Fabrinet (NYSE:FN) Shares Gap Down on Disappointing Earnings

Shares of Fabrinet (NYSE:FN - Get Free Report) gapped down prior to trading on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $225.60, but opened at $205.66. Fabrinet shares last traded at $204.21, with a volume of 643,225 shares.

The technology company reported $2.38 EPS for the quarter, missing analysts' consensus estimates of $2.48 by ($0.10). Fabrinet had a net margin of 10.28% and a return on equity of 18.08%.

Analysts Set New Price Targets

A number of equities analysts have recently commented on FN shares. Needham & Company LLC restated a "buy" rating and issued a $280.00 price objective on shares of Fabrinet in a report on Tuesday. B. Riley cut shares of Fabrinet from a "neutral" rating to a "sell" rating and reduced their price target for the company from $194.00 to $178.00 in a research report on Wednesday, November 20th. JPMorgan Chase & Co. decreased their target price on Fabrinet from $275.00 to $265.00 and set a "neutral" rating for the company in a research report on Tuesday. Barclays dropped their target price on Fabrinet from $292.00 to $245.00 and set an "equal weight" rating on the stock in a report on Tuesday. Finally, Rosenblatt Securities upped their price target on Fabrinet from $280.00 to $285.00 and gave the stock a "buy" rating in a report on Tuesday. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and three have issued a buy rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus price target of $243.29.

Institutional Investors Weigh In On Fabrinet

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Wedge Capital Management L L P NC acquired a new position in Fabrinet in the 4th quarter worth approximately $63,222,000. Whale Rock Capital Management LLC boosted its position in shares of Fabrinet by 25.8% in the third quarter. Whale Rock Capital Management LLC now owns 855,767 shares of the technology company's stock worth $202,338,000 after buying an additional 175,684 shares during the period. Stephens Investment Management Group LLC purchased a new position in shares of Fabrinet during the fourth quarter valued at $28,218,000. Raymond James Financial Inc. acquired a new position in Fabrinet during the fourth quarter valued at $24,844,000. Finally, World Investment Advisors LLC purchased a new stake in Fabrinet in the 3rd quarter worth about $20,187,000. 97.38% of the stock is owned by institutional investors and hedge funds.

Fabrinet Trading Down 3.8 %

The stock has a 50-day simple moving average of $230.11 and a 200 day simple moving average of $233.94. The stock has a market capitalization of $7.70 billion, a price-to-earnings ratio of 25.14 and a beta of 0.92.

About Fabrinet

Fabrinet provides optical packaging and precision optical, electro-mechanical, and electronic manufacturing services in North America, the Asia-Pacific, and Europe. The company offers a range of advanced optical and electro-mechanical capabilities in the manufacturing process, including process design and engineering, supply chain management, manufacturing, printed circuit board assembly, advanced packaging, integration, final assembly, and testing.