
Fabrinet
Fabrinet (FN) is a precision contract manufacturer specialising in complex optical, electro-mechanical and electronic assemblies for customers in telecommunications, medical, industrial and automotive markets. Headquartered in Thailand, the company combines cleanroom manufacturing, precision optical packaging and assembly services to serve major original equipment manufacturers (OEMs). Key drivers include demand for high-performance optical modules, medical devices and other specialised products where quality and scale matter. Investors should note revenue can be lumpy because of customer concentration and cyclical end-markets, and the business is sensitive to supplyโchain constraints and capital expenditure to expand capacity. Historically Fabrinet has delivered attractive gross margins for a contract manufacturer, but future performance will depend on customer wins, industry cycles and execution. This summary is educational only and not personalised investment advice; values can rise and fall and past performance is not a reliable indicator of future results. Consider suitability and diversification before investing.
Stock Performance Snapshot
Analyst Rating
Analysts recommend buying Fabrinet's stock with a target price of $509.29, indicating growth potential.
Financial Health
Fabrinet is performing well with solid revenue and cash flow, although profit margins are relatively low.
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Explore BasketWhy Youโll Want to Watch This Stock
Optics and Medical Demand
High-performance optical modules and medical devices can drive growth, though sales may be cyclical and linked to a few large customers.
Global Manufacturing Footprint
Operations in Thailand with global customers provide scale advantages, but expose the firm to geopolitical and supplyโchain risks.
Execution and Margins
Fabrinet's engineering capabilities support healthy margins for complex work, yet maintaining margins depends on execution, pricing and capital investments.
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