Fabrinet continues its bullish trend in order to test new highest level.
The company shows strong fundamentals. Firstly, the security is undervalued compared to its peers with an EV/Sales ratio estimated at 0.9 by the Thomson Reuters consensus for this year. Moreover, analyst revised upward EPS estimates for this year and that let see a great potential for the security on the stock market.
Technical patterns are in the green: prices are up for several months. The movement should continue in the coming trading sessions. The 20-day moving average should help to reach the USD 19.9 long term resistance after the breakout of the USD 17.35.
In consequence, investors can take a long position in Fabrinet when the buying signal will be given (crossing of the USD 17.35). The main objective is at USD 19.9, this level is the long term resistance. A stop loss will be set under the 20-day moving average.
Fabrinet is a provider of advanced optical packaging and precision optical, electro-mechanical, and electronic manufacturing services to original equipment manufacturers of complex products. The complex products include optical communication components, modules and subsystems, automotive components, medical devices, industrial lasers, and sensors. The Company offers a range of advanced optical and electro-mechanical capabilities across the entire manufacturing process, including process design and engineering, supply chain management, manufacturing, advanced packaging, integration, final assembly, and testing. It focuses on production of high complexity products in any mix and any volume. The Company also designs and fabricates application-specific crystals, lenses, prisms, mirrors, laser components and substrates (customized optics) and other custom and standard borosilicate, clear fused quartz, and synthetic fused silica glass products (customized glass).
FABRINET 
