Do Analysts Recommend You Should Buy Fabrinet (FN) Stock?

On Tuesday, shares of Fabrinet (NYSE:FN) marked $62.42 per share versus a previous $60.20 closing price. With having a 3.69% gain, an insight into the fundamental values of Fabrinet, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. FN showed a fall of -3.73% within its YTD performance, with highs and lows between $44.00 – $71.22 during the period of 52 weeks, compared to the simple moving average of 4.96% in the period of the last 200 days.

Northland Capital equity researchers changed the status of Fabrinet (NYSE: FN) shares from “Market Perform” to a “Outperform” rating in the report published on September 30th, 2019. Other analysts, including Needham, also published their reports on FN shares. Needham repeated the rating from the previous report, marking FN under “Buy” rating, in the report published on August 9th, 2019. Additionally, FN shares got another “Neutral” rating from JP Morgan, setting a target price of $57 on the company’s shares, according to the report published in July 29th, 2019. On May 28th, 2019, Needham Reiterated an Buy rating and increased its price target from $70 to $62. On the other hand, Needham Reiterated the “Buy” rating for FN shares, as published in the report on May 7th, 2019. Needham seems to be going bullish on the price of FN shares, based on the price prediction for FN, indicating that the shares will jump from $62 to $68, giving the shares “Buy” rating based on their report from May 6th, 2019. Another “Buy” rating came from Needham, providing a prediction for $68 price target according to the report published in December 18th, 2018.

Fabrinet (FN) Analysis

The present dividend yield for FN owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. In addition, the growth of sales from quarter to quarter is recording 3.10%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Fabrinet (FN) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 2.50 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while FN is currently recording an average of 304.06K in volumes. The volatility of the stock on monthly basis is set at 3.38%, while the weekly volatility levels are marked at 3.23%with 3.38% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $68.00, indicating growth from the present price of $62.42, which can represent yet another valuable research and analysis points that can help you decide whether to invest in FN or pass.

What to Look for When Analyzing Fabrinet Shares?

Fabrinet (FN) is based in the Cayman Islands and it represents one of the well-known company operating with Technology sector. If you wish to compare FN shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 19.85 for Fabrinet, while the value 15.37 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 3.15 is supported by the yearly EPS growth of 45.90%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 0.40%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in FN Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in FN in the recent period. That is how The Vanguard Group, Inc. now has an increase position in FN by 0.53% in the first quarter, owning 3.28 million shares of FN stocks, with the value of $209.62 million after the purchase of an additional 17,251 shares during the last quarter. In the meanwhile, Wasatch Advisors, Inc. also increased their stake in FN shares changed 20.48% in the first quarter, which means that the company now owns 2.7 million shares of company, all valued at $172.42 million after the acquisition of additional 458,448 shares during the last quarter.

Fidelity Management & Research Co acquired a new position in Fabrinet during the first quarter, with the value of $156.91 million, and SSgA Funds Management, Inc. increased their stake in the company’s shares by 10.28% in the first quarter, now owning 107,115 shares valued at $73.5 million after the acquisition of the additional 1.15 million shares during the last quarter. In the end, Vaughan Nelson Investment Managem increased their position by 8.42% during the first quarter, now owning 835126 FN shares, now holding the value of $53.4 million in FN with the purchase of the additional 64,955 shares during the period of the last quarter.