CIG (06166) surged to HKD 109 on its first trading day but has since seen a continuous decline. Today, the stock hit an intraday low of HKD 76.45, just over 10% above its IPO price of HKD 68.88. As of press time, it fell 7.07% to HKD 77.6, with a turnover of HKD 89.65 million.
The recent Q3 earnings reports have weighed on the optical communication sector. Both InnoLight and TFC saw slight quarter-over-quarter declines in revenue, breaking their previous growth momentum. Meanwhile, Eoptolink maintained steady performance with both year-over-year and quarter-over-quarter revenue growth.
Guosheng Securities noted that the sector's overall performance in Q3 was relatively subdued, as the optical communication industry is transitioning from 800G to 1.6T technology, leading to short-term earnings volatility. However, with improving industry sentiment in Q4, the sector is expected to enter a new growth cycle.
According to its prospectus, CIG primarily generates revenue from broadband, wireless, and optical module technology products. Frost & Sullivan data shows the company is one of the few global providers offering all three product categories.
CIG's Q3 2025 earnings report highlighted high-quality growth, driven by strong performance in high-speed optical modules and telecom broadband access. The high-speed optical module segment stood out, benefiting from surging demand for global data center construction. The company has enhanced production capacity and supply chain efficiency to ensure high-quality deliveries.
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