As of March 10, 2026

(ANOTHER BIG DAY OF PHOTONICS!!)

The Optical Networking and Semiconductor Materials sector is showing strong bullish momentum, led by a massive surge in $AXTI. This jump follows surging demand for its indium phosphide substrates used in AI data center infrastructure and a recent analyst upgrade emphasizing a multi-year growth cycle (trefis.com/data/compani…).

This widespread rally underscores the market's aggressive positioning in the underlying hardware that powers artificial intelligence and high-speed data transmission. Investors are increasingly confident that the datacenter buildout will drive sustained revenue growth across photonics, testing equipment, and specialized semiconductor foundries, outpacing broader market indices.

$AXTI: 20.03%

$AAOI: 8.96%

$AEHR: 8.64%

$ALMU: 7.73%

$CIEN: 7.62%

$LITE: 6.56%

$GLW: 6.47%

$POET: 5.83%

$COHR: 5.14%

$FORM: 3.75%

$KEYS: 2.71%

$TSEM: 2.59%

$BESIY: 1.92%

$LWLG: 1.86%

$GFS: 0.93%

$NDX: 0.64%

$SPX: 0.27%

1. Optical Components and Photonics

$AAOI, $CIEN, $LITE, $GLW, $POET, $COHR, $LWLG: These companies provide the critical fiber optic hardware, lasers, and photonic transceivers required for high-bandwidth data center connectivity.

$AXTI: As a supplier of specialized indium phosphide substrates, it serves as the foundational material provider for next-generation optical transceivers.

2. Semiconductor Manufacturing and Foundries

$GFS, $TSEM: These specialty foundries manufacture the complex radio frequency and silicon photonics chips essential for telecommunications and AI networking.

$ALMU: Positioned within the semiconductor ecosystem, contributing to the specialized component supply chain.

3. Testing and Assembly Equipment

$AEHR, $FORM, $KEYS, $BESIY: These firms supply the crucial testing and assembly infrastructure needed to ensure the reliability of high-performance silicon carbide, photonics, and memory chips.

$NDX, $SPX: These indices serve as the baseline benchmarks, highlighting the sector's significant outperformance against the broader market today.