Ciena’s stock jumps over 600% as hyperscalers ramp up spending on optical networking equipment for AI infrastructure.
Ciena’s shares have climbed 609% over the past year, outpacing broader AI infrastructure stocks amid surging demand for its high-speed networking systems. The company supplies optical networking products critical for connecting AI data centers, a segment where it holds a technology lead with limited competition.
Nearly half of Ciena’s revenue still comes from telecom customers, but U.S. hyperscalers now account for a growing share as they expand AI data center networks. While in-data-center connectivity faces stiff competition, Ciena’s long-haul optical networking remains a standout, driving its recent growth.
The stock’s rapid rise has left investors weighing whether to take profits or hold amid expectations of continued revenue growth in AI infrastructure.