What Happened?

A number of stocks jumped in the afternoon session after a broader market rally drove investor optimism in artificial intelligence and big tech stocks. 

The S&P 500, Dow Jones, and Nasdaq all pushed higher, approaching record levels set late last year. Much of the positive momentum was linked to the technology sector, with a particular focus on companies advancing artificial intelligence, a key theme at the annual CES trade show in Las Vegas. This continued a powerful trend from 2025, when AI-related developments were a primary catalyst for the market's bull run. The upbeat sentiment was further supported by hopes for easier monetary policy from the Federal Reserve following a weaker-than-expected US Services PMI reading.

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 IPG Photonics (NASDAQ: IPGP) jumped 3%. Is now the time to buy IPG Photonics? Access our full analysis report here, it’s free for active Edge members.
• Analog Semiconductors company Magnachip (NYSE: MX) jumped 3.2%. Is now the time to buy Magnachip? Access our full analysis report here, it’s free for active Edge members.
• Semiconductor Manufacturing company Kulicke and Soffa (NASDAQ: KLIC) jumped 4.1%. Is now the time to buy Kulicke and Soffa? Access our full analysis report here, it’s free for active Edge members.
• Analog Semiconductors company Impinj (NASDAQ: PI) jumped 7.3%. Is now the time to buy Impinj? Access our full analysis report here, it’s free for active Edge members.
• Semiconductor Manufacturing company Semtech (NASDAQ: SMTC) jumped 4%. Is now the time to buy Semtech? Access our full analysis report here, it’s free for active Edge members.

Zooming In On Impinj (PI)

Impinj’s shares are extremely volatile and have had 36 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 biggest move we wrote about over the last year was 11 months ago when the stock dropped 25.9% on the news that the company reported disappointing fourth quarter results, with revenue slightly missing Wall Street estimates and next-quarter revenue, EBITDA, and earnings guidance falling significantly short. EBITDA also missed, suggesting profits are under pressure, while earnings came in roughly in line. Management is anticipating near-term headwinds, suggesting the company is not out of the woods yet​. Overall, this quarter could have been better.

Impinj is up 7.4% since the beginning of the year, but at $193.10 per share, it is still trading 20.2% below its 52-week high of $241.91 from October 2025. Investors who bought $1,000 worth of Impinj’s shares 5 years ago would now be looking at an investment worth $4,281.

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