional 28,166 shares during the period. Allspring Global Investments Holdings LLC lifted its position in shares of Fabrinet by 108.1% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 165,146 shares of the technology company’s stock valued at $88,350,000 after buying an additional 85,780 shares during the last quarter. Finally, Wedge Capital Management L L P NC increased its stake in shares of Fabrinet by 11.5% in the second quarter. Wedge Capital Management L L P NC now owns 128,795 shares of the technology company’s stock worth $72,393,000 after purchasing an additional 13,245 shares in the last quarter. 97.38% of the stock is currently owned by institutional investors and hedge funds.

About Fabrinet

Fabrinet (NYSE: FN) is a provider of outsourced manufacturing services for complex optical, electronic and electromechanical products. The company works with original equipment manufacturers and other technology companies to design, manufacture, assemble, test and distribute products used in optical communications, industrial lasers, automotive applications, medical devices and other advanced technology markets.

Its capabilities include precision optical packaging, optical and electronic assembly, printed circuit board assembly, electromechanical manufacturing, engineering support, supply-chain management and testing.