Optical communication and optical semiconductor-related stocks turned lower across the board during trading on the 19th. Profit-taking selling pressure following recent sharp gains is expanding correction pressure across the sector.

Optical Communication and Optical Semiconductor Stocks Weaken Together

During the morning session on the 19th, Daehan Optical Communication, an optical communication-related stock, was trading at 16,650 won, down 5.67% from the previous trading day. Bitgwajeonja fell 9.73% to 2,970 won, and Bitsaem Electronics dropped 4.60% to 9,550 won, while Woorinet also declined 7.78%, failing to escape the weakness.

The optical semiconductor group also continued to underperform. Kwang Electronics was trading down 6.95% at 9,240 won, and Seoul Semiconductor fell 1.25% to 12,620 won. Seoul Biosys was also being traded at 8,500 won, down 6.08%.

AI Demand Outlook Remains Valid, but Short-Term Supply-Demand Pressure

The market analyzes that optical communication and optical semiconductor-related stocks surged on expectations for the expansion of artificial intelligence (AI) data centers and ultra-high-speed communication infrastructure, and that profit-taking selling subsequently flowed in. While the outlook for increased demand for optical communication modules, optical cables, and optical semiconductors driven by the proliferation of AI servers remains valid, the diagnosis is that supply-demand pressure is weighing on stock prices in the short term.

The industry evaluates that as competition to build AI data centers intensifies, the importance of optical communication technology for high-speed data transmission grows, and optical semiconductors are also expected to grow in the mid-to-long term, driven by the need for increased data processing volumes and improved power efficiency.

However, on this day, selling pressure spread across the sector, with most stocks trading in the red. Investors are keeping a close eye on future AI infrastructure investment expansion and company-by-company earnings improvements as key points to watch.

[※ This article was written with AI assistance. Investment decisions are the responsibility of the investor, and the content included in this article may change depending on market conditions.]