HK Hot Stock Analysis: Changfei Fiber Optic Cable (06869.HK) Driven by AI Demand

Based on Tushare’s Oriental Fortune App Hong Kong stock hotlist [0], Changfei Fiber Optic Cable (06869.HK)—a leading global fiber optic cable manufacturer in the technology (telecommunications equipment) sector—has emerged as a market focus due to AI data center construction demand [1]. Open Source Securities reports that AI large model training and inference needs are boosting global demand for high-end single-mode/multi-mode fibers, while tight short-term supply (long production cycles for fiber preforms) may drive steady price increases [1].

:

• December 18, 2025: Surge of 21.2% with over HK$3 billion in trading volume [3]
• December 22, 2025 (event date): A-share counterpart (601869.SH) hit daily limit up, driving the H-share to rise 11.2% with HK$3.059 billion in volume—far exceeding the 3-month average of HK$1.24 billion (24.88 million shares) [2][3]
• Year-to-date (YTD) gain: 3.59x; monthly gain: over 73% [1]

:

• Analyst optimism: Open Source Securities identifies Changfei as a key beneficiary of AI-driven fiber demand [1]
• Investor behavior: High trading volume and price momentum reflect strong market interest in AI infrastructure themes
• Sector linkage: Moved in tandem with other AI-related stocks like SenseTime-W (00020.HK) and GDS Holdings-SW (09698.HK) [3]

:
Trailing Twelve Months (TTM) revenue: HK$13.78 billion; net profit: HK$572.62 million; operating margin: 15.42% [2]. Current price-earnings ratio (TTM): ~65x, indicating high valuation [2].

1. AI Infrastructure Linkage
   : The rally highlights the critical role of fiber optics in AI data center infrastructure, as high-speed data transmission relies on advanced fiber networks [1].
2. A-H Share Correlation
   : The A-share daily limit up directly impacted the H-share’s performance, demonstrating cross-market sentiment spillover [2][3].
3. Short-Term Speculation vs. Long-Term Demand
   : While the rally is driven by genuine long-term AI demand, the rapid YTD gain (~3.6x) suggests potential speculative elements [0][2].

:

• Sustained AI data center construction is expected to maintain strong fiber demand and upward price pressure [1].
• Changfei’s leading position in the fiber optic supply chain may support continuous revenue growth [2].

:

• Overvaluation: The 65x TTM P/E is high, increasing the risk of a market correction [2].
• Industry Volatility: If AI data center construction progresses slower than expected, fiber demand could decline [1].
• Profit-Taking Pressure: High short-term gains may lead to investor profit-taking, causing volatility [3].

Changfei Fiber Optic Cable (06869.HK) became a Hong Kong hot stock due to AI data center demand for fiber optics. The stock has shown strong momentum (3.59x YTD, 11.2% rise on Dec 22) with high trading volume, supported by analyst optimism and sector linkage. However, investors should note the high valuation (~65x TTM P/E) and potential risks from industry demand fluctuations and short-term profit-taking.