Nvidia's CEO hypes the AI supply chain — ride the optical stock breakout
Nvidia's CEO Jensen Huang publicly praised Marvell Technology and said it could reach a $1 trillion valuation. His comments lit a fire under the entire optical networking sector — companies like Lumentum and Coherent that make the fiber-optic components connecting AI data centers.
Idea
When Nvidia's CEO — the most influential voice in AI right now — singles out a company and predicts a trillion-dollar future, investors pay attention. But the real ripple effect is in the picks-and-shovels companies that supply the high-speed fiber-optic gear connecting all those AI servers. Lumentum and Coherent make those critical components, and they're surging on the endorsement. With AI spending accelerating (Alphabet just committed $80 billion to AI infrastructure), these optical companies should see rising demand for quarters to come.