Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of optical and electronic components builder Fabrinet
So what: After Friday's closing bell, Fabrinet's largest customer, Oclaro
Now what: Analysts and industry watchers generally see the announcement as a negotiating ploy by Oclaro rather than a break-up letter. "[We] do not anticipate any change in Fabrinet's revenue or earnings through fiscal year 2012 based on Oclaro's announcement," explains Deutsche Bank.
So this drop feels more like a buy-in opportunity than a panic signal. Just remember to keep your options open. For example, optical networking specialist and five-star CAPS stock Infinera
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