$740 billion giant hits a new all-time high! CPOs collectively strengthen, and here's an overview of the annual report performance of 16 stocks.

Driven by news of a two-week U.S.-Iran ceasefire, Chinese A-shares saw a broad surge across the board in early trading on April 8, with the ChiNext Index jumping 4.81%. The CPO sector showed strong performance in early trading. Within the sector, Cambridge Technology, Minpu Optical & Magnetic, and Taijing Technology all hit their daily limit. Changxin Bochuang surged by more than 10%. Among the stocks that drew high market attention, “Yi Zhongtian” rallied across the board. In particular, MROx (MROx) rose 8.07%, Xin Yisheng rose 7.2%, and Tianfu Communication rose 3.94%.

After MROx (MROx) surged in early trading, the stock price set a new all-time high again. As of the close of early trading on April 8, the share price closed at 669.5 yuan per share, with the latest market capitalization at 743.9 billion yuan.

Future Core Solutions for Optical Communications

According to information, CPO is a new type of optical-electrical integrated packaging technology. It breaks the traditional independent packaging approach of optical modules and electrical chips, directly packaging the optical engine (the core functional part of the optical module) and the switch ASIC chip on the same substrate.

The reason CPO technology is increasingly favored by the market is that the development of AI is driving ever higher bandwidth demands for data transmission. In certain scenarios (for example, data centers), the traditional optical module architecture of “cables + connectors” can no longer meet requirements. CPO solves this issue through co-packaging technology, making it a core solution for next-generation high-speed optical communications, such as 800G and 1.6T optical modules, among others.

Tianfeng Securities stated that industry consensus is increasingly that CPO is an inevitable choice rather than an optional technology. Discussions have shifted from questioning whether CPO is needed to focusing on solving implementation challenges, including integrated models, control architecture, and operational readiness.

Leading Manufacturers Actively Laying Out Plans

At this stage, although CPO technology is still in an early commercialization phase, most major manufacturers have already been actively laying out plans along the CPO track. For example, Nvidia at GTC2026 clearly positioned CPO as a key route to crack the power consumption and bandwidth bottlenecks of AI compute clusters; on April 1, TSMC announced that its silicon photonics integration platform, COUPE, will reach mass production within the year, marking the start of CPO’s official commercialization era.

Also during OFC2026, Lightmatter released the industry’s first disaggregated fiber array product, vClickOptics. It integrates Senko SEAT and MPC connector technologies and is designed to support large-scale mass production of CPO. Coherent launched a 6.4T socketed CPO solution, using a standardized slot design that balances high bandwidth with easy maintenance.

Jufeng Investment Advisory expects that 2025 to 2027 will be a period of rapid growth. CPO will first be deployed in high-end AI compute cluster systems and the core networks of very large cloud data centers. After 2027, it will gradually penetrate general data centers. The company estimates that by 2030, the market size of core components will exceed $15 billion, becoming a core engine for growth in the optical communications industry.

According to Yole’s forecast, CPO will start from 800G/1.6T ports. The market will enter the commercial stage in 2024–2025. In 2027, global port shipments may reach about 4.5 million units, and market revenue in 2033 is expected to reach $2.6 billion (the 2022–2033 CAGR is 46%).

China Also Places Importance on CPO

In China as well, CPO technology is being actively developed. From a policy perspective, on April 2, 2026, the General Office of the Ministry of Industry and Information Technology issued the “Notice on Launching a Special Action to Empower Small and Medium-Sized Enterprises with Inclusive Computing Power,” which clearly calls for promoting the deployment and adoption of technologies such as full-optical switching. The goal is to reduce latency in computing power networks and prioritize the use of CPO technology in intelligent computing centers. The policy requires that by the end of 2026, the CPO adaptation ratio for newly built intelligent computing centers should not be lower than 60%, while also expanding the coverage of the metropolitan-area “millisecond computing” use cases.

At the local level, on March 2026, the Shenzhen Municipal Bureau of Industry and Information Technology issued the “Action Plan to Accelerate High-Quality Development of the Artificial Intelligence Server Industry Chain,” which explicitly proposes focusing on high-speed, low-power CPO/LPO/NPO packaging optical modules. It supports the landing of mass-production projects for 800G/1.6T/3.2T optical modules and promotes breakthroughs in core technologies such as high-end thin-film lithium niobate and indium phosphide, among others.

The industrial chain is also moving ahead actively. Recently, Robotech Technology (Robotech) secured orders totaling roughly RMB 600 million for silicon photonics coupling equipment. Also, the Xingyao Photonics silicon photonics project jointly initiated by Changguang Huaxin and Hengtong Optoelectronics has recently started construction in Suzhou, building what is expected to be the country’s first 8-inch 90nm silicon photonics chip mass production line.

CPO Concept: Overall Performance Is Strong

Based on the already released 2025 annual reports, the CPO concept overall delivered impressive results. For example, MROx (MROx) achieved attributable net profit of RMB 10.797 billion in 2025, up 108.78% year over year. Tianfu Communication (Tianfu Communication) achieved attributable net profit of RMB 2.017 billion, up 50.15%. In addition, Huagong Technology (Huagong Technology), Jingwang Electronics (Jingwang Electronics), and CoCreator Data (CoCreator Data) also saw attributable net profit exceed RMB 1 billion in 2025. Overall speaking, among the 16 stocks with released 2025 annual reports, 15 were profitable in 2025.

From a year-over-year performance perspective, aside from the aforementioned doubling by MROx (MROx), Changxin Bochuang saw its 2025 performance surge 364.62% year over year. Its attributable net profit was RMB 335 million. Optocoupler Technology and Jept also saw their 2025 performance double year over year, with growth rates of 163.76% and 110.11%, and attributable net profits of RMB 177 million and RMB 279 million, respectively.

Western Securities stated that with support from industry leaders and others, CPO is accelerating commercialization. The next three years are a core observation window for the rapid increase in CPO industry penetration and the gradual formation of the supply chain structure and value allocation across the industrial chain. Dongwu Securities also said that in the next stage, it will be important to focus on order progress across the upstream and downstream segments of the CPO industrial chain and seize the certainty opportunities for supply-chain-related targets.

(Source: Eastmoney Research Center)