Shares of YOFC (06869) surged more than 22% during the trading session. At the time of writing, the stock is up 21.12%, trading at HK$263.80 with a turnover of HK$3.875 billion.

Reports indicate that due to a sharp increase in demand from North American AI data centers, fiber optic supplier Fujikura, facing slow capacity expansion, has decided to raise prices for DCI interconnect cables by 30% and significantly upgraded its performance guidance, leading to a substantial rise in its stock price. Corning is also under delivery pressure and plans to expand production capacity for optical fiber dedicated to Nvidia. Kaiyuan Securities believes the supply shortage of optical fiber may persist, and price increases could become an industry-wide consensus.

Huaxin Securities previously noted that since January this year, fiber preforms have been in continuous short supply, with global capacity nearing full utilization. YOFC has ranked first in the world for nine consecutive years from 2016 to the present in terms of market share for fiber preforms, optical fiber, and optical cables, positioning it to potentially benefit significantly from the upturn in the supply-demand cycle.