Soitec SA surged 12.5% on Wednesday, closing at €126 after touching an intraday high of €129.20, as investors responded to the company’s upgraded revenue outlook tied to AI-driven demand for its photonics-SOI wafers.
The French materials specialist raised its fiscal 2027 revenue growth guidance to approximately 50% year-on-year at constant currency and scope, up from a prior forecast of more than 30%. The company also set a photonics-SOI revenue target of over $200 million for the current fiscal year, with second-quarter 2027 revenue expected to reach roughly three times the level recorded in the same period last year.
Soitec generated about $25 million in photonics-SOI revenue in the second quarter of fiscal 2026, according to company data. Analysts estimate the company commands roughly 95% of the photonics-SOI market, a segment critical to silicon photonics chips used in AI data center optical interconnects.
CEO Laurent Rémont told Reuters that the $200 million-plus revenue target for photonics-SOI is a minimum, not a ceiling, and highlighted the company’s strategy of securing multi-year supply agreements with customers through deposits and fixed pricing. He described the agreements as a way to lock in long-term demand amid rapid expansion in AI infrastructure.
Soitec’s shares have gained ground despite trading well below their 52-week high of €200.50. The broader market showed modest gains, with France’s CAC 40 index up 0.4% during the session, while U.S. benchmarks such as the S&P 500, Nasdaq, and Dow Jones each rose less than 0.3%. GlobalWafers and Shin-Etsu, identified as competitors in the photonics-SOI space, did not release any material news on the day of the move.
