Nvidia's CEO just crowned the age of useful AI — optical stocks are surging, buy the dip on Lumentum and Coherent
Nvidia's CEO Jensen Huang went on stage and predicted that Marvell Technology will hit a $1 trillion valuation, calling this the age of 'useful AI.' His comments sparked a massive rally in optical networking stocks — the companies that make the high-speed connectors AI data centers desperately need.
Idea
When Nvidia's CEO — the most influential voice in AI — publicly says a company will reach a $1 trillion valuation, the market listens. His comments about Marvell and the arrival of 'useful AI' lit a fire under optical component makers because these companies supply the high-speed connections that AI data centers can't function without. Lumentum and Coherent both rocketed on the news, but after a big surge these stocks often pull back before continuing higher. Waiting for a short cooldown and buying on a dip toward the 5-day average gives you a better price while still riding the wave of institutional interest in AI infrastructure.