FABRINET (FN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FN - KYG3323L1005 - Common Stock
462.94 USD
+15.71 (+3.51%)
465 USD
+2.06 (+0.44%)
Overall FN gets a fundamental rating of 7 out of 10. We evaluated FN against 125 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 not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, FN could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year FN was profitable.
In the past year FN had a positive cash flow from operations.
In the past 5 years FN has always been profitable.
Each year in the past 5 years FN had a positive operating cash flow.
1.2 Ratios
The Return On Assets of FN (11.67%) is better than 92.80% of its industry peers.
FN has a Return On Equity of 17.03%. This is amongst the best in the industry. FN outperforms 86.40% of its industry peers.
With an excellent Return On Invested Capital value of 12.89%, FN belongs to the best of the industry, outperforming 90.40% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FN is above the industry average of 8.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.67% | ||
| ROE | 17.03% | ||
| ROIC | 12.89% |
ROA(3y)12.31%
ROA(5y)11.41%
ROE(3y)16.88%
ROE(5y)15.99%
ROIC(3y)12.9%
ROIC(5y)12.26%
1.3 Margins
FN has a better Profit Margin (9.77%) than 81.60% of its industry peers.
FN's Profit Margin has improved in the last couple of years.
The Operating Margin of FN (9.55%) is better than 76.00% of its industry peers.
FN's Operating Margin has improved in the last couple of years.
FN has a Gross Margin of 11.99%. This is in the lower half of the industry: FN underperforms 76.80% of its industry peers.
FN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.55% | ||
| PM (TTM) | 9.77% | ||
| GM | 11.99% |
OM growth 3Y1.75%
OM growth 5Y5.86%
PM growth 3Y3.16%
PM growth 5Y7.07%
GM growth 3Y-0.62%
GM growth 5Y1.3%
2. Health
2.1 Basic Checks
FN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
FN has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FN has less shares outstanding
FN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
FN has an Altman-Z score of 13.75. This indicates that FN is financially healthy and has little risk of bankruptcy at the moment.
FN has a better Altman-Z score (13.75) than 90.40% of its industry peers.
There is no outstanding debt for FN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 13.75 |
ROIC/WACC1.37
WACC9.42%
2.3 Liquidity
FN has a Current Ratio of 2.83. This indicates that FN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.83, FN is in line with its industry, outperforming 59.20% of the companies in the same industry.
A Quick Ratio of 2.03 indicates that FN has no problem at all paying its short term obligations.
FN has a better Quick ratio (2.03) than 60.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.83 | ||
| Quick Ratio | 2.03 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.43% over the past year.
The Earnings Per Share has been growing by 22.15% on average over the past years. This is a very strong growth
Looking at the last year, FN shows a quite strong growth in Revenue. The Revenue has grown by 19.71% in the last year.
FN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.80% yearly.
EPS 1Y (TTM)15.43%
EPS 3Y18.38%
EPS 5Y22.15%
EPS Q2Q%22.18%
Revenue 1Y (TTM)19.71%
Revenue growth 3Y14.76%
Revenue growth 5Y15.8%
Sales Q2Q%21.62%
3.2 Future
The Earnings Per Share is expected to grow by 24.10% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 21.43% on average over the next years. This is a very strong growth
EPS Next Y33.92%
EPS Next 2Y25.87%
EPS Next 3Y24.1%
EPS Next 5YN/A
Revenue Next Year28.91%
Revenue Next 2Y23.06%
Revenue Next 3Y21.43%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 43.27 indicates a quite expensive valuation of FN.
The rest of the industry has a similar Price/Earnings ratio as FN.
Compared to an average S&P500 Price/Earnings ratio of 27.25, FN is valued quite expensively.
With a Price/Forward Earnings ratio of 28.73, FN can be considered very expensive at the moment.
FN's Price/Forward Earnings ratio is in line with the industry average.
FN is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.27 | ||
| Fwd PE | 28.73 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FN.
FN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 82.58 | ||
| EV/EBITDA | 37.52 |
4.3 Compensation for Growth
FN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of FN may justify a higher PE ratio.
A more expensive valuation may be justified as FN's earnings are expected to grow with 24.10% in the coming years.
PEG (NY)1.28
PEG (5Y)1.95
EPS Next 2Y25.87%
EPS Next 3Y24.1%
5. Dividend
5.1 Amount
No dividends for FN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
462.94
+15.71 (+3.51%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners110.72%
Inst Owner Change-0.01%
Ins Owners0.17%
Ins Owner Change-1.42%
Market Cap16.59B
Revenue(TTM)3.59B
Net Income(TTM)351.06M
Analysts78.95
Price Target531.38 (14.78%)
Short Float %4.35%
Short Ratio2.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.96%
Min EPS beat(2)-2.44%
Max EPS beat(2)0.53%
EPS beat(4)2
Avg EPS beat(4)-0.61%
Min EPS beat(4)-2.44%
Max EPS beat(4)1.4%
EPS beat(8)4
Avg EPS beat(8)1.09%
EPS beat(12)7
Avg EPS beat(12)1.02%
EPS beat(16)9
Avg EPS beat(16)1.49%
Revenue beat(2)1
Avg Revenue beat(2)0.76%
Min Revenue beat(2)-0.19%
Max Revenue beat(2)1.71%
Revenue beat(4)1
Avg Revenue beat(4)-0.07%
Min Revenue beat(4)-1.19%
Max Revenue beat(4)1.71%
Revenue beat(8)2
Avg Revenue beat(8)-0.09%
Revenue beat(12)3
Avg Revenue beat(12)-0.15%
Revenue beat(16)5
Avg Revenue beat(16)-0.42%
PT rev (1m)1.49%
PT rev (3m)60.89%
EPS NQ rev (1m)0.01%
EPS NQ rev (3m)9.73%
EPS NY rev (1m)0.17%
EPS NY rev (3m)8.61%
Revenue NQ rev (1m)0.54%
Revenue NQ rev (3m)10.12%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)9.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.27 | ||
| Fwd PE | 28.73 | ||
| P/S | 4.62 | ||
| P/FCF | 82.58 | ||
| P/OCF | 47.7 | ||
| P/B | 8.05 | ||
| P/tB | 8.06 | ||
| EV/EBITDA | 37.52 |
EPS(TTM)10.7
EY2.31%
EPS(NY)16.11
Fwd EY3.48%
FCF(TTM)5.61
FCFY1.21%
OCF(TTM)9.71
OCFY2.1%
SpS100.29
BVpS57.53
TBVpS57.47
PEG (NY)1.28
PEG (5Y)1.95
Graham Number117.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.67% | ||
| ROE | 17.03% | ||
| ROCE | 16.31% | ||
| ROIC | 12.89% | ||
| ROICexc | 23.89% | ||
| ROICexgc | 23.94% | ||
| OM | 9.55% | ||
| PM (TTM) | 9.77% | ||
| GM | 11.99% | ||
| FCFM | 5.59% |
ROA(3y)12.31%
ROA(5y)11.41%
ROE(3y)16.88%
ROE(5y)15.99%
ROIC(3y)12.9%
ROIC(5y)12.26%
ROICexc(3y)23.01%
ROICexc(5y)21.57%
ROICexgc(3y)23.06%
ROICexgc(5y)21.65%
ROCE(3y)16.33%
ROCE(5y)15.52%
ROICexgc growth 3Y6.17%
ROICexgc growth 5Y7.2%
ROICexc growth 3Y6.25%
ROICexc growth 5Y7.33%
OM growth 3Y1.75%
OM growth 5Y5.86%
PM growth 3Y3.16%
PM growth 5Y7.07%
GM growth 3Y-0.62%
GM growth 5Y1.3%
F-Score3
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 264.45% | ||
| Cap/Sales | 4.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.24% | ||
| Profit Quality | 57.22% | ||
| Current Ratio | 2.83 | ||
| Quick Ratio | 2.03 | ||
| Altman-Z | 13.75 |
F-Score3
WACC9.42%
ROIC/WACC1.37
Cap/Depr(3y)156.27%
Cap/Depr(5y)165.07%
Cap/Sales(3y)2.53%
Cap/Sales(5y)2.79%
Profit Quality(3y)82.06%
Profit Quality(5y)62.6%
High Growth Momentum
Growth
EPS 1Y (TTM)15.43%
EPS 3Y18.38%
EPS 5Y22.15%
EPS Q2Q%22.18%
EPS Next Y33.92%
EPS Next 2Y25.87%
EPS Next 3Y24.1%
EPS Next 5YN/A
Revenue 1Y (TTM)19.71%
Revenue growth 3Y14.76%
Revenue growth 5Y15.8%
Sales Q2Q%21.62%
Revenue Next Year28.91%
Revenue Next 2Y23.06%
Revenue Next 3Y21.43%
Revenue Next 5YN/A
EBIT growth 1Y18.04%
EBIT growth 3Y16.77%
EBIT growth 5Y22.58%
EBIT Next Year53.87%
EBIT Next 3Y30.19%
EBIT Next 5YN/A
FCF growth 1Y-14.2%
FCF growth 3Y83.07%
FCF growth 5Y14.03%
OCF growth 1Y16.8%
OCF growth 3Y38.26%
OCF growth 5Y16.86%
FABRINET / FN FAQ
Can you provide the ChartMill fundamental rating for FABRINET?
ChartMill assigns a fundamental rating of 7 / 10 to FN.
What is the valuation status of FABRINET (FN) stock?
ChartMill assigns a valuation rating of 4 / 10 to FABRINET (FN). This can be considered as Fairly Valued.
Can you provide the profitability details for FABRINET?
FABRINET (FN) has a profitability rating of 8 / 10.
How financially healthy is FABRINET?
The financial health rating of FABRINET (FN) is 9 / 10.