Yangtze Optical Fibre and Cable Joint Stock Limited Company (YOFC) experienced a significant intraday surge, with its stock price soaring 5.05%. This movement represents a continuation of the stock's recovery trajectory following a period of substantial decline.

The stock's recent performance follows a sharp correction that saw it retreat over 25% from its historical high. This prior selloff was largely triggered by broader sector concerns, particularly after Japanese optical fiber leader Fujikura's stock nearly halved within a week, raising market worries about potential delays in data center projects due to material bottlenecks and supply chain constraints.

Fundamental factors appear to be driving the rebound. The company reported exceptionally strong first-quarter results, with net profit reaching RMB 495 million, representing a 226.4% year-over-year increase, while gross margin hit a record 41.51%. The optical fiber market continues to show strength, with G.652.D single-mode fiber prices surging over 400%. Analysts note that as high-price orders are expected to be confirmed from the second quarter onwards, profit elasticity should accelerate further, attracting bargain hunters and prompting market funds to re-enter positions following the oversold correction.