Harmonic's cOS turns it into a software business whose margins rise with every cable operator that converts from hardware. cOS virtualizes cable access networks, holds over 95% share of virtualized CCAP and serves every major US cable operator; DOCSIS 4.0 upgrades by Charter, Comcast and Cox against fiber require it. Q1 revenue rose 43% to $121.7M, backlog rose 87% to $582M of mostly software and services, and gross margin is 52%. At 3.5x forward revenue versus peers' 4-6x, it hasn't re-rated. … Show more

Harmonic is still incredibly early in a global adoption wave: a first smaller European operator has started deploying its solutions, and the giants will have to follow given technical realities. Its cOS virtualized platform dominates the cable core, delivering multi-gigabit DOCSIS 4.0 over existing coax; per @KawzInvests, Comcast, Charter, Cox and Altice run it, with 150 customers and 45.7 million modems. Virtual OLT software opens a $2.5 billion-plus fiber market. x.com  x.com 

Harmonic gains pricing power as fiber becomes structurally scarce, because it sits at the platform layer powering fiber and cable networks. The US has 159.6 million fiber miles but needs 372.9 million by 2029, and North American demand grows 22-25% a year while supply expands 12-19%. Fiber prices are up about 70% from the 2021 trough, AI data centers need about 36x more fiber than CPU racks, and data centers may be 30% of global demand by 2027. That makes an asymmetric setup. x.com 

Harmonic is a high-risk, high-reward bet on the multi-year DOCSIS 4.0 cable upgrade cycle as it sells its video segment for $145M to become a pure-play broadband company. Q1 2026 broadband revenue rose 43%, backlog hit a record $574M, up 87%, and full-year guidance was raised to $475-495M. It remains GAAP unprofitable, depends heavily on Comcast, has flagged supply chain issues and is early in its shift to recurring revenue. x.com 

Harmonic's fundamentals kept improving while the market forgot it. It delivered a double beat and raised guidance, and the stock showed strong price action with a clean retest of its 50-week average. x.com 

Harmonic is the toll booth between AI-era traffic and US cable networks, with over 95% of the software operators need for DOCSIS 4.0 upgrades. Upstream traffic grows 21.7% a year, so operators must upgrade or lose subscribers to fiber. Comcast, Charter, Cox and Altice run its cOS platform, and every node in Charter's $5.5B upgrade needs a Harmonic license. Q1 revenue rose 43% and backlog hit $582M, up 87%, while software should rise from 8% of revenue in 2022 to 38% by 2028. x.com  x.com  x.com 

Harmonic is turning into a pure-play AI-broadband infrastructure compounder the market still prices as the old company. Selling its video business to MediaKind for $145M leaves pure broadband, with cash for DOCSIS 4.0, fiber and buybacks. Q1 broadband revenue rose 43%, backlog 87% to $582.1M, and FY26 broadband guidance was raised to $475-495M. Its cOS platform first unified FDX and FDD DOCSIS 4.0, so operators needn't switch suppliers, and 33M+ devices create sticky switching costs. x.com  x.com  … Show more

Prepaid fiber orders make 2027-28 demand a stronger signal than capex plans. Corning reports $639M in net customer deposits in the first nine months and expects data-center interconnect to beat its former $1B-by-2030 target on timing and size. That backs Lumen's intercity build, though its next allocation may require a bigger commitment. Tight Corning supply gives Amphenol room to gain share until capacity expands; strong demand alone has not lifted stocks across the chain. x.com 

Corning now has long-term fiber deals with both Verizon and AT&T, supplying both broadband expansion and links between AI data centers. AT&T announced a multiyear fiber and cable deal exceeding $3B focused on home and business broadband, following Verizon's multibillion-dollar deal for over 80 million fiber miles from 2027 to 2032, including long-haul AI data center links. These deals could improve demand visibility; watch shipment ramps and profit growth versus expansion costs. x.com 

Applied Optoelectronics is benefiting from a worsening indium phosphide supply squeeze and a wave of analyst upgrades. China Galaxy Securities puts 2025 InP device demand at 2 million wafers with a supply gap above 50%. Rosenblatt raised its target to $220 from $140 on strong Amazon-linked 800G demand, Raymond James to $160 and B. Riley to $129. A deal with Mediacom, serving 3 million-plus homes and businesses in 22 states, opens a DOCSIS 4.0 cable-upgrade market other operators may follow. … Show more