0HFB (London) - BIG pullback after a BIG run.

Feb 6

With all the stocks getting belted at the moment I thought I'd have a look to see if anything might have perhaps been caught up in the hysteria and perhaps oversold - so with this one definitely buyer beware.

Amphenol Corporation has been a standout performer over the last year, putting up gains of nearly 87% even after the recent 30% dump. They are a massive global player in the electronic connector and sensor market. If you look at the infrastructure behind the AI and data centre boom, these guys are right in the middle of it. The trend has been incredibly strong and consistent until this most recent move.

Its 5 year looks great:

The recent drop looks like a classic sell the news reaction. They actually beat their Q4 earnings expectations, but the stock had already run so hard that investors likely used the report to lock in profits. The valuation had stretched to a P/E over 43x, which is well above its historical average. Combined with some broader tech sector weakness and news of a leadership transition, the market decided it was time for a valuation reset.

Its revenue chart is strong too:

Looking at the chart, the pullback has been aggressive, falling about 28% from the recent peak. This move has sliced through the 50 and 100-day SMAs, which is a significant change in character. However, it has also pushed the stock into a much better value area. The RSI is now deep in oversold territory below 30, and while the MACD remains negative, the selling pressure usually starts to exhaust itself after a vertical drop like this.

Might be one to keep an eye on.

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PLEASE NOTE: Nothing I post is trading advice. All investing involves risk, and past performance doesn’t predict future results. Trends can and do end. For 2026, my goal is to try and post one new asset each day. Something outside the usual gold, silver, BTC, or big tech names. I like to find stocks worldwide showing steady trends with some good gains, a recent pullback, and signs of renewed strength. I don’t necessarily hold positions in these. They are simply companies I find interesting at the time of posting. I’ll often revisit them within a week to see how they went and share any updates. If you enjoy these posts, please BOOST and FOLLOW ME to discover more under-the-radar stocks and businesses from around the world.
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Feb 9

Note

Some good momentum coming back into this stock.