NVIDIA's $26 Billion Bet on Optical Stocks Plummets Nearly 10% in a Day

Coherent Corp (NASDAQ: COHR), a supplier of optical communications and laser components, closed at $246 on the New York Stock Exchange on the 25th, plunging 9.57% from the previous day and wiping out roughly $4 billion in market value (about ₩5.4 trillion). Trading volume topped 3.56 million shares as buyers and sellers continued to battle over this volatile momentum stock. Based on the closing price, Coherent’s market capitalization stands at approximately $46.1 billion (around ₩62 trillion).

Earlier this month, the company entered a strategic partnership with NVIDIA to develop next-generation optical technology for AI data centers, issuing 7,788,161 shares to NVIDIA at $256.80 per share and raising $2 billion (about ₩2.7 trillion). (nvidianews.nvidia.com) Following the deal announcement, Coherent’s stock jumped double digits on expectations of AI infrastructure tailwinds and potential inclusion in the S&P 500, but analysts now suggest the shares have entered a phase of profit-taking and heightened volatility. (weissratings.com)

Formerly known as II-VI, Coherent Corp is a U.S.-based optics and semiconductor components company that supplies core parts—such as optical transceivers, lasers, and silicon carbide wafers—for AI data centers and electric vehicles. Headquartered in Saxonburg, Pennsylvania, the firm operates more than 130 production and R&D sites worldwide and generates billions of dollars in revenue as a member of the S&P 500. (en.wikipedia.org)