Rosenblatt views recent optical sector weakness—driven by CPO delay reports and China capa
Rosenblatt views recent optical sector weakness—driven by CPO delay reports and China capacity fears—as temporary. Short sellers plan to exit positions soon and intend to buy optical stocks again in 2027 for the CPO scale-up.
“Rosenblatt on recent optical sector weakness from $AAOI to $LITE: "Stocks in the Optical sector have traded poorly for the last 1-2 months" due to CPO delay reports and China capacity scares. "We think short sellers... do not actually strongly believe in the thesis." Multiple short sellers told them they will likely close their positions... late July and early August. Further, they say they plan to buy Optical stocks in 2027 for the scale up CPO opportunity. Hilarious report on laser weakness, read is very positive for $SIVEF, $COHR, and others moving forward. I've been long on CPO sector, but seems like institutions want entry points, just a bit later on.”Original post：X / @aleabitoreddit ↗