Marvell Technology’s move to acquire Lumentum has pushed AI data center plumbing out of the background and into the spotlight, and traders are already reacting to the new all stock deal terms. This kind of shake up can reward investors who understand which suppliers might gain influence and which could lose pricing power. The article breaks down three stocks exposed to this news so you can decide how to position around it.
The stocks covered below are only a sample set, and the full screen pulled out 68 more AI data center component suppliers with equally compelling narratives that are not unpacked in this article. To go deeper, head straight into the AI Data Center Component Suppliers screener so you can identify, compare, and analyze the highest conviction candidates for your watchlist.
EverProX Technologies (SZSE:300548)
Overview: EverProX Technologies designs optical communication components used in high speed data center links for AI workloads, serving telecoms and internet firms.
Operations: The business currently generates around CN¥3.8b in revenue from communications equipment, tying its fortunes closely to high bandwidth networking demand.
Market Cap: CN¥36.6b
EverProX Technologies plugs directly into the AI data center theme through optical fibers, components, and systems that carry accelerator data traffic. Recent earnings and margin strength indicate its hardware is gaining traction with equipment makers. However, future pricing and profitability still depend on how one unseen pressure in the optical supply chain develops.
That pressure point is exactly what the 3 key rewards and 1 important major warning sign covers, so you can see how EverProX Technologies’ potential upside stacks against the supply chain squeeze.
Eoptolink Technology (SZSE:300502)
Overview: Eoptolink Technology produces high speed optical modules and interconnects that link AI data centers and telecom networks in China and globally.
Operations: Eoptolink Technology generates around CN¥40.2b in revenue from optical communication equipment, heavily tied to data traffic and network upgrades.
Market Cap: CN¥267.1b
Eoptolink Technology is positioned in the AI data center connectivity theme, supplying optical modules that move data between accelerators, switches, and storage. Recent nine month revenue of CN¥31,849.9m and net income of CN¥11,372.33m indicate meaningful scale in this hardware niche. A large discount to estimated fair value increases the importance of how any unresolved factor might influence the way that growth is priced.
That unresolved factor makes the current pricing far more interesting. Tap into the DCF valuation analysis for Eoptolink Technology and see what the market might be missing.
Sichuan Huafeng Technology (SHSE:688629)
Overview: Sichuan Huafeng Technology makes optical and electrical connectors and cable assemblies that link AI servers and data center hardware.
Market Cap: CN¥30.7b
Sichuan Huafeng Technology is connected to the AI data center theme through the connectors and cables that physically carry data between chips, racks, and switches. Earnings growth tied to high speed interconnect demand and a premium P/E near 92x highlight the level of investor confidence in how pricing power interacts with rising capacity costs.
That confidence premium makes the risk reward trade off worth unpacking through the 2 key rewards and 2 important warning signs (1 is major!) so you can see what might be driving Sichuan Huafeng Technology’s valuation power.
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