HK Stock Market Move | YOFC (06869) opened low but rose significantly, up over 11%. The company is expected to benefit deeply from the optical fiber upstream cycle.

YOFC (06869) opened low but surged over 11%, currently up 10.98% at HKD 117.2, with a trading volume of HKD 3.708 billion. According to estimates by GL-Fibercable and Rebio Group, global fiber optic demand is expected to reach 760 million and 889 million fiber kilometers in 2026 and 2027, representing year-on-year growth of 27.6% and 17.0%, respectively. Institutions have pointed out that the overall localization rate of fiber optic preform in China has increased from 65% in 2023 to over 80% in 2026, but there is still a structural gap in high-end G.657.A2 and specialty optical rods used for hollow-core fibers. A recent research report from Huaxin Securities indicates that the company, as a leading player in the global fiber optic cable industry and one of the earliest fiber optic cable manufacturers in China, is expected to benefit significantly from the upward cycle of fiber optics. Furthermore, in recent years, as a global leader in hollow-core fiber technology and industrialization, the company has established close collaborations with many leading operators, equipment manufacturers, and testing instrument companies worldwide, successfully launching over ten commercial and pilot projects in Asia, Europe, and the Americas.