Huaxi Securities: The optoelectronics industry has performance support and long-term growth logic.

Huaxi Securities pointed out that in the past two years, the demand for computing power has benefited from the emergence of computing power chips, leading to a wave of exponential growth in demand. Short-term supply shortages and intensified "arms race" competition among major manufacturers and large models have exacerbated the supply-demand imbalance. In the medium to long term, AI applications are still in the very early stages, and there is still huge potential for many AI+ application scenarios, including embodied intelligence. As a basic component of computing power cluster expansion, the optoelectronics module industry still has high growth potential. In the short term, considering a series of uncertainties such as global geopolitical conflicts and tariff trade conflicts, the acceleration of domestic computing power construction is expected to boost domestic market demand. At this point, we believe that the industry has performance support and medium to long-term growth logic, and short-term market undervaluation has entered a low range and is set to rebound. We will focus on related beneficiary targets.