Fabrinet (FN) DCF Valuation
Two independent models estimate Fabrinet's fair value between $94.98 (conservative case) and $181.82 (analyst consensus).
What would today's price require?
$582.24 is justified only if free cash flow grows about +31.1% a year for the next decade — faster than the company has actually grown.
Current Price
$582.24
Fair-Value Range
$94.98 – $181.82
Market-Implied Growth
+31.1%/yr
vs -9.5% 5Y actual
FN DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $189.2M · 0.04B shares · net cash $301.0M
Estimated Fair Value
$94.98
-83.7% vs $582.24
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $582.24; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $116 | $122 | $128 | $136 | $145 |
| 9.0% | $101 | $105 | $109 | $114 | $120 |
| 10.0% | $89.26 | $91.94 | $94.98 | $98.45 | $102 |
| 11.0% | $80.17 | $82.13 | $84.33 | $86.81 | $89.61 |
| 12.0% | $72.84 | $74.32 | $75.95 | $77.77 | $79.79 |
About Fabrinet
Fabrinet is a global provider of specialized manufacturing services, offering optical packaging, high-precision optical, electromechanical, and electronic solutions across North America, the Asia-Pacific region, and Europe. Its comprehensive capabilities span the entire manufacturing lifecycle, from initial process design and engineering to robust supply chain management, full-scale production, printed circuit board (PCB) assembly, advanced packaging, system integration, final product assembly, and rigorous testing. The company's diverse product portfolio includes core optical networking components such as reconfigurable optical add-drop multiplexers (ROADMs), optical amplifiers, modulators, and various other optical modules. These devices are critical for enabling network managers to efficiently route voice, video, and data traffic over fiber optic cables, accommodating diverse wavelengths, speeds, and transmission distances. This category also features tunable lasers, transceivers, and transponders. Additionally, Fabrinet produces active optical cables, which provide essential high-speed interconnect capabilities for data centers, computing clusters, and various networking protocols like InfiniBand, Ethernet, fiber channel, and optical backplane connectivity. Beyond optical communications, Fabrinet supplies a range of solid-state, diode-pumped, gas, and fiber lasers, utilized across industries such as semiconductor processing, biotechnology, medical device manufacturing, metrology, and material processing. Its sensor offerings include differential pressure, micro-gyro, and fuel sensors primarily for automotive applications, alongside non-contact temperature measurement sensors tailored for the medical industry. The company further specializes in the design and fabrication of advanced optical elements, including application-specific crystals, lenses, prisms, mirrors, laser components, and substrates, as well as custom and standard glass products such as borosilicate, clear fused quartz, and synthetic fused silica. Fabrinet primarily serves original equipment manufacturers (OEMs) involved in optical communication components, modules and sub-systems, industrial lasers, automotive components, medical devices, and sensors. Established in 1999, the company maintains its headquarters in George Town, Cayman Islands.
- Sector
- Technology
- Industry
- Hardware, Equipment & Parts
- CEO
- Seamus Grady