Nvidia's CEO hypes optical stocks into orbit — catch the AI plumbing rally on Lumentum and Coherent
Nvidia's CEO Jensen Huang publicly praised Marvell Technology on stage and predicted it could reach a $1 trillion valuation. His comments sparked a massive rally in optical component makers like Lumentum and Coherent, since these companies supply the hardware that connects AI data centers together.
Idea
When Nvidia's Jensen Huang speaks, the market listens — and his on-stage endorsement of Marvell sent a clear signal that optical components are critical to the AI buildout. Lumentum and Coherent make the lasers and connectors that wire together massive AI data centers, so they're direct beneficiaries of the spending boom from companies like SoftBank (who just committed €75 billion to a French AI hub). This isn't speculative hype; these companies have real products in a supply-constrained market. The rally is broad across the optical sector, which suggests institutional conviction, not just retail excitement.