Fabrinet (NYSE:FN) Stock Falls 7.6% – Should You Sell?

Fabrinet (NYSE:FN)’s stock price was down 7.6% on Monday. The company traded as low as $451.26 and last traded at $449.1380. Approximately 559,818 shares were traded during mid-day trading, a decline of 34% from the average daily volume of 848,707 shares. The stock had previously closed at $486.28.

Wall Street Analyst Weigh In

Several analysts have issued reports on FN shares. JPMorgan Chase & Co. lifted their price target on Fabrinet from $680.00 to $695.00 and gave the company a “neutral” rating in a research note on Tuesday, August 18th. Barclays increased their price objective on shares of Fabrinet from $702.00 to $739.00 and gave the stock an “overweight” rating in a research note on Tuesday, August 18th. Needham & Company LLC reissued a “buy” rating and issued a $650.00 price objective on shares of Fabrinet in a report on Tuesday, August 18th. Rosenblatt Securities reissued a “buy” rating and issued a $750.00 price objective on shares of Fabrinet in a research report on Tuesday, August 18th. Finally, Weiss Ratings cut Fabrinet from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, September 9th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, Fabrinet currently has an average rating of “Moderate Buy” and an average target price of $649.50.

Fabrinet Trading Down 4.5%

The stock has a 50 day simple moving average of $448.93 and a 200 day simple moving average of $542.21. The stock has a market cap of $14.63 billion, a P/E ratio of 31.55 and a beta of 1.23.

Fabrinet (NYSE:FN) last posted its quarterly earnings results on Tuesday, August 18th. The technology company reported $4.10 earnings per share for the quarter, beating analysts’ consensus estimates of $3.81 by $0.29. Fabrinet had a net margin of 10.19% and a return on equity of 21.23%. The company had revenue of $1.32 billion for the quarter, compared to the consensus estimate of $1.28 billion. During the same period last year, the company posted $2.65 EPS. The firm’s quarterly revenue was up 44.6% compared to the same quarter last year. Equities analysts anticipate that Fabrinet will post 17.50 earnings per share for the current year.

Insiders Place Their Bets

In related news, EVP Edward Archer sold 2,500 shares of the business’s stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $385.91, for a total value of $964,775.00. Following the completion of the sale, the executive vice president directly owned 7,007 shares of the company’s stock, valued at $2,704,071.37. The trade was a 26.30% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.24% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in FN. Continuum Advisory LLC purchased a new stake in Fabrinet in the second quarter worth $25,000. Cassaday & Co Wealth Management LLC purchased a new stake in shares of Fabrinet in the 1st quarter worth approximately $31,000. Byrne Asset Management LLC purchased a new stake in shares of Fabrinet in the third quarter worth $27,000. Sunbelt Securities Inc. purchased a new position in shares of Fabrinet in the 1st quarter worth about $66,000. Finally, Root Financial Partners LLC increased its stake in Fabrinet by 29.2% during the 1st quarter. Root Financial Partners LLC now owns 146 shares of the technology company’s stock valued at $76,000 after purchasing an additional 33 shares in the last quarter. 97.38% of the stock is owned by institutional investors.

About Fabrinet

Fabrinet (NYSE: FN) provides advanced manufacturing services for companies that develop optical, electro-optical, and precision-engineered products. The company supports customers from product design and engineering through manufacturing, assembly, testing, and supply-chain management.

Its products and manufacturing capabilities include optical communications components, modules, and assemblies; precision optical and optoelectronic systems; industrial lasers; and other complex products used in communications, industrial, automotive, medical, and other technology markets.