What Happened?
A number of stocks fell in the afternoon session after President Trump declared the Iran ceasefire "over" and threatened fresh strikes, sending crude sharply higher and bond yields up in a broad inflation-driven selloff.
Building materials producers (the makers of aggregates, cement, concrete, and asphalt) are exposed to the shock. On the demand side, their volumes are closely tied to construction activity; the surge in the 10-year yield threatens to push mortgage rates higher, raising borrowing costs for large infrastructure projects.
On the cost side, their exposure to crude is unusually direct: cement and asphalt production are among the most energy-intensive heavy industries, and the end products are incredibly heavy and costly to transport.
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:
- Building Materials company UFP Industries (NASDAQ: UFPI) fell 4.2%. Is now the time to buy UFP Industries? Access our full analysis report here, it’s free.
- Building Materials company Sherwin-Williams (NYSE: SHW) fell 3.3%. Is now the time to buy Sherwin-Williams? Access our full analysis report here, it’s free.
- Building Materials company Vulcan Materials (NYSE: VMC) fell 3.4%. Is now the time to buy Vulcan Materials? Access our full analysis report here, it’s free.
Zooming In On UFP Industries (UFPI)
UFP Industries’s shares are not very volatile and have only had 5 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 biggest move we wrote about over the last year was 2 months ago when the stock dropped 5.2% on the news that the spike in crude oil prices threatened to inflate the cost of nearly every petroleum-derived input the industry produces.
UFP Industries is down 11.4% since the beginning of the year, and at $81.63 per share, it is trading 29.4% below its 52-week high of $115.62 from February 2026. Despite the year-to-date decline, investors who bought $1,000 worth of UFP Industries’s shares 5 years ago would now be looking at an investment worth $1,137.
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