Shares of Soitec surged 12.95% on Tuesday, reaching an intraday high of €129.20, after the French semiconductor materials manufacturer raised its fiscal 2027 second-quarter revenue growth forecast to approximately 50% year-over-year.
The company, which specializes in engineered substrates, cited accelerating demand for Photonics-SOI wafers—substrates used in silicon photonics chips for optical interconnects in AI data centers—as the primary driver. Soitec’s previous growth projection for the period stood at over 30%, underscoring a significant upward revision.
Revenue from Photonics-SOI is now expected to reach roughly three times the level recorded in the fiscal 2026 second quarter, which totaled approximately $25 million. For the current fiscal year, Soitec set a Photonics-SOI revenue target of above $200 million, described by CEO Laurent Rémont as "absolutely a floor" rather than a ceiling. The company is securing multi-year supply contracts with customers, including fixed-price agreements and deposits.
Soitec’s market dominance in the Photonics-SOI segment remains unchallenged, with analysts estimating the firm holds roughly 95% of the market. Competitors GlobalWafers and Shin-Etsu did not announce relevant news on the same day. While broader European and U.S. equity benchmarks showed modest gains, Soitec’s outperformance reflected its unique positioning in a high-growth niche of the semiconductor supply chain.
