Changes in Hong Kong stocks | Changfei Optical Fiber & Cable (06869) rose more than 6%, and the fiber supply and demand pattern continues to be tight, leading companies are expected to fully unleash profit elasticity

The Zhitong Finance App learned that Changfei Optical Fiber Cable (06869) rose by more than 6%. As of press release, it had risen 6.27% to HK$188.1, with a turnover of HK$2.14 billion.

According to the news, the ten-year long order recently signed between Corning and Verizon, combined with a nearly 90% increase in the domestic China Mobile collection unit price, all further confirm that the supply and demand pattern in the optical fiber industry is reversing. Galaxy Securities pointed out that the optical fiber industry is shifting from traditional telecom cycle products to computing power infrastructure tracks. Backbone network expansion resonates with internal data center demand, opening up long-term structural incremental space. Leading companies that are self-sufficient in core materials will fully unleash their profit flexibility.

Looking at the second quarter of this year, Changfei Optical Fiber Cable achieved revenue of 6.114 billion yuan, an increase of 65.4% over the previous month; net profit to mother was 2,430 billion yuan, an increase of 390.7% over the previous month. Previously, the company also released a new series of polarization-maintaining optical fiber products and launched the CopackAlign brand at the 27th International Optoelectronics Expo. Zhuang Dan, executive director and president of the company, said that CPO and NPO have accelerated from industry consensus to large-scale implementation, and polarization-maintaining optical fiber has become a rigid requirement for AI optical interconnection.