
Fabrinet (FN) Stock Forecast & Price Target
Fabrinet (FN) Analyst Ratings
Bulls say
Fabrinet's financial performance reflects robust growth, with telecom sales achieving a notable 59% year-over-year increase and a 15% quarter-over-quarter rise, culminating in revenues of $505 million. The impressive growth is driven by a significant ramp in 400G/800G ZR shipments for data center interconnects, alongside contributions from Ciena's new WaveLogic program. Additionally, the company experienced a 22% year-over-year increase in total revenues for the first quarter of fiscal 2026, with forecasts indicating the potential for further growth supported by the expansion of production capacity exceeding $2 billion by the end of fiscal 2026.
Bears say
Fabrinet's revenues from Datacom experienced a decline of 1% quarter-over-quarter and 17% year-over-year, amounting to $273 million, which reflects challenges related to laser supply. Additionally, the company's gross margins dropped to 12.3%, decreasing by 30 basis points quarter-over-quarter and 40 basis points year-over-year, missing estimates due to foreign exchange pressure and merit increases. The primary risks impacting Fabrinet's outlook include its struggle to absorb pricing pressures and the potential loss of market share due to delays in placing sufficient orders with suppliers, which could jeopardize long-term profitability if adverse conditions persist.
This aggregate rating is based on analysts' research of Fabrinet and is not a guaranteed prediction by Public.com or investment advice.
Fabrinet (FN) Analyst Forecast & Price Prediction
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