Fabrinet (FN) Stock Forecast & Price Target

Fabrinet is poised for substantial revenue growth driven by key customer partnerships, particularly with Amazon and Ciena, which are expected to enhance the company's financial performance in FY26. The ongoing expansion of Fabrinet's business with Cisco, despite its slower growth from a higher base, further contributes to its positive outlook, especially given the competitive edge Ciena holds in the high capacity DCI/DWDM market. Overall, the combination of these dynamics suggests a favorable trajectory for Fabrinet's revenue estimates moving forward.

Fabrinet's outlook is negatively affected by potential revenue losses resulting from the inability to place timely and sufficiently large orders with suppliers, which could jeopardize market share. Additionally, the company's operating results suffer due to reliance on U.S. arrangements, compounding the risk associated with supply chain management. The anticipated sequential decline in Dataccom sales for the first quarter of 2026, driven by a shortage of crucial components unless adequate supply is secured, further underscores the challenges faced by the company.