FabrinetFN
NYSE•Technology•Electronic Components
Fabrinet provides optical packaging and precision optical, electro-mechanical, and electronic manufacturing services in North America, the Asia-Pacific, and Europe. The company offers a range of advanced optical and electro-mechanical capabilities in the manufacturing process, including process design and engineering, supply chain management, manufacturing, printed circuit board assembly, packaging, integration, final assembly, and testing. Its products include switching products, including reconfigurable optical add-drop multiplexers, optical amplifiers, modulators, and other optical components and modules that enable network managers to route voice, video, and data communications traffic through fiber optic cables at various wavelengths, speeds, and over various distances. The company's products also comprise transceivers, tunable lasers, and transponders; and active optical cables, which provide high-speed interconnect capabilities for data centers and computing clusters, as well as Infiniband, Ethernet, fiber channel, and optical backplane connectivity. In addition, it provides solid state, diode-pumped, gas, and fiber lasers used in semiconductor processing, biotechnology and medical device, metrology, and material processing industries; and differential pressure, micro-gyro, fuel, and other sensors used in automobiles, as well as non-contact temperature measurement sensors for the medical industry. Further, the company designs and fabricates application-specific crystals, lenses, prisms, mirrors, laser components, and substrates; and other custom and standard borosilicate, clear fused quartz, and synthetic fused silica glass products. It serves original equipment manufacturers of optical communication components, modules and sub-systems, industrial lasers, automotive components, medical devices, and sensors. The company was incorporated in 1999 and is based in George Town, the Cayman Islands.
Fabrinet (FN) reported trailing twelve months revenue of $4.24B as of March 2026, a 29.8% increase year-over-year. Quarterly revenue reached $1.21B, reflecting continued top-line momentum.
Fabrinet generated $420.97M in TTM net income, with quarterly EBITDA of $120.04M. The operating margin expanded from 9.0% to 9.9%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (9.9%) and net margin (10.3%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 9.3% a year ago, signaling stronger bottom-line efficiency.
FN trades at a P/E of 46.8x (a premium multiple) and a P/S of 4.7x. The price-to-book ratio of 8.5x indicates a significant premium over book value.
The company reported negative free cash flow of $-10.83M, indicating cash consumption over the period. The balance sheet shows $3.51B in total assets with no in long-term debt against $2.30B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are positive at ~9.7% on average, but show some variability — pricing power may be sensitive to market conditions.
Consistently high ROE averaging 17.2% suggests a durable competitive advantage and efficient capital allocation.
6 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (7 of 7 quarters up), with ~46.9% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~9.9% — no sign of cost or pricing stress.
FCF consistently trails net income (avg 0.5x) — earnings may be inflated by non-cash items or aggressive accounting.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.
Share count is stable — no significant dilution or buyback activity.