Why Peter Lynch may take an interest in FABRINET (NYSE:FN)

Lynch encouraged investors to look at businesses they understand and have strong financials. Does FABRINET (NYSE:FN) align with this approach? We take a closer look.

Evaluating FABRINET (NYSE:FN) using Peter Lynch’s legendary strategy

• FN showcases a robust Return on Equity (ROE) of 17.69%, indicating its ability to generate favorable returns for shareholders. This metric underscores the company's efficiency in utilizing its equity capital to generate profits.
• With a current Debt-to-Equity ratio at 0.0, FN showcases its disciplined capital structure. The company's prudent management of debt obligations contributes to its financial stability and long-term sustainability.
• The 5-year EPS growth of FN (18.44) highlights the company's ability to consistently improve its earnings performance and suggests a positive outlook for future profitability.
• A PEG ratio of 0.95 suggests that FN offers an attractive balance between growth and valuation.
• FN maintains a healthy liquidity position with a Current Ratio of 3.32.

A complete fundamental analysis of FN

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

Overall FN gets a fundamental rating of 7 out of 10. We evaluated FN against 123 industry peers in the Electronic Equipment, Instruments & Components industry. FN scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FN is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make FN suitable for growth and quality investing!

For an up to date full fundamental analysis you can check the fundamental report of FN

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Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.