Corning(US:GLW) 美股IPO·2026-02-21 01:59Core Viewpoint - UBS significantly raised the target price for Corning Inc. (NYSE: GLW) from $125 to $160, maintaining a buy rating due to increased capital expenditure plans from leading data center operators, benefiting Corning's fiber optic cable demand driven by AI infrastructure growth [1][3]. Group 1: Target Price Increase Reasons - The primary reason for the target price increase is the massive data generated by artificial intelligence, which requires transmission through fiber optic cables. Corning, known for glass manufacturing, will benefit from the capital expenditure growth announced by leading tech companies like Meta Platforms, Microsoft, and Amazon [3][4]. - Corning recently announced a $60 billion agreement with Meta Platforms, termed the "anchor agreement," which is crucial for the company's future as it provides insights into future demand and guarantees revenue. This agreement brings in upfront cash, allowing Corning to build new factories to meet the needs of AI hyperscalers [4]. Group 2: Market Expansion Insights - The current use of fiber optic cables connects different server racks, known as "Scale Out." However, Corning will gain significant benefits from replacing copper wires within each server rack with fiber optic cables, referred to as "Scale Up." Analysts estimate that the "Scale Up" market size could be 2 to 3 times larger than the current "Scale Out" market, with demand expected to remain high until the mid-2030s [5]. Group 3: Investment Viability - Despite the recent stock price increase, GLW is trading at a discount compared to high-growth peers. UBS applied a 33x forward 12-month price-to-earnings ratio, resulting in a target price of $160, slightly below the broader optical peer group. Adjusted earnings per share (EPS) are expected to grow at a 30% annual rate by 2028, indicating that Corning has transitioned from a "low single-digit" growth company to a high-growth infrastructure investment [6].