BlockBeats News, July 3rd. In response to the recent collective decline in photonics stocks, Serenity published a post emphasizing that the previously mentioned CPO stocks have actual revenue support, contrasting with quantum computing stocks that have almost no revenue.

It was mentioned that LITE's production capacity is sold out until 2029, AAOI has entered the market with its US-manufactured independent CW capacity, and is expected to achieve a revenue of $1.4 billion by the first half of 2027, yet today its market cap is only a mere $9.3 billion.

Serenity once again reiterated its bullish view on the optical module market. From a thematic perspective, the TAM in the next two years is expected to grow ninefold to reach $154 billion (according to a GS report), especially as the expanding/upgrading dollar content is set to increase by 16 times/45 times. "Although there is significant short-term volatility, the supply-demand fundamentals will drive the stock price recovery."