FN

Technology

Fabrinet · Hardware, Equipment & Parts · $25B

UQS Score — Balanced Preset
44.8
Below Average

Fabrinet scores 44.8/100 using the Balanced preset.

UQS vs Technology Sector
FN
44.8
Sector avg
38.0
Quality
Weak
Moat
Weak
Growth
Good
Risk
Good
Valuation
Elevated

What is Fabrinet?

Fabrinet is a large-cap technology manufacturer specializing in optical packaging and precision electro-mechanical manufacturing services. The company serves customers across North America, Asia-Pacific, and Europe, supporting some of the most demanding optical and photonic applications in the industry.

Fabrinet generates revenue by providing end-to-end manufacturing services — from process design and supply chain management through to final assembly and testing. Its facilities produce optical components, modules, and electro-mechanical assemblies for networking, data center, industrial laser, and medical sensor applications. Customers outsource complex manufacturing to Fabrinet because of its precision capabilities, allowing them to focus on product development rather than production.

Fabrinet was incorporated in 2010 and is headquartered in Grand Cayman, KY.

  • Optical transceivers, transponders, and tunable lasers for fiber networks
  • Active optical cables and high-speed interconnects for data centers
  • Reconfigurable optical add-drop multiplexers and amplifiers
  • Industrial and medical lasers for semiconductor and biotech applications
  • Precision sensors for automotive and non-contact medical temperature measurement

Is FN a Good Stock to Buy?

UQS Score rates FN as Below Average overall, reflecting meaningful structural challenges alongside some brighter spots.

Fabrinet's Growth and Risk pillars stand out as relative positives within its overall profile. The company has demonstrated an ability to expand its business in high-demand areas like data center interconnects, and its risk profile is rated Good — suggesting the balance sheet and operational structure carry manageable near-term risk.

The Quality and Moat pillars are both rated Weak, pointing to limited competitive differentiation and below-average returns on capital relative to sector peers. Valuation is rated Elevated, meaning the market may already be pricing in considerable optimism.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does FN pay dividends?

No — Fabrinet does not currently pay a dividend.

Fabrinet does not currently pay a dividend. As a precision manufacturer operating in a capital-intensive, growth-oriented segment of the technology sector, the company reinvests available resources into expanding manufacturing capacity and capabilities rather than returning cash to shareholders through distributions.

When does FN report earnings?

Fabrinet reports earnings on a quarterly cadence, typical for US-listed equities.

Revenue trends have been shaped by demand cycles in optical networking and data center infrastructure — two areas experiencing elevated activity. Growth has been a relative strength in Fabrinet's UQS profile, though margin dynamics in contract manufacturing can be sensitive to customer concentration and input costs.

For the most recent quarter's results and guidance, visit Fabrinet's investor relations page directly.

FN Price History

+675.4% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Fabrinet?

$
Today it would be worth
$79,329
That's a +693% total return, or +51.3% annualized.

Based on Fabrinet's historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

FN Long-term Outlook

Fabrinet's Growth pillar is rated Good, reflecting genuine expansion potential tied to secular demand for optical connectivity in AI-driven data centers and next-generation telecom networks. However, the Weak Moat rating suggests the company may struggle to defend margins as competition in contract manufacturing intensifies. The Elevated Valuation rating indicates that much of the near-term growth narrative may already be reflected in the current share price, leaving limited room for error.

Growth drivers

  • Rising demand for high-speed optical interconnects in AI and cloud data centers
  • Expansion of fiber optic network infrastructure globally
  • Growing outsourced manufacturing needs from photonics and medical device companies

Key risks

  • Customer concentration risk common in contract manufacturing relationships
  • Elevated valuation leaves little margin of safety if growth slows
  • Weak competitive moat may compress margins as peers compete for the same contracts

FN vs Peers

Fabrinet operates in a competitive landscape that includes diversified technology manufacturers with varying degrees of vertical integration and end-market exposure.

TDYFN scores higher
Teledyne Technologies Incorporated

Teledyne focuses on sophisticated instrumentation and defense electronics, giving it exposure to government contracts that Fabrinet's pure contract-manufacturing model does not capture.

FLEXFN scores higher
Flex Ltd.

Flex is a global contract electronics manufacturer at much larger scale, competing directly with Fabrinet on outsourced manufacturing but across a broader set of end markets.

FTVFN scores higher
Fortive Corporation

Fortive is a diversified industrial technology company with proprietary product lines, contrasting with Fabrinet's services-oriented, customer-directed manufacturing approach.

Frequently Asked Questions

What does Fabrinet do?

Fabrinet provides precision optical and electro-mechanical manufacturing services. It handles everything from process engineering and supply chain management to final assembly and testing, producing optical components, transceivers, industrial lasers, and sensors for customers in networking, data centers, and medical industries.

Does FN pay dividends?

Fabrinet does not pay a dividend. The company operates in a capital-intensive manufacturing environment and has historically prioritized reinvestment in capacity and capabilities over shareholder distributions. Income-focused investors should factor this into their assessment.

When does FN report earnings?

Fabrinet reports on a quarterly cadence, consistent with US-listed equities. Specific dates are not covered by our data source — check Fabrinet's investor relations page for the current earnings calendar and recent results.

Is FN a good stock to buy?

The UQS Score rates FN as Below Average overall. Growth and Risk pillars show relative strength, but Weak Quality and Moat ratings alongside an Elevated Valuation rating present meaningful concerns. The full pillar breakdown is available to UQS Pro members.

Is FN overvalued?

Fabrinet's Valuation pillar is rated Elevated within the UQS framework, suggesting the current price reflects a high degree of growth optimism. Investors should weigh this against the Weak Moat and Quality ratings before drawing conclusions about long-term value.

How does FN compare to its competitors?

Compared to peers like Flex, Teledyne, and Fortive, Fabrinet is more narrowly focused on optical and precision manufacturing services. It lacks the proprietary product lines of Teledyne or Fortive, which may explain the Weak Moat rating relative to more vertically integrated competitors.

What is FN's market cap bracket?

Fabrinet is classified as a large-cap company. This places it among established, scaled businesses — though large-cap status alone does not indicate quality or competitive strength, as reflected in FN's UQS pillar profile.

Who founded Fabrinet?

Fabrinet's founding history and key executives are widely documented in public filings and the company's investor relations materials. The company was incorporated in 2010 and is headquartered in Grand Cayman, KY.

Is FN a long-term quality investment?

As a long-term quality indicator, FN's UQS profile presents a mixed picture. The Good Growth rating suggests expansion potential, but Weak Quality and Moat ratings indicate the business may not generate durable above-average returns over time. Long-term investors should review the full analysis available to Pro members.

What is the main competitive advantage of Fabrinet?

Fabrinet's primary edge lies in its deep expertise in precision optical manufacturing and its ability to handle complex, low-volume, high-mix production runs. However, the UQS Moat pillar rates this advantage as Weak, suggesting it may not be sufficiently durable to fend off competition over the long run.

What sector does FN belong to?

Fabrinet is classified in the Technology sector, specifically within the contract manufacturing and optical components space. Its end markets span telecommunications, data centers, industrial lasers, and medical devices — giving it exposure to several high-growth technology subsectors.

Is FN a growth stock or value stock?

Based on UQS pillar labels, FN leans toward growth — the Growth pillar is rated Good, reflecting meaningful business expansion. However, the Elevated Valuation rating means it does not screen as a value opportunity, placing it in a higher-risk category for investors sensitive to entry price.

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Pro Analysis

FN — Score History

3540455055Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 15 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 23, 202644.832.330.063.278.132.3+0.1
May 14, 202644.732.330.063.278.132.10.0
May 7, 202644.731.530.062.979.332.40.0
May 6, 202644.731.530.062.979.331.9+0.1
May 3, 202644.631.530.063.079.331.80.0
Apr 26, 202644.631.530.063.079.331.5-0.1
Apr 23, 202644.731.530.063.079.332.1+0.3
Apr 18, 202644.431.530.061.779.331.7-1.2
Apr 17, 202645.631.530.061.779.339.6+0.1
Apr 16, 202645.531.530.061.479.339.50.0

FN — Pillar Breakdown

Quality

32.3/100 (25%)

Fabrinet currently shows below-average quality metrics, suggesting challenges with profitability.

Capital Efficiency (ROIC)Moderate

How effectively capital is deployed to generate returns.

Return on EquityModerate

Profitability relative to shareholders' equity.

Operating ProfitabilityWeak

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsWeak

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

63.2/100 (20%)

Fabrinet demonstrates healthy growth trends across revenue and earnings.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRWeak

Compound annual revenue growth rate over 3 years.

EPS GrowthWeak

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

78.1/100 (15%)

Fabrinet carries minimal financial risk with conservative leverage and strong solvency.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioStrong

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

32.3/100 (15%)

Fabrinet appears expensively valued relative to its fundamentals and growth prospects.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowWeak

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorWeak

Enterprise value multiple relative to sector median.

Moat

30/100 (25%)

Fabrinet operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for FN.

Score Composition

Quality
32.3×25%8.1
Growth
63.2×20%12.6
Risk
78.1×15%11.7
Valuation
32.3×15%4.8
Moat
30.0×25%7.5
Total
44.8Below Average

Financial Data

More Stock Analysis

How is the FN UQS Score Calculated?

The UQS (Unified Quality Score) for Fabrinet is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Fabrinet's competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Fabrinet is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.