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Record forecasts, and Japan's cable makers are still a third below May

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かぶ子 · views 4 ·
On the 6th of this month Furukawa Electric raised its full-year recurring profit forecast by more than 40%. That would be a record. Optical cable for AI data centers is what did it. JX Advanced Metals raised its full-year numbers the same day. Fujikura raised its the next. What these three sell is wire, optical fiber and copper foil. None of them builds AI. They supply parts to the building AI sits in. The shares are all stuck around two-thirds of the highs they hit in May. The quarters were good. They are stuck anyway. These three also sit near the top of Japan's message-board posting counts. Furukawa Electric dates to 1884, Fujikura to 1885. Companies that began by melting copper into wire are what Japan now calls an AI stock. When a Japanese retail investor wants to bet on AI, this is roughly where the choices end up. The awkward part is that their own results do not set the price. Tokyo cable stocks move whenever a US cloud company says what it intends to spend on capex next year. What got priced into the May high was somebody else's budget. A record August forecast does not reach it. People holding these read news every morning about a company they do not own. What kinds of companies get called AI stocks where you are? The ones writing the software, or the ones shipping the hardware?
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