Shares of optical module and CPO (co-packaged optics) companies regained strength in early trading on June 5th.
Advanced Fiber Resources(Zhuhai),Ltd. (ASX: 300620) led the gains, rising over 8%, while Eoptolink Technology Inc.,Ltd. (ASX: 300502) surged more than 5% to revisit new highs.
Suzhou Tfc Optical Communication Co.,Ltd. (ASX: 300394) also advanced over 4%.
Among popular ETFs, the ChiNext Artificial Intelligence ETF (ASX: 159363), which has over 50% exposure to optical modules/CPO and high weightings in key stocks, saw its on-market price quickly rise by 1.7%, with real-time turnover exceeding 5.5 billion yuan.
Nvidia's Spectrum-X Ethernet silicon photonics technology has entered full-scale production.
The new Spectrum-X switch employs a CPO architecture, supporting the Nvidia Vera Rubin platform for data center scaling and cross-regional AI factory deployment.
Analysis suggests the accelerated pace of CPO commercialization, coupled with Marvell's comprehensive product portfolio, creates a mutually reinforcing dynamic, potentially catalyzing core investment opportunities within the CPO industry.
Further commentary indicates that the long-term growth thesis for the computing power sector remains intact.
As we move into June, demand expectations for optical modules through 2027 are becoming clearer, and the supply constraints for key upstream components that previously hampered deliveries are gradually reaching an inflection point towards improvement.
This is expected to accelerate the release of production capacity and earnings potential for leading optical module manufacturers.
Buoyed by the strong performance of overseas computing power chain components like optical modules and CPO, the ChiNext Artificial Intelligence Index continues to lead among comparable AI-themed indices.
As of June 3rd, the underlying index for the ChiNext Artificial Intelligence ETF (ASX: 159363) has surged over 224% in the past year, significantly outperforming other broad-market AI indices and demonstrating sustained excess returns.
From a valuation perspective, analysis notes that from PE-G and PS-net profit margin angles, leading Chinese companies in the North America computing power chain, such as optical module makers, remain relatively cheaper compared to their overseas peers.
The ChiNext Artificial Intelligence ETF (ASX: 159363) passively tracks the ChiNext Artificial Intelligence Index.
The index has a base date of December 28, 2018, and was officially launched on July 11, 2024.
Its annual performance from 2021 to 2025 was 17.57%, -34.52%, 47.83%, 38.44%, and 106.35%, respectively.
The index's constituent stocks are adjusted according to its rules, and its past performance does not guarantee future results.
To gain exposure to opportunities in both optical modules and AI applications, market participants are advised to focus on the ChiNext Artificial Intelligence ETF (ASX: 159363) and its corresponding feeder funds (Class A: 023407, Class C: 023408), which lead their category in size and liquidity.
The underlying index currently has over 50% exposure to optical modules, significant weightings in key industry leaders, and allocates roughly 30% to AI applications, positioning it not only as a core computing power play but also as a representative of AI application opportunities.
It is noteworthy that as of June 2, 2026, the ChiNext Artificial Intelligence ETF (ASX: 159363) had reached a size of 7.436 billion yuan, ranking first in size within the dual-creation (ChiNext & STAR) AI segment of the market.
Its average daily turnover over the past six months exceeded 800 million yuan, also ranking first in trading activity within the AI segment.
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