A 20% daily limit increase! Overtaking Cambrian, Yuanjie Technology becomes the second highest-priced stock on the A-share market

Ask AI · How Nvidia’s New Technology Is Driving Source Photonics (Yuanjie Technology) to Record Highs

On the morning of March 20, shares of Source Photonics (Yuanjie Technology) (688498.SH), a popular stock associated with the CPO concept within the optical communications industry chain, surged as much as 20% at one point. The share price reached a high of 1,140 yuan per share, setting a new historical high, and also becoming the second-highest-priced stock on the A-share market. The highest market capitalization reached 97.98 billion yuan, just one step away from 100 billion yuan.

That day, the A-share’s top-priced stock, Kweichow Moutai, declined slightly. As of the time of writing, it was trading at 1,450 yuan per share. Another former second-highest-priced A-share stock, Cambricon, also declined slightly; before the report, it was at 1,015 yuan per share, dropping to third place.

Since then, the number of A-share stocks priced above 1,000 yuan has reached eight. According to a report from China Securities Journal, stocks that have historically or currently traded above 1,000 yuan include Zhong’an Ke, Kweichow Moutai, YSENSE Zhilian, Cambricon, Stone Technology, Hemaishares, Ai Meike, and Source Photonics (Yuanjie Technology). Among them, Kweichow Moutai, Stone Technology, and Ai Meike all reached their all-time highs in 2021, while Hemaishares and Cambricon hit their peaks in 2022 and 2025, respectively.

On social media platforms, Source Photonics (Yuanjie Technology) instantly became a hot topic among netizens. “This is the most impressive stock I’ve ever seen,” “If it keeps rising, it will surpass Moutai,” “The weekly K-line is too artistic—keeps rising, nonstop,” “Is this the starting point or the end point?”

Wind data shows that since the beginning of this year, Source Photonics (Yuanjie Technology)’s stock price has increased by over 50%. Based on the closing price on March 20, 2025, the stock’s cumulative increase over the past year is nearly 690%.

That day, “Yizhongtian,” another popular stock within the CPO concept optical chip sector, also surged significantly. Among them, Neo-Eiswell rose over 10%, while Mingtai Xuchuang and Tianfu Communication increased by more than 5%. Dekolei, Changguang Huaxin, and Hubei Yangtze Optics, among others, also followed higher.

On the news front, on March 16, local time, Nvidia’s founder and CEO Jensen Huang delivered a keynote speech at GTC 2026, unveiling the next-generation flagship AI chip, Feynman. For the first time, optical communication was introduced into chip-to-chip interconnects, which can reduce AI data center communication energy consumption by over 70%.

With Nvidia officially integrating optical communication into chip-to-chip interconnects at GTC 2026, the industry roadmap for CPO technology has become clear. According to China Securities Journal, analysts stated that this technological breakthrough not only marks a new cycle of architecture upgrades for AI computing infrastructure but also signals a reshaping of the value distribution pattern across the optical communications industry chain. From upstream optical chips and midstream optical modules to downstream data center applications, the scaled commercialization of CPO is opening new growth opportunities.

Additionally, the recently popular OpenClaw concept has also become a core factor behind Source Photonics (Yuanjie Technology)’s stock price soaring. The rapid adoption of OpenClaw has directly boosted market expectations for AIDC expansion; meanwhile, CPO, with its high bandwidth and low power consumption advantages, has become the optimal solution to break through AIDC transmission bottlenecks, causing CPO to once again rise to the industry’s forefront.

In December 2022, Source Photonics (Yuanjie Technology) was listed on the STAR Market. Public information shows that it is a leading company in China’s optical chip industry and a core supplier in China’s CPO industry, with business covering downstream scenarios such as telecommunications, data centers, and vehicle-mounted lidar.

It is worth noting that another popular stock within the CPO concept sector, Mingtai Xuchuang, is not only a major shareholder of Source Photonics (Yuanjie Technology) but also its key customer. According to financial reports, as of the third quarter of 2025, Mingtai Xuchuang held approximately 1.6 million shares of Source Photonics (Yuanjie Technology), accounting for 1.87%, making it one of the top ten shareholders.

In its IPO prospectus, Source Photonics (Yuanjie Technology) listed Mingtai Xuchuang as one of its core customers. During 2020, related sales between the two exceeded 42.4586 million yuan, accounting for 18.19% of that year’s revenue. In recent years, cooperation between Source Photonics (Yuanjie Technology) and Mingtai Xuchuang has extended to higher-end products. Public information indicates that Source Photonics (Yuanjie Technology)’s CW light source products for AI data centers have begun large-scale shipments to Mingtai Xuchuang.

As AI infrastructure orders expand, the data center business has gradually become the company’s main revenue source. Financial reports show that the proportion of data center-related revenue increased from 19.05% in 2024 to 51.04% in the first half of 2025.

With the full-scale explosion of AI computing demand in 2025, Source Photonics (Yuanjie Technology)’s CW70mW laser driver chips suitable for 400G/800G optical modules have begun mass delivery. Riding this wave of AI momentum, the company has experienced a dual surge in both performance and stock price.

The latest earnings forecast indicates that in 2025, Source Photonics (Yuanjie Technology)’s total revenue will reach 601 million yuan, a year-on-year increase of 138%, with net profit attributable to the parent of 191 million yuan. Notably, in the third quarter of 2025, the company achieved revenue of 383 million yuan, surpassing the entire 2024 scale, up 115% year-on-year; net profit attributable to the parent turned profitable, jumping from a loss of 6.13 million yuan in the same period last year to 106 million yuan.

Currently, Source Photonics (Yuanjie Technology) is planning to issue H-shares and list on the Hong Kong Stock Exchange.