HK Stock Market Move | Hongteng Precision (06088) surged over 16% as its cluster scale accelerates the industrialization penetration of optical interconnection technology. The company's CPO solution is expected to gain traction in the second half of the year.

Horizon Precision (06088) saw its afternoon gains expand by over 16%. As of the time of this report, the stock rose by 15.55%, priced at HKD 6.09, with a trading volume of HKD 439 million. In terms of news, recently, Gilad Shainer, Senior Vice President at Nvidia (NVDA), officially announced at a tech forum that CPO has entered the mass production stage, and the switches developed in collaboration with the supply chain have begun to be delivered to closely cooperating customers. It is expected that there will be a large-scale introduction to global AI factories in the second half of the year. Open-source Securities believes that the leap in cluster scale poses a multiplying demand for Scale-up interconnect bandwidth, which is likely to accelerate the industrial penetration of optical interconnect technologies such as NPO/CPO, driving a structural reevaluation of the value of optical communication in AI infrastructure. Guo Zheng International previously pointed out that Horizon Precision has formed a core barrier in the field of AI computing infrastructure through copper-optical synergy and system-level solutions, with three major product lineshigh-speed connectivity, high-voltage power distribution, and liquid coolingworking together. During OFC 2026 and GTC 2026, it will showcase high-barrier products such as the 102.4T ELSFP external laser module, 1.6T high-speed connectivity solutions, and LC Busbar, deeply collaborating with ecosystem partners such as Broadcom and NTT. The next-generation backplane connectors and CPO solutions are expected to see significant volume in the second half of 2026, with related products contributing notable revenues starting in 2027.