Serenity: Following Nvidia's Lead on AI Trends — The Market Always Wakes Up Only After the Opportunity Has Arrived

According to Odaily, "White-Haired Stock Guru" Serenity stated that AI investing may be simpler than the market imagines, as Nvidia ($NVDA) and its CEO Jensen Huang have actually been signaling future industry trends well in advance — yet the market tends to ignore these signals until the trend truly erupts.

Serenity noted that when Nvidia aggressively locked in EML (electro-absorption modulated laser) and laser production capacity in 2025, the market questioned the photonics sector, dismissing related companies as speculative plays or even questioning their management.

A year later, however, shares of related optical communications companies have surged dramatically. Among them, Lumentum ($LITE) rose 678%, Applied Optoelectronics ($AAOI) climbed 475.12%, Coherent ($COHR) gained 260.7%, and AXT ($AXTI) soared 3,843.9%.

Serenity believes the market is now repeating a similar pattern. In 2026, Nvidia has secured continuous-wave (CW) laser and EML capacity through long-term agreements, while explicitly pushing forward the transition to 800V power architecture. The company has also repeatedly emphasized that co-packaged optics (CPO) and "Physical AI" will become major trends in the next phase.

However, the market remains skeptical, dismissing CW laser-related companies as mere "concept stocks," believing that 800V and CPO will not materialize in the short term, and that commercialization of humanoid robots is still far off.

Serenity stated that the market may once again be underestimating the industry signals Nvidia is releasing, adding that he prefers to treat Nvidia and Jensen Huang's judgment as a leading indicator for AI industry trends. "Nvidia is telling everyone what will happen in the future, but the market almost always waits until things actually happen before it believes."