Investing.com -- Shares of Fabrinet (NYSE: FN ) climbed 9% in premarket trading despite the company revising its third-quarter adjusted earnings per share (EPS) outlook downward.

The optical packaging and precision optical, electro-mechanical, and electronic manufacturing services provider now expects adjusted EPS to fall between $2.43 and $2.51, a decrease from the previously forecasted range of $2.55 to $2.63.

The adjustment comes after Fabrinet issued a warrant to an Amazon (NASDAQ: AMZN ) unit that allows for the purchase of up to 382,922 shares at an exercise price of $208.4826 each. This transaction is anticipated to lead to a non-cash stock-based accounting adjustment to revenue of approximately $4.2 million.

As a result, there will be an expected negative impact on net income per fully diluted share of about $0.12 for the third quarter. The company’s GAAP net income per share is now projected to be between $2.20 and $2.28.

Despite the lowered EPS outlook, investors seem to be responding positively to Fabrinet’s premarket movement. The issuance of the warrant to an Amazon unit could be interpreted as a sign of confidence from the e-commerce giant, potentially outweighing the immediate financial adjustments.

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