According to reports on February 9, the concept of optical communication continues to strengthen. As of press time,$YOFC (06869.HK)$up nearly 17%,$TIME INTERCON (01729.HK)$Up nearly 9%,$CIG (06166.HK)$Surging over 5%,$HUA HONG SEMI (01347.HK)$Up nearly 5%.
In terms of recent developments, Meta, Amazon, Google, and Microsoft have released their latest earnings reports, showing that their total capital expenditure this year may reach USD 660 billion. Based on this, Jensen Huang, CEO of NVIDIA, recently stated that the surge in capital expenditure on artificial intelligence infrastructure within the technology industry is reasonable, appropriate, and sustainable. Huang also noted that AI infrastructure construction is still in its early stages, and demand will remain robust in the coming years. Additionally, China's Ministry of Industry and Information Technology issued a notice titled "On Launching the Construction of National Computing Power Interconnection Nodes," targeting national hub nodes, major strategic regions, and key industries for building computing power interconnection nodes to establish a national system of interconnected computing nodes.
CITIC Securities' research report pointed out that AI computing power demand will remain strong by 2026, and capital expenditures by North American CSPs will continue to be optimistic. The firm reiterated its positive outlook on the AI computing power industry chain, particularly the optical module supply chain, which demonstrates higher earnings visibility. Additionally, the fiber optic cable industry has transitioned from a recovery phase to a stage of simultaneous growth in volume and price, and continued recommendations are warranted. CITIC Securities emphasized that as technology evolves rapidly, industry leaders leveraging their technical expertise and innovative capabilities will further consolidate their technological leadership and guide industrial upgrades. Key recommendations are given for leading domestic and international optical communication companies. The communications sector rating remains at 'Outperform'.
Editor/Melody
