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Regal Rexnord, Standex, Pangaea, MasTec, and Corning Shares Are Soaring, What You Need To Know

RRX Cover Image

What Happened?

A number of stocks jumped in the afternoon session after a softened tone from President Donald Trump on U.S.-China relations boosted investor sentiment. The positive shift followed a weekend post on Truth Social where Trump stated, "Don't worry about China, it will all be fine!" and expressed a desire to help rather than hurt the country's economy. This statement provided significant relief to markets that had ended the prior week with steep losses. In response, the Nasdaq Composite jumped 2.2%, the S&P 500 gained 1.6%, and the Dow Jones Industrial Average closed 1.3% higher, as investors' fears of escalating trade tensions subsided.

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:

Zooming In On Standex (SXI)

Standex’s shares are not very volatile and have only had 8 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.

The previous big move we wrote about was 24 days ago when the stock dropped 3.6% on the news that an SEC filing disclosed a proposed sale of a large block of shares by an insider. The filing revealed a plan to sell 11,000 common shares with a market value of about $2.37 million. This move came just a day after the stock reached a record high, likely prompting some investors to take profits. Such a sale by a company insider can be seen by the market as a signal of reduced confidence, sparking concerns among other shareholders. The disclosure also pointed to other recent sales, including transactions totaling 16,000 shares in the previous month. The news overshadowed a broader market rally that had helped push the stock to its peak, as investors focused on the implications of the insider's decision to sell.

Standex is up 20% since the beginning of the year, Investors who bought $1,000 worth of Standex’s shares 5 years ago would now be looking at an investment worth $3,573.

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