What Makes Fabrinet (FN) a Worthy Investment?

2 hours ago 1

Soumya Eswaran

Mon, December 15, 2025 astatine 8:18 AM CST 3 min read

Wasatch Global Investors, an plus absorption company, released its third-quarter 2025 “Wasatch Small Cap Growth Strategy” capitalist letter. A transcript of the missive tin beryllium downloaded here. US small-cap equities rallied powerfully successful the 3rd quarter. The Fed Reserve’s involvement complaint chopped supported the rally. However, the fund-Investor Class struggled to support up with the rally and ended the play down -3.17% vs. 12.19% summation for the Russell 2000 Growth Index. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its third-quarter 2025 capitalist letter, Wasatch Small Cap Growth Strategy highlighted stocks specified arsenic Fabrinet (NYSE:FN). Fabrinet (NYSE:FN) offers optical packaging and precision optical, electro-mechanical, and physics manufacturing services. The one-month instrumentality of Fabrinet (NYSE:FN) was 13.02%, and its shares gained 98.16% of their worth implicit the past 52 weeks. On December 12, 2025, Fabrinet (NYSE:FN) banal closed astatine $470.89 per share, with a marketplace capitalization of $16.871 billion.

Wasatch Small Cap Growth Strategy stated the pursuing regarding Fabrinet (NYSE:FN) successful its 3rd 4th 2025 capitalist letter:

Another apical contributor was Fabrinet (NYSE:FN). The institution designs, manufactures and tests analyzable optoelectronic and photonic components, modules and precision optical assemblies for customers successful a assortment of industries. Some of Fabrinet’s products are utilized successful information centers, which ties the institution somewhat to AI. As mentioned, this has been a fashionable taxable among investors, and apt helped thrust the banal higher. However, we don’t clasp Fabrinet’s banal arsenic a thematic play connected AI. The institution is experiencing beardown adoption of its products by some caller and existing customers, and we judge it’s good positioned to turn careless of AI.

Is Fabrinet (FN) Worth Buying connected the China H20 Chip Sale Ban?

Fabrinet (NYSE:FN) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. As per our database, 44 hedge money portfolios held Fabrinet (NYSE:FN) astatine the extremity of the 3rd quarter, which was 32 successful the erstwhile quarter. Fabrinet (NYSE:FN) generated $978 cardinal in revenue for fiscal Q1 2026, expanding 22% year-over-year, and an 8% from erstwhile quarter. While we admit the imaginable of Fabrinet (NYSE:FN) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.