Fabrinet rated Strong Buy with 39% upside on AI and optical networking growth prospects.

Analyst initiates coverage of Fabrinet with a Strong Buy rating and a $677 price target, suggesting a 39% upside from current prices. Fabrinet is expanding rapidly in AI infrastructure, high-speed optical networking, and data center interconnects, which supports strong multi-year growth. Management's plans for manufacturing expansion and new customer acquisitions are expected to sustain revenue and earnings growth through 2028, with projected non-GAAP EPS of $23.35 in 2028. The company's forward PEG ratio of 1.05x and increased capacity position it well to meet ongoing demand in optical transceivers and AI networks.

Fabrinet shares trade at USD 487.61 on Pluang as of Oct 10, 2026 05:21 WIB, near the middle of its 52-week range between USD 361.94 and USD 746.47. The stock's market cap stands at $17.46 billion, reflecting its significant presence in the technology sector. Despite a slight 1-day increase of 0.06%, most Pluang users are selling, with 93% of order activity on the platform being sell orders at this time.