Optical communication sector rises strongly in early trading, with Yuanjie Technology's stock price reaching new highs to lead the industry

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The optical communication sector experienced a strong rally in early trading today, with many related stocks performing remarkably and showing a straight-line surge. Among them, Changguang Huaxin rose over 16%, Kexin Technology and Yuanjie Technology both increased by more than 12%, while Mingpu Photonics and Yunnan Germanium Industry hit the daily limit-up, significantly boosting market activity.

From a news perspective, overnight, U.S. stock market storage concept stocks generally showed strength, with most chip stocks rising, and optical communication stocks also trending higher. Specifically, Lumentum increased by 10.18%, Applied Optoelectronics by 10.03%, Fabrinet by 8.06%, Coherent by 7.14%, and Corning by 2.48%. This series of performances provided a positive external market environment for the rise of the domestic optical communication sector.

In individual stocks, Yuanjie Technology (688498) became a market focus, successfully breaking the 1,000 yuan mark during trading. As of the latest report, it was trading at 1,069.8 yuan per share. Yuanjie Technology specializes in the research, design, production, and sales of optical chips, with a rich product line in the optical communication field. The company’s main products include 2.5G, 10G, 25G, 50G, 100G, 200G, and higher-speed DFB and EML laser series, as well as high-power silicon photonic sources at 50mW, 70mW, 100mW, and 150mW. These products are widely used in fiber access, 4G/5G mobile networks, and data centers.

It is worth noting that amid the explosive growth in AI computing power demand, Yuanjie Technology has achieved significant growth in the AI data center market. In particular, high-power CW laser chips required for silicon photonic solutions have become a key driver for the company’s business expansion. In response to the market demand for 400G/800G optical modules, Yuanjie Technology has successfully mass-produced CW 70mW laser chips, and CW 100mW laser products have also passed customer validation, further consolidating the company’s market position in optical communication chips.

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