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Fabrinet (FN) Gains But Lags Market: What You Should Know
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In the latest trading session, Fabrinet (FN - Free Report) closed at $113.62, marking a +1.14% move from the previous day. This change lagged the S&P 500's 1.42% gain on the day. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 5.16%.
Coming into today, shares of the company that assembles optical, electro-mechanical and electronic devices for other companies had lost 7.82% in the past month. In that same time, the Computer and Technology sector gained 6.12%, while the S&P 500 gained 0.27%.
Investors will be hoping for strength from Fabrinet as it approaches its next earnings release. On that day, Fabrinet is projected to report earnings of $1.90 per share, which would represent year-over-year growth of 26.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $652.62 million, up 15.63% from the year-ago period.
FN's full-year Zacks Consensus Estimates are calling for earnings of $7.71 per share and revenue of $2.65 billion. These results would represent year-over-year changes of +25.77% and +17.19%, respectively.
It is also important to note the recent changes to analyst estimates for Fabrinet. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Fabrinet currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Fabrinet is holding a Forward P/E ratio of 14.58. For comparison, its industry has an average Forward P/E of 19.14, which means Fabrinet is trading at a discount to the group.
The Electronics - Miscellaneous Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 156, putting it in the bottom 39% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Fabrinet (FN) Gains But Lags Market: What You Should Know
In the latest trading session, Fabrinet (FN - Free Report) closed at $113.62, marking a +1.14% move from the previous day. This change lagged the S&P 500's 1.42% gain on the day. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 5.16%.
Coming into today, shares of the company that assembles optical, electro-mechanical and electronic devices for other companies had lost 7.82% in the past month. In that same time, the Computer and Technology sector gained 6.12%, while the S&P 500 gained 0.27%.
Investors will be hoping for strength from Fabrinet as it approaches its next earnings release. On that day, Fabrinet is projected to report earnings of $1.90 per share, which would represent year-over-year growth of 26.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $652.62 million, up 15.63% from the year-ago period.
FN's full-year Zacks Consensus Estimates are calling for earnings of $7.71 per share and revenue of $2.65 billion. These results would represent year-over-year changes of +25.77% and +17.19%, respectively.
It is also important to note the recent changes to analyst estimates for Fabrinet. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Fabrinet currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Fabrinet is holding a Forward P/E ratio of 14.58. For comparison, its industry has an average Forward P/E of 19.14, which means Fabrinet is trading at a discount to the group.
The Electronics - Miscellaneous Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 156, putting it in the bottom 39% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.