Optical networking stocks, including Applied Optoelectronics, Coherent, and Lumentum, fell sharply after warnings from Broadcom and Intel about potential AI funding constraints. Applied Optoelectronics dropped 9%, the steepest among the group, despite reporting record revenue and strong demand forecasts. The sector-wide selloff reflects investor worries about future AI infrastructure spending amid rising borrowing costs and uncertain returns. The key question remains whether hyperscale customers will maintain their order pace to support ongoing capacity expansions.
Following the sharp declines in optical networking stocks due to AI funding concerns, Applied Optoelectronics is trading down 9.99% at USD 88.01 on Pluang as of Oct 14, 2026 23:51 WIB. Coherent also shows a notable drop of 8.02%, priced at USD 266.72, while Lumentum is down 7.42% at USD 914.69. Despite the selloff, Lumentum sees strong buy interest with 87% of orders on Pluang being buys, contrasting with Coherent's 82% sell orders.
Optical connectivity stocks like Applied Optoelectronics and Lumentum have surged 175% and 164% respectively in 2026, driven by growing AI data center demand. These companies supply key components for data center optics, a sector expanding rapidly du...
Lumentum's stock dropped 10%, leading a broader 7% selloff in AI optics stocks like Applied Optoelectronics and Coherent, despite having a fully booked order book through early 2029. This decline highlights a sector-wide selloff rather than company-s...
