Analyst Consensus ?
ConsensusBuy24 ratings
Bullish1875.0%
Neutral625.0%
Bearish00.0%
Fabrinet · FN · FY2026 Q3 · Calendar Q2 2026
Fabrinet beats with record Q3 revenue, EPS as optical demand surges
Management delivered a record quarter that reconfirms durable growth: Q3 revenue of $1.214 billion and non-GAAP EPS of $3.72 both beat guidance, led by a 35% rise in optical communications and a 90% YoY jump in data-center interconnect modules. The stock fell roughly 8% the session after the report even as the numbers beat, consistent with the market digesting datacom supply constraints, then drifted about 10% higher. The binding constraint is supply, not demand: a capacity roadmap adding roughly $8.5 billion of revenue capacity (Building 10, Pinehurst conversion, new Thailand facilities), new hyperscale and merchant transceiver programs, and an investment in Raytec to bolster co-packaged optics support management's view of continued acceleration into fiscal 2027.
Reported After market closeNYSETechnology
$14.27B market cap
100quality score
Earnings scorecard
Reported versus consensus
Reported EPS
$3.72
Consensus $3.56
EPS surprise
+4.5%
Reported versus consensus
Reported revenue
$1.21B
Consensus $1.19B
Revenue surprise
+2.2%
Reported versus consensus
Market reaction
event-close to next-session close
Stock move
-8.0%
Event window
SPY move
+0.8%
Same window
Abnormal move
-8.8%
Stock minus SPY
Volume
2.7×
Versus trailing sessions
Subsequent drift
+9.8%
Up to 20 sessions
FNSPY benchmark
Ask FN2 about FN FY2026 Q3
Transcript, numbers and history already loaded
Why did FN fall 8.0% after beating EPS estimates in FY2026 Q3?What changed in FN's guidance and outlook in FY2026 Q3?Give me the bull and bear case for FN after FY2026 Q3 earnings.
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Transcript intelligence
What changed
Fabrinet posted record Q3 results with revenue and EPS above guidance. Q4 guidance was raised to $1.25-1.29 billion. The company announced new hyperscale and merchant transceiver programs, a minority investment in Raytec Semiconductor to strengthen co-packaged optics, and significant capacity expansion via Building 10 and a new Thailand facility, while datacom revenue remained constrained by component shortages.
Guidance delta
Raised. Management guided Q4 revenue to $1.25-1.29 billion and expressed confidence that new hyperscale, merchant and CPO programs would sustain acceleration into fiscal 2027, up from the $1.15-1.20 billion guided for the reported quarter.
Key takeaways
- Record Q3 revenue of $1.214 billion and non-GAAP EPS of $3.72 both beat guidance.
- Optical Communications rose 35% year over year, with data-center interconnect modules up 90% YoY.
- Datacom demand outpaces supply due to component shortages (lasers, memory, ASICs).
- Management raised Q4 guidance to $1.25-1.29 billion of revenue.
- New hyperscale and merchant transceiver programs plus a CPO investment position the company for fiscal 2027.
Management priorities
- Ramp two datacom transceiver programs to hyperscalers starting Q4
- Qualify and commence merchant transceiver programs in H2 2027
- Advance co-packaged optics program with three customer projects
- Complete Building 10 floors by year-end and commission the new Thailand factory
- Continue investment in Raytec and expand silicon-photonic packaging capabilities
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Estimate
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Miss
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Analyst 52W Price Targets
$417.39Current
$100Low
$348.67Average
$800High
Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Sep 26, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| Rosenblatt | Buy | Buy | Maintain | Aug 20, 2026 |
| Needham | Buy | Buy | Maintain | Aug 18, 2026 |
| JP Morgan | Neutral | Neutral | Maintain | Aug 18, 2026 |
| Barclays | Overweight | Overweight | Maintain | Aug 18, 2026 |
| B. Riley Securities | Neutral | Neutral | Maintain | Feb 3, 2026 |
| Susquehanna | Positive | Positive | Maintain | Jan 22, 2026 |
| Northland Capital Markets | Outperform | Market Perform | Upgrade | Mar 21, 2024 |
| Lake Street | Buy | Buy | Maintain | Aug 22, 2023 |
| HC Wainwright & Co. | Buy | Buy | Maintain | Aug 22, 2023 |
| RBC Capital | Sector Perform | Sector Perform | Maintain | Mar 1, 2023 |
| Loop Capital | Buy | Buy | Maintain | Apr 26, 2022 |
| MKM Partners | Neutral | Neutral | Maintain | Aug 17, 2021 |
| Stifel | Buy | Buy | Maintain | Feb 2, 2021 |
| B. Riley FBR | Neutral | Neutral | Maintain | Feb 2, 2021 |
| Northland | Outperform | Market Perform | Upgrade | Sep 30, 2019 |
| Stifel Nicolaus | Buy | Buy | Maintain | Aug 20, 2019 |
| TD Securities | Buy | Hold | Upgrade | Feb 27, 2019 |
| William O'Neil & Co | Buy | Buy | Maintain | Nov 9, 2018 |
| B. Riley | Buy | Buy | Maintain | Nov 7, 2017 |
| PiperJaffray | Overweight | Overweight | Maintain | Jan 4, 2016 |
| Piper Sandler | Overweight | Overweight | Maintain | Jan 4, 2016 |
| Northland Securities | Outperform | Outperform | Maintain | Nov 3, 2015 |
| Deutsche Bank | Hold | Hold | Maintain | May 4, 2015 |
| Morgan Stanley | Overweight | Overweight | Maintain | May 8, 2012 |
Named analyst price targets
Upside is calculated against the persisted current price $417.39. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| Barclays | Analyst unavailable | $739 | $598.58 | +77.1% | Aug 18, 2026 |
| Barclays | Tim Long | $702 | $717.8 | +68.2% | May 5, 2026 |
| Northland Securities | Analyst unavailable | $800 | $684.33 | +91.7% | Apr 20, 2026 |
| Wolfe Research | Analyst unavailable | $540 | $457.98 | +29.4% | Feb 4, 2026 |
| Barclays | Tim Long | $548 | $499.61 | +31.3% | Feb 3, 2026 |
| Susquehanna | Analyst unavailable | $570 | $488.36 | +36.6% | Jan 22, 2026 |
| Barclays | Analyst unavailable | $537 | $489 | +28.7% | Jan 14, 2026 |
| Northland Securities | Analyst unavailable | $600 | $479.51 | +43.8% | Dec 22, 2025 |
| Barclays | Analyst unavailable | $499 | $459.6 | +19.6% | Nov 5, 2025 |
| Northland Securities | Analyst unavailable | $550 | $473.16 | +31.8% | Nov 4, 2025 |
| Barclays | Tim Long | $329 | $327.12 | -21.2% | Aug 19, 2025 |
| Barclays | George Wang | $234 | $220.9 | -43.9% | May 6, 2025 |
| Needham | Ryan Koontz | $280 | $230.1 | -32.9% | Nov 5, 2024 |
| Rosenblatt Securities | Mike Genovese | $260 | $188.83 | -37.7% | May 7, 2024 |
| Needham | Alex Henderson | $220 | $197.14 | -47.3% | Mar 22, 2024 |
| Northland Securities | Tim Savageaux | $220 | $206.8 | -47.3% | Mar 21, 2024 |
| Lake Street | Troy Jensen | $130 | $117.8 | -68.9% | Aug 21, 2023 |
| Northland Securities | Analyst unavailable | $155 | $121.61 | -62.9% | Feb 7, 2023 |
| Needham | Analyst unavailable | $150 | $132.06 | -64.1% | Feb 7, 2023 |
| J.P. Morgan | Analyst unavailable | $156 | $127.61 | -62.6% | Dec 20, 2022 |
| Loop Capital Markets | Fahad Najam | $129 | $100.73 | -69.1% | Apr 28, 2022 |
| B.Riley Financial | Dave Kang | $100 | $101.47 | -76.0% | Feb 2, 2022 |
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Start freeCompany context
Snapshot as of publicationFabrinet 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, packaging, integration, final assembly, and testing. Its products include switching products, including reconfigurable optical add-drop multiplexers, optical amplifiers, modulators, and other optical components and modules that enable network managers to route voice, video, and data communications traffic through fiber optic cables at various wavelengths, speeds, and over various distances.…
Historical context
All FN earningsTechnology peers this season
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|---|---|---|---|---|
| SNX TD Synnex Corp | FY2026 Q3 · Calendar Q3 2026 | +20.9% | -9.9% | TD SYNNEX: AI-led growth accelerates, but mix and cash flow matter |
| ADBE Adobe Inc. | FY2026 Q3 · Calendar Q3 2026 | +0.8% | +1.4% | Adobe raises FY26 outlook as AI strategy broadens |
| ORCL Oracle Corporation | FY2027 Q1 · Calendar Q3 2026 | +10.3% | -1.7% | Oracle raises FY27 outlook as AI demand accelerates cloud growth |
| SAIL SailPoint, Inc. | FY2027 Q2 · Calendar Q3 2026 | +13.8% | -1.2% | SailPoint pairs 25% ARR growth with accelerating AI-driven adoption |
| CIEN Ciena Corporation | FY2026 Q3 · Calendar Q3 2026 | +22.0% | -10.4% | Ciena raises outlook as AI networking demand lifts backlog |
| DOCU DocuSign, Inc. | FY2027 Q2 · Calendar Q3 2026 | +6.4% | +3.7% | DocuSign Q2 FY27: IAM momentum supports a raised outlook |
Latest beats and misses
Who reports nextBeat on EPS
- SNXFY2026 Q3 · September 24, 2026+20.9% EPS-9.9% move
- DRIFY2027 Q1 · September 24, 20260.0% EPS-3.0% move
- CTASFY2027 Q1 · September 23, 2026+3.0% EPS-3.4% move
- PAYXFY2027 Q1 · September 23, 2026+1.5% EPS-8.8% move
- GISFY2027 Q1 · September 23, 2026+4.6% EPS+1.0% move
- AZOFY2026 Q4 · September 22, 2026+3.6% EPS+3.3% move
Get the FN recap when the next report posts
One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.
Sources
- Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
- FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
- Polygon adjusted daily market bars · 2026-09-26T01:21:01.283727+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-09-26T01:21:01.280889+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated · As of 2026-09-26. For educational purposes only; not investment advice.