Hon Hai Jumps by Most in Years After Strong AI Outlook
- Company expects AI server business to grow 40% this year
- Hon Hai’s holiday-quarter profit beat average of estimates
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Hon Hai Precision Industry Co. shares saw their biggest intraday jump in more than three years after the company forecast strong growth for its AI hardware sales this year.
The Taiwanese firm expects its artificial intelligence server business to grow by 40% this year and is targeting a 40% share of that overall market, Chairman Young Liu said on an earnings call Thursday. The company, known also as Foxconn, reported its second straight quarter of strong profit growth after lucrative AI hardware sales helped offset weakness in iPhone and consumer electronics demand.