What Happened?
A number of stocks fell in the afternoon session after the major indices pulled back (Nasdaq -1.3%, S&P 500 -1.1%) as Israel carried out significant strikes on Iranian nuclear and military sites, dramatically escalating fears of a broader conflict in the Middle East. This development has sent crude oil prices surging, as investors fear potential disruptions to global oil supply and a wider regional conflict.
The conflict intensified market anxiety, compounding volatility, especially in risk assets like stocks, and prompting a pronounced shift toward safe-haven assets.
The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.
Among others, the following stocks were impacted:
- Renewable Energy company TPI Composites (NASDAQ: TPIC) fell 13.6%. Is now the time to buy TPI Composites? Access our full analysis report here, it’s free.
- Traditional Media & Publishing company EchoStar (NASDAQ: SATS) fell 5.9%. Is now the time to buy EchoStar? Access our full analysis report here, it’s free.
- Heavy Transportation Equipment company Commercial Vehicle Group (NASDAQ: CVGI) fell 6.6%. Is now the time to buy Commercial Vehicle Group? Access our full analysis report here, it’s free.
- Traditional Fast Food company Jack in the Box (NASDAQ: JACK) fell 5.2%. Is now the time to buy Jack in the Box? Access our full analysis report here, it’s free.
- Apparel and Accessories company VF Corp (NYSE: VFC) fell 7.2%. Is now the time to buy VF Corp? Access our full analysis report here, it’s free.
Zooming In On TPI Composites (TPIC)
TPI Composites’s shares are extremely volatile and have had 109 moves greater than 5% over the last year. But moves this big are rare even for TPI Composites and indicate this news significantly impacted the market’s perception of the business.
TPI Composites is down 39.4% since the beginning of the year, and at $1.09 per share, it is trading 78.6% below its 52-week high of $5.07 from June 2024. Investors who bought $1,000 worth of TPI Composites’s shares 5 years ago would now be looking at an investment worth $49.66.
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