FABRINET (FN) Stock Fundamental Analysis
USA - NYSE:FN - KYG3323L1005 - Common Stock
443.92 USD
+6.36 (+1.45%)
443.92 USD
0 (0%)
Taking everything into account, FN scores 7 out of 10 in our fundamental rating. FN was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. FN gets an excellent profitability rating and is at the same time showing great financial health properties. FN shows excellent growth, but is valued quite expensive already. This makes FN very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
FN had positive earnings in the past year.
In the past year FN had a positive cash flow from operations.
Each year in the past 5 years FN has been profitable.
Each year in the past 5 years FN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.74%, FN belongs to the top of the industry, outperforming 91.06% of the companies in the same industry.
Looking at the Return On Equity, with a value of 16.78%, FN belongs to the top of the industry, outperforming 86.99% of the companies in the same industry.
With an excellent Return On Invested Capital value of 12.73%, FN belongs to the best of the industry, outperforming 89.43% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FN is above the industry average of 9.37%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.74% | ||
| ROE | 16.78% | ||
| ROIC | 12.73% |
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 (9.72%) than 81.30% of its industry peers.
In the last couple of years the Profit Margin of FN has grown nicely.
FN has a better Operating Margin (9.53%) than 75.61% of its industry peers.
In the last couple of years the Operating Margin of FN has grown nicely.
The Gross Margin of FN (12.09%) is worse than 75.61% of its industry peers.
In the last couple of years the Gross Margin of FN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.53% | ||
| PM (TTM) | 9.72% | ||
| GM | 12.09% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FN is still creating some value.
Compared to 1 year ago, FN has less shares outstanding
Compared to 5 years ago, FN has less shares outstanding
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.
2.2 Solvency
An Altman-Z score of 14.35 indicates that FN is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 14.35, FN belongs to the best of the industry, outperforming 91.06% of the companies in the same industry.
FN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 14.35 |
ROIC/WACC1.39
WACC9.14%
2.3 Liquidity
A Current Ratio of 3.00 indicates that FN has no problem at all paying its short term obligations.
FN's Current ratio of 3.00 is fine compared to the rest of the industry. FN outperforms 61.79% of its industry peers.
A Quick Ratio of 2.28 indicates that FN has no problem at all paying its short term obligations.
FN has a better Quick ratio (2.28) than 64.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.53% over the past year.
FN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.15% yearly.
The Revenue has grown by 18.60% in the past year. This is quite good.
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)14.53%
EPS 3Y18.38%
EPS 5Y22.15%
EPS Q2Q%9.96%
Revenue 1Y (TTM)18.6%
Revenue growth 3Y14.76%
Revenue growth 5Y15.8%
Sales Q2Q%20.77%
3.2 Future
Based on estimates for the next years, FN will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.47% on average per year.
The Revenue is expected to grow by 15.94% on average over the next years. This is quite good.
EPS Next Y23.62%
EPS Next 2Y20.03%
EPS Next 3Y19.47%
EPS Next 5YN/A
Revenue Next Year17.95%
Revenue Next 2Y16.66%
Revenue Next 3Y15.94%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 43.65 indicates a quite expensive valuation of FN.
Compared to the rest of the industry, the Price/Earnings ratio of FN is on the same level as its industry peers.
FN's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.76.
Based on the Price/Forward Earnings ratio of 35.31, the valuation of FN can be described as expensive.
FN's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.63, FN is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.65 | ||
| Fwd PE | 35.31 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FN is on the same level as its industry peers.
FN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 76.79 | ||
| EV/EBITDA | 37.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of FN may justify a higher PE ratio.
FN's earnings are expected to grow with 19.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.85
PEG (5Y)1.97
EPS Next 2Y20.03%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
No dividends for FN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
443.92
+6.36 (+1.45%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners113.39%
Inst Owner Change-0.78%
Ins Owners0.29%
Ins Owner Change-0.99%
Market Cap15.86B
Revenue(TTM)3.42B
Net Income(TTM)332.53M
Analysts78.89
Price Target330.28 (-25.6%)
Short Float %5.25%
Short Ratio2.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.18%
Min EPS beat(2)-2.44%
Max EPS beat(2)-1.91%
EPS beat(4)1
Avg EPS beat(4)-1.37%
Min EPS beat(4)-2.55%
Max EPS beat(4)1.4%
EPS beat(8)4
Avg EPS beat(8)1.57%
EPS beat(12)7
Avg EPS beat(12)1.82%
EPS beat(16)9
Avg EPS beat(16)1.84%
Revenue beat(2)0
Avg Revenue beat(2)-0.69%
Min Revenue beat(2)-1.19%
Max Revenue beat(2)-0.19%
Revenue beat(4)1
Avg Revenue beat(4)-0.16%
Min Revenue beat(4)-1.19%
Max Revenue beat(4)1.35%
Revenue beat(8)2
Avg Revenue beat(8)-0.18%
Revenue beat(12)3
Avg Revenue beat(12)-0.21%
Revenue beat(16)5
Avg Revenue beat(16)-0.47%
PT rev (1m)0%
PT rev (3m)19.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.39%
EPS NY rev (1m)0.26%
EPS NY rev (3m)5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.45%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)4.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.65 | ||
| Fwd PE | 35.31 | ||
| P/S | 4.64 | ||
| P/FCF | 76.79 | ||
| P/OCF | 48.3 | ||
| P/B | 8 | ||
| P/tB | 8.01 | ||
| EV/EBITDA | 37.1 |
EPS(TTM)10.17
EY2.29%
EPS(NY)12.57
Fwd EY2.83%
FCF(TTM)5.78
FCFY1.3%
OCF(TTM)9.19
OCFY2.07%
SpS95.7
BVpS55.47
TBVpS55.41
PEG (NY)1.85
PEG (5Y)1.97
Graham Number112.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.74% | ||
| ROE | 16.78% | ||
| ROCE | 16.12% | ||
| ROIC | 12.73% | ||
| ROICexc | 23.68% | ||
| ROICexgc | 23.72% | ||
| OM | 9.53% | ||
| PM (TTM) | 9.72% | ||
| GM | 12.09% | ||
| FCFM | 6.04% |
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-Score4
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 227.98% | ||
| Cap/Sales | 3.56% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.57% | ||
| Profit Quality | 62.12% | ||
| Current Ratio | 3 | ||
| Quick Ratio | 2.28 | ||
| Altman-Z | 14.35 |
F-Score4
WACC9.14%
ROIC/WACC1.39
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)14.53%
EPS 3Y18.38%
EPS 5Y22.15%
EPS Q2Q%9.96%
EPS Next Y23.62%
EPS Next 2Y20.03%
EPS Next 3Y19.47%
EPS Next 5YN/A
Revenue 1Y (TTM)18.6%
Revenue growth 3Y14.76%
Revenue growth 5Y15.8%
Sales Q2Q%20.77%
Revenue Next Year17.95%
Revenue Next 2Y16.66%
Revenue Next 3Y15.94%
Revenue Next 5YN/A
EBIT growth 1Y17.38%
EBIT growth 3Y16.77%
EBIT growth 5Y22.58%
EBIT Next Year40.75%
EBIT Next 3Y24.74%
EBIT Next 5YN/A
FCF growth 1Y-43.37%
FCF growth 3Y83.07%
FCF growth 5Y14.03%
OCF growth 1Y-20.52%
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.
Can you provide the valuation status for FABRINET?
ChartMill assigns a valuation rating of 2 / 10 to FABRINET (FN). This can be considered as Overvalued.
Can you provide the profitability details for FABRINET?
FABRINET (FN) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for FN stock?
The Earnings per Share (EPS) of FABRINET (FN) is expected to grow by 23.62% in the next year.
Can you provide the dividend sustainability for FN stock?
The dividend rating of FABRINET (FN) is 0 / 10 and the dividend payout ratio is 0%.