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Prysmian Ideally Placed to Benefit from AI Arms Race — Market Talk
Prysmian Ideally Placed to Benefit from AI Arms Race — Market Talk
About this update from Prysmian S.p.a.
Prysmian is ideally placed to benefit from the rapid build out in AI, Deutsche Bank's Nabil Najeeb writes. "Prysmian sits at the intersection of three of the key bottlenecks emerging across the value chain," Najeeb says. The Milan-based group provides optical fiber needed for data transmission and power cables needed for data centers. It also manufactures cabling for electricity grids. Demand for optical fiber is growing sharply as AI models develop, leading to an increase in prices from which Prysmian will benefit, Najeeb adds. "As one of few fiber producers with a domestic U.S. footprint, Prysmian is well placed to capture the upside." Prysmian shares rise 3.5%, leading the Italian FTSE MIB index. ([email protected])