HK Stock Market Move | YOFC (06869) rose more than 9% in early trading, reaching a new high. The demand for AI computing power is driving the prosperity of the optical fiber industry.

YOFC (06869) surged more than 9%, reaching a high of 99.9 Hong Kong dollars during trading hours to refresh its all-time high. As of the time of writing, it was up 8.48% at 98.5 Hong Kong dollars, with a turnover of 7.42 billion Hong Kong dollars. On the news front, Huayuan Securities pointed out that optical fiber prices have been rising moderately for about half a year, with the price of G.652.D bare fibers rising from less than 20 yuan/core kilometer all the way up, accelerating after 2026. The core reason is the reversal of supply and demand for optical fibers: supply-side capacity continues to be cleared out, while demand for AI data center construction is accelerating, leading to a situation where various types of optical fibers are in short supply. The firm believes that the prosperity of the optical fiber and cable industry is expected to continue to rise, and is optimistic about the improvement of the performance of related companies as optical fiber prices rise. In addition, YOFC's subsidiary announced on February 6 that it had officially completed a round of A+ financing of over 1 billion yuan. This round of financing was led by Jiangcheng Fund, Changjiang Industrial Group, with participation from Optics Valley Financial, the Xincheli Intelligent Alliance Fund under Chery, and other institutions. The financing funds will be mainly used for the layout of the entire industrial chain of silicon carbide power semiconductors, speeding up the seize of the global market in emerging fields.