Fabrinet's 15min chart shows RSI Oversold, KDJ Golden Cross

Based on the 15-minute chart for Fabrinet, the Relative Strength Index (RSI) has reached oversold levels, and the KDJ indicator has formed a golden cross at 09:24:00 on September 24, 2025. This suggests that the stock price has experienced a significant and rapid decline, possibly exceeding fundamental support levels. Furthermore, the momentum of the stock price is shifting towards an uptrend, indicating a potential for further upward movement.

Fabrinet, Inc. (FN), a leading supplier of optical packaging solutions, has been showcasing robust growth in its Data Center Interconnect (DCI) segment. In the fourth quarter of fiscal 2025, DCI revenues reached $107 million, accounting for 26% of telecom revenues and 12% of total revenues Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1]. This segment, which forms the optical backbone linking distributed data centers, is poised to gain prominence as hyperscalers scale infrastructure to meet accelerating AI and cloud workloads.

Fabrinet’s expertise in compact, high-bandwidth modules gives it an edge in this rapidly evolving market. As the industry shifts toward 800 GB and 1.6 TB transceivers, the underlying complexity in design, thermal control, and integration is expected to rise, creating premium opportunities for high-precision suppliers like Fabrinet Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1].

The Zacks Consensus Estimate for total revenues in the first quarter of fiscal 2026 is pegged at $929.74 million, suggesting 11.7% year-over-year growth. The consensus mark for Optical communications revenue is pegged at $699.92 million, up 17.3% year over year Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1]. DCI’s momentum, fueled by AI-driven infrastructure scaling, is expected to lift both shipment volumes and complexity-driven pricing over time.

With demand visibility improving and DCI now tracked independently, Fabrinet is well-positioned to benefit from long-cycle architectural shifts in global data infrastructure. This emerging tailwind could unlock fresh upside potential over the coming quarters Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1].

However, Fabrinet faces stiff competition from peers like Coherent COHR and Lumentum LITE, both of which are increasing their focus on the data center interconnect (DCI) opportunity. Coherent is ramping investment in high-speed transceivers and integrated photonic platforms to support 800-gigabit and 1.6-terabit infrastructure builds. Lumentum is enhancing its DCI portfolio with compact, thermally efficient modules tailored for short-reach, high-throughput environments Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1].

Fabrinet’s shares have jumped 62.9% in the year-to-date (YTD) period, outperforming the Zacks Electronics-Miscellaneous Components industry and the Zacks Computer and Technology sector’s increase of 35.2% and 20.3%, respectively. From a valuation standpoint, Fabrinet stock is currently trading at a forward 12-month Price/Sales ratio of 3.01X compared with the industry’s 2.08X. Fabrinet has a Value Score of C Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1].

The Zacks Consensus Estimate for Fabrinet’s first quarter fiscal 2026 earnings is pegged at $2.83 per share, which has been revised upward by six cents over the past 30 days. The estimate indicates 18.41% year-over-year growth Can Data Center Interconnect Fuel Fresh Upside for FN Stock?^[1]. Fabrinet currently carries a Zacks Rank #3 (Hold).

Based on the 15-minute chart for Fabrinet, the Relative Strength Index (RSI) has reached oversold levels, and the KDJ indicator has formed a golden cross at 09:24:00 on September 24, 2025. This suggests that the stock price has experienced a significant and rapid decline, possibly exceeding fundamental support levels. Furthermore, the momentum of the stock price is shifting towards an uptrend, indicating a potential for further upward movement.