Shares of Eoptolink Technology Inc.,Ltd. dropped sharply by 9% during early trading on April 24, following the release of quarterly results that fell short of market expectations. The broader Co-Packaged Optics (CPO) and optical module sector experienced a significant pullback, with Tianfu Communication also declining over 6%. Among popular ETFs, the ChiNext Artificial Intelligence ETF HuaBao (159363), which holds heavy positions in leading optical module companies including Eoptolink, Zhongji, and TFC, saw its price fall more than 4% intraday, dropping below its 10-day moving average. Despite the decline, investors seized the opportunity, resulting in a net subscription of 78 million units.
On the evening of April 23, Eoptolink reported its first-quarter financial results. The company posted revenue of 8.338 billion yuan, a year-on-year increase of 105.76%. Net profit attributable to shareholders was 2.780 billion yuan, up 76.80% compared to the same period last year, but down 13% quarter-over-quarter. Market analysts noted that these figures fell below the consensus estimates of major institutions for the first quarter. While the company's growth itself is not considered weak, it failed to meet the market's exceedingly high expectations. Some analysis suggests that while this quarterly report may not support a continued sharp rise in the stock price, it does not invalidate the long-term investment thesis. Overall, revenue met expectations, but profitability remains a point of contention.
Regarding the overall CPO and optical module sector, institutions indicate that valuations for leading companies still have room for expansion. GF Securities stated that while valuations for top optical module firms have seen some recent recovery, their projected 2027 price-to-earnings ratios remain relatively low. Historically, the valuation anchor for leading optical module companies has typically been around 15-20x forward P/E. The firm expresses optimism about the sustainability of the current optical module market trend, particularly highlighting the competitive barriers, supply chain capabilities, and long-term product strategies of leading companies, suggesting potential for further valuation increases.
For investors looking to gain exposure to leading CPO and optical module companies, the ChiNext Artificial Intelligence ETF HuaBao (159363) and its corresponding feeder funds (Class A: 023407, Class C: 023408) are key instruments to watch. The underlying index allocates approximately 70% of its portfolio to computing power infrastructure, including leading optical module/CPO companies, providing concentrated exposure to top players. The remaining 30% is allocated to AI application companies, making the ETF a representative play on both AI computing and applications.
According to data from exchanges, as of April 17, 2026, the ChiNext Artificial Intelligence ETF HuaBao had an asset size of 6.531 billion yuan. Its average daily turnover over the past six months exceeded 700 million yuan, ranking first in both size and trading volume among the 26 ETFs tracking the ChiNext AI Index, the STAR AI Index, and the ChiNext-STAR AI Index.
Investors should note that brokerage commissions of up to 0.5% may apply for subscriptions or redemptions of fund units. Trading fees for on-exchange transactions are subject to the rates set by securities firms, with no sales service fee charged. For the feeder funds, Class C shares do not charge a subscription fee. A redemption fee of 1.5% applies for holdings under 7 days, while holdings of 7 days or more have a 0% fee, alongside a 0.3% sales service fee. For Class A shares, subscription fees are 1% for investments below 1 million yuan, 0.6% for 1-2 million yuan, and a flat fee of 1,000 yuan for 2 million yuan and above. The redemption fee structure is the same as for Class C shares, but no sales service fee is charged.
The ChiNext Artificial Intelligence ETF HuaBao passively tracks the ChiNext Artificial Intelligence Index, which has a base date of December 28, 2018, and was launched on July 11, 2024. The index's annual performance from 2021 to 2025 was +17.57%, -34.52%, +47.83%, +38.44%, and +106.35%, respectively. The composition of the index is adjusted according to its rules, and its past performance is not indicative of future results. Mentions of individual stocks are for illustrative purposes only and do not constitute investment advice or represent the holdings or trading intentions of the fund manager. The fund manager has assessed this fund's risk level as R4 (Medium-High Risk), suitable for aggressive investors (C4) and above. Suitability assessments should be confirmed with the selling institution. All information presented is for reference only, and investors are responsible for their own investment decisions. No views, analysis, or forecasts constitute investment advice, and no liability is accepted for any direct or indirect losses resulting from the use of this content. Fund investments carry risk; past performance is not indicative of future results, and the performance of other funds managed by the manager does not guarantee this fund's future performance. Invest with caution.
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