FABRINET (FN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FN - KYG3323L1005 - Common Stock
475.47 USD
+23.01 (+5.09%)
475.47 USD
0 (0%)
Overall FN gets a fundamental rating of 7 out of 10. We evaluated FN against 124 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 is valued quite expensive, but it does show an excellent growth. With these ratings, FN could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
FN had positive earnings in the past year.
FN had a positive operating cash flow in the past year.
In the past 5 years FN has always been profitable.
In the past 5 years FN always reported a positive cash flow from operatings.
1.2 Ratios
FN has a Return On Assets of 11.67%. This is amongst the best in the industry. FN outperforms 91.13% of its industry peers.
With an excellent Return On Equity value of 17.03%, FN belongs to the best of the industry, outperforming 85.48% of the companies in the same industry.
FN's Return On Invested Capital of 12.89% is amongst the best of the industry. FN outperforms 89.52% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FN is above the industry average of 9.29%.
| 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 79.84% of its industry peers.
FN's Profit Margin has improved in the last couple of years.
FN has a better Operating Margin (9.55%) than 75.81% of its industry peers.
In the last couple of years the Operating Margin of FN has grown nicely.
FN's Gross Margin of 11.99% is on the low side compared to the rest of the industry. FN is outperformed by 76.61% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FN 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
An Altman-Z score of 13.51 indicates that FN is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 13.51, FN belongs to the best of the industry, outperforming 90.32% 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 | 13.51 |
ROIC/WACC1.42
WACC9.1%
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.
With a Current ratio value of 2.83, FN perfoms like the industry average, outperforming 59.68% 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.
With a decent Quick ratio value of 2.03, FN is doing good in the industry, outperforming 61.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.83 | ||
| Quick Ratio | 2.03 |
3. Growth
3.1 Past
FN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.43%, which is quite good.
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 19.71% 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)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
Based on estimates for the next years, FN will show a very strong growth in Earnings Per Share. The EPS will grow by 24.73% on average per year.
The Revenue is expected to grow by 21.01% on average over the next years. This is a very strong growth
EPS Next Y33.69%
EPS Next 2Y25.58%
EPS Next 3Y24.73%
EPS Next 5YN/A
Revenue Next Year28.16%
Revenue Next 2Y22.53%
Revenue Next 3Y21.01%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 44.44, which means the current valuation is very expensive for FN.
FN's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.38. FN is valued rather expensively when compared to this.
FN is valuated quite expensively with a Price/Forward Earnings ratio of 29.64.
FN's Price/Forward Earnings is on the same level as the industry average.
FN's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.44 | ||
| Fwd PE | 29.64 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FN.
The rest of the industry has a similar Price/Free Cash Flow ratio as FN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 84.81 | ||
| EV/EBITDA | 36.57 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
FN has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as FN's earnings are expected to grow with 24.73% in the coming years.
PEG (NY)1.32
PEG (5Y)2.01
EPS Next 2Y25.58%
EPS Next 3Y24.73%
5. Dividend
5.1 Amount
FN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
475.47
+23.01 (+5.09%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners110.39%
Inst Owner Change-2.37%
Ins Owners0.24%
Ins Owner Change-1.42%
Market Cap17.04B
Revenue(TTM)3.59B
Net Income(TTM)351.06M
Analysts78.89
Price Target523.55 (10.11%)
Short Float %4.23%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
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)42.08%
PT rev (3m)58.52%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)9.72%
EPS NY rev (1m)8.15%
EPS NY rev (3m)9.58%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)9.52%
Revenue NY rev (1m)8.66%
Revenue NY rev (3m)8.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.44 | ||
| Fwd PE | 29.64 | ||
| P/S | 4.74 | ||
| P/FCF | 84.81 | ||
| P/OCF | 48.99 | ||
| P/B | 8.27 | ||
| P/tB | 8.27 | ||
| EV/EBITDA | 36.57 |
EPS(TTM)10.7
EY2.25%
EPS(NY)16.04
Fwd EY3.37%
FCF(TTM)5.61
FCFY1.18%
OCF(TTM)9.71
OCFY2.04%
SpS100.29
BVpS57.53
TBVpS57.47
PEG (NY)1.32
PEG (5Y)2.01
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 | 13.51 |
F-Score3
WACC9.1%
ROIC/WACC1.42
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 Y33.69%
EPS Next 2Y25.58%
EPS Next 3Y24.73%
EPS Next 5YN/A
Revenue 1Y (TTM)19.71%
Revenue growth 3Y14.76%
Revenue growth 5Y15.8%
Sales Q2Q%21.62%
Revenue Next Year28.16%
Revenue Next 2Y22.53%
Revenue Next 3Y21.01%
Revenue Next 5YN/A
EBIT growth 1Y18.04%
EBIT growth 3Y16.77%
EBIT growth 5Y22.58%
EBIT Next Year52.73%
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.
Can you provide the valuation status for FABRINET?
ChartMill assigns a valuation rating of 3 / 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 7 / 10.
Can you provide the expected EPS growth for FN stock?
The Earnings per Share (EPS) of FABRINET (FN) is expected to grow by 33.69% 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%.