Author: Xu Chao
Source: Hard AI
Corning, known for developing Apple's &#34;Gorilla Glass,&#34; saw its stock price soar on Monday. The company raised its second-quarter performance expectations, stating that the industry's demand for the company's optical connectivity and optical communication products is strong amid the global AI boom.
In its latest performance forecast, Corning stated that due to increased demand for GenAI products, the company's second-quarter sales are expected to be around $3.6 billion, higher than the previously announced $3.4 billion expectation, and the company's second-quarter net profit is also expected to resume year-on-year growth.
Stimulated by this news, Corning's US stocks jumped 12% on Monday, marking the best single-day performance since March 2020. The uptrend continued at the opening on Tuesday, with a current increase of 2%.
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Corning's stock price has risen by 45% year-to-date. Market analysts believe that as a core supplier of AI optical fiber products, Corning is one of the &#34;low-key big winners&#34; in this wave of AI boom. The optical fibers and optical connectors produced by the company are widely used by global telecommunications companies and large-scale data centers.
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With the increasing applications of AI and big data, global demand for high-performance data centers is rapidly growing. These data centers require a large amount of optical fibers and high-speed network connections to support massive data transmission and low-latency communication, making Corning a direct beneficiary. The glass, ceramics, and optical products produced by the company's Specialty Materials division also play a crucial role in GPU cooling modules and precision optical components.
Bank of America Merrill Lynch has raised the company's target price to $47 in its latest research report. Analysts stated that besides AI optical products, the company is also exploring new market opportunities such as architectural glass, solar energy, and HAMR (Heat-Assisted Magnetic Recording), which have the potential to bring additional growth to the company

As a core supplier of AI fiber optic products, Corning is one of the "low-key big winners" in this wave of AI boom. The optical fibers and optical connectors produced by the company are widely used by global telecommunications companies and large-scale data centers

Another AI winner emerges? This time it's Corning, known for "Gorilla Glass"