Corning shares have gained more than 60% so far in 2026, driven by a $6 billion deal with META and a positive Q4 print.
- Morgan Stanley raised the price target to $127 from $103 and maintained an ‘Equal Weight’ rating.
- The brokerage said increasing investments in AI data centers are driving a major expansion in optical markets.
- Earlier this month, Corning reported a 20% increase in Q4 net sales to $4.22 billion and a 72% jump in earnings per share to $0.62.
Shares of Corning Incorporated (GLW) climbed 2.7% in pre-market trading on Tuesday, adding to a rally that has seen the stock surge more than 63% so far this year.
If the pre-market levels hold after the opening bell, GLW stock will hit a record high.
Higher AI Data Center Investment Drives Optical Market Growth
Morgan Stanley raised its price target on Corning to $127 from $103 and maintained an ‘Equal Weight’ rating on Monday, according to The Fly. The firm said increasing investments in AI data centers are driving a major expansion in optical markets. In its base case, Morgan Stanley expects the optical market to grow from roughly $30 billion in 2025 to more than $65 billion by 2028.
As legacy network infrastructure approaches capacity limits, the brokerage believes that next-generation optical technologies are set for broader adoption. These innovations could unlock an additional $23 billion in total addressable market, potentially expanding the overall industry opportunity to around $90 billion over time, Morgan Stanley added.
Meanwhile, Mizuho raised the price target to $145 from $120 and kept an ‘Outperform’ rating on the shares on Monday.
$6 Billion Meta Deal, Strong Q4 Print Boost Shares
Earlier this month, Corning reported a 20% increase in Q4 net sales to $4.22 billion, driven by strong gains from its Optical Communications Hemlock and Emerging Growth businesses. The company also posted a 72% jump in earnings per share (EPS) to $0.62.
“We enter 2026 with exciting momentum. In Q1, we expect year-over-year growth to accelerate, with core sales up approximately 15% to a range of $4.2 B to $4.3 B, and core EPS growing to a range of $0.66 to $0.70,” Executive VP and CFO, Ed Schlesinger, said in the earnings press release.
On January 27, Corning stock posted its biggest intraday gain in over two decades after the company signed a $6 billion contract with Meta to supply optical fiber, cable, and connectivity solutions for new data centers. Corning is set to expand manufacturing across its North Carolina operations, including a significant capacity increase at its optical cable manufacturing facility in Hickory, where Meta will be the primary customer.
How Did Stocktwits Users React?
Retail sentiment on Stocktwits turned 'neutral' from ‘bearish’ over the past 24 hours, amid ‘high’ message volumes.
One user expects a correction but says a ‘crash’ will only be determined by a broader market collapse.
Another user noted that the stock appears to be seeing “big bullish positioning” heading into next month.
Read also: HD Stock Gains Pre-Market Despite Decline In Q4 Sales And EPS – What Happened?
For updates and corrections, email newsroom[at]stocktwits[dot]com.<
