What Happened?
A number of stocks jumped in the afternoon session after President Trump canceled planned military strikes on Iran and signaled a peace deal could be signed over the weekend.
Intel contributed an additional tailwind after Bank of America double-upgraded the stock from underperform to buy. War-driven inflation had lifted Treasury yields, compressing the valuations on capital-intensive chip stocks. Separately, the Strait of Hormuz closure disrupted the chemical and specialty-gas supply chains that semiconductor fabrication depends on. Oil falling back toward $87 a barrel and the 10-year yield dropping would ease the knock on effects from both.
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:
- Semiconductor Manufacturing company Entegris (NASDAQ: ENTG) jumped 3.6%. Is now the time to buy Entegris? Access our full analysis report here, it’s free.
- Semiconductor Manufacturing company Semtech (NASDAQ: SMTC) jumped 1.9%. Is now the time to buy Semtech? Access our full analysis report here, it’s free.
- Semiconductor Manufacturing company Photronics (NASDAQ: PLAB) jumped 3%. Is now the time to buy Photronics? Access our full analysis report here, it’s free.
Zooming In On Entegris (ENTG)
Entegris’s shares are extremely volatile and have had 39 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 2 days ago when the stock dropped 4% on the news that the CPI print of 4.2% annual inflation (the hottest since 2023) revived the rate hike narrative.
Markets began to fully price a December Fed rate hike, and semiconductor stocks, which price on earnings years out, reprice faster than most sectors when discount rates move. The SpaceX IPO added secondary pressure: the company closed investor orders ahead of its debut at a $1.77 trillion valuation, and MSC identified chip names among the holdings facing the largest forced outflows as investors reallocate to fund the listing. Trump's mid-session Iran escalation, pledging to "attack very hard", drove the Dow to session lows, sealing the risk-off tone.
Entegris is up 67.3% since the beginning of the year, and at $149.86 per share, it is trading close to its 52-week high of $156.44 from April 2026. Investors who bought $1,000 worth of Entegris’s shares 5 years ago would now be looking at an investment worth $1,255.
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