Why Shares of Fabrinet Slumped Today
Shares of Fabrinet (NYSE: FN) dropped on Tuesday after the provider of optical and electronic manufacturing services reported its fiscal fourth-quarter results. While Fabrinet beat analyst expectations for revenue and adjusted earnings, the company's guidance fell short of expectations. The stock was down about 14.7% at 10:45 a.m. EDT today.
Fourth-quarter revenue was $405.1 million, up 17.3% year over year and about $5.9 million higher than the average analyst estimate. Because some of Fabrinet's customers ship to Huawei, the blacklisting of that company hurt revenue by around $9 million during the quarter. Fabrinet was able to offset that decline, though, with revenue growth in other areas.
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Source Fool.com
