Dow Inc. (NYSE:D.O.W.) was between Jim Cramer’s latest stock calls, when he suggested investors balance portfolios with hot and cold stocks. Cramer noted that the stock fell even after reporting a good quarter because it had already risen significantly for the year.
When Iran closed the Strait of Hormuz, it was terrible for the global economy. We all know that, right? But it’s also great for the price of oil and the price of petrochemicals, for that matter. This has been tremendous for American chemical companies to get all the supplies they need domestically. And that’s why Dow, the big chemical company, has gone from being the sixth-worst performer in the S&P 500 last year to a top 20 performer this year, up nearly 65% ​​by 2026.
What have you done for me lately? How about going up? Now, this morning, Dow reported a strong quarter, a healthy revenue increase combined with a smaller-than-expected loss. Although this company does not provide formal guidance, I thought the commentary on the management conference call was very optimistic. Unfortunately, maybe it wasn’t enough for today. The stock fell 7% because I think when you’re up almost 65% for the year, that means expectations went through the roof.
Stock market data. Photo by Photo by Alesia Kozik
Dow Inc. (NYSE:DOW) develops chemicals and materials used in the packaging, construction, transportation and consumer industries.
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