Geopolitical shocks often trigger sharp market reactions. But while the broader market has struggled since the United States and Israel launched strikes against Iranian targets in late February, a small group of companies has quietly delivered strong gains.
Since February 27, the day before the attacks began, the majority of the market has moved in the opposite direction.
Roughly 80 percent of companies in the S&P 500 have fallen during the period, highlighting the widespread pressure on equities as investors assess the risks tied to Middle East tensions, rising oil prices, and broader global uncertainty.
Yet amid that volatility, a handful of companies have surged into double digit gains. Many of them are tied to sectors that historically benefit during geopolitical instability such as energy, cybersecurity, and certain materials.
For investors, the trend highlights an important lesson. Even during market stress, opportunities often emerge in sectors tied to defense, energy supply chains, commodities, and digital security.
The Market Reaction Since the Iran Conflict Began
Since February 27, the S&P 500 has declined roughly 2.6 percent, even though the index showed occasional rebounds during trading sessions.
Nine of the eleven major sectors in the S&P 500 have posted losses during the same period.
Only two sectors have managed to stay positive:
• Energy, which has gained roughly 2.7 percent
• Information technology, which has edged higher by about 0.4 percent
This performance reflects the forces currently driving global markets.
Energy companies have rallied as crude oil prices surged after the conflict raised concerns about potential supply disruptions across the Middle East.
Meanwhile, cybersecurity and select technology firms have benefited from rising fears of cyber warfare and digital infrastructure attacks tied to the escalating conflict.
Oil Prices Surge Amid Strait of Hormuz Tensions
One of the biggest drivers of market volatility has been the sharp move in oil prices.
Following the attacks, crude oil prices jumped dramatically as investors began to assess the risk that the conflict could disrupt shipping through the Strait of Hormuz, one of the world’s most important energy chokepoints.
The narrow waterway connects the Persian Gulf to global shipping lanes and carries roughly 20 percent of the world’s oil supply.
At one point during the conflict escalation, West Texas Intermediate crude oil rose as much as 41 percent compared with late February settlement prices, reflecting how sensitive global energy markets are to geopolitical shocks.
Reports that European countries were negotiating with Iran to ensure safe passage for shipping temporarily eased fears, causing oil futures to dip slightly during some trading sessions.
However, prices remain elevated relative to levels before the conflict began.
For investors, this kind of volatility has historically translated into strong gains for oil refiners, energy producers, and commodity companies.
The 15 S&P 500 Stocks Posting Double Digit Gains
Despite the broader market downturn, several companies have produced strong returns since the Iran conflict began.
Many of these businesses operate in sectors directly affected by rising energy prices or heightened security risks.
Below are the companies that have posted double digit gains in the period since February 27.
CF Industries Holdings
Industry: Agricultural chemicals
Gain since Feb. 27: 27.5 percent
CF Industries has been one of the biggest winners during the market turmoil. The fertilizer producer benefits from rising commodity prices and disruptions to global agricultural supply chains.
LyondellBasell Industries
Industry: Commodity chemicals
Gain since Feb. 27: 25.4 percent
The chemical giant has surged as investors bet that demand for petrochemical inputs will remain strong amid tightening supply conditions.
Dow Inc.
Industry: Commodity chemicals
Gain since Feb. 27: 21 percent
Dow’s strong rally reflects rising prices for industrial materials and chemical products used across manufacturing and energy production.
CrowdStrike Holdings
Industry: Cybersecurity software
Gain since Feb. 27: 19.6 percent
CrowdStrike has benefited from growing concerns about cyber attacks linked to geopolitical conflict.
Governments and corporations have increased cybersecurity spending as digital infrastructure becomes a potential battlefield.
Marathon Petroleum
Industry: Oil refining and marketing
Gain since Feb. 27: 16.7 percent
Refiners tend to benefit when oil price volatility increases refining margins.
Marathon Petroleum has been among the strongest performers in the energy sector during the crisis.
Datadog
Industry: Cloud monitoring software
Gain since Feb. 27: 15 percent
Datadog’s rise reflects ongoing demand for cloud infrastructure monitoring tools as companies seek to maintain system stability amid rising cyber threats.
Valero Energy
Industry: Oil refining
Gain since Feb. 27: 14.9 percent
Valero has benefited from strong refining margins driven by elevated fuel prices.
The Trade Desk
Industry: Digital advertising technology
Gain since Feb. 27: 14.1 percent
Despite the broader market downturn, The Trade Desk has rebounded strongly as investors rotate back into high growth tech companies.
Coinbase Global
Industry: Cryptocurrency exchange
Gain since Feb. 27: 13.8 percent
Coinbase has rallied as geopolitical instability boosts interest in alternative financial assets including cryptocurrencies.
Historically, Bitcoin and related assets sometimes attract inflows during global uncertainty.
Phillips 66
Industry: Oil refining and marketing
Gain since Feb. 27: 13.6 percent
Another refining giant benefiting from higher energy prices.
Palo Alto Networks
Industry: Cybersecurity
Gain since Feb. 27: 13.4 percent
Cybersecurity stocks continue to gain momentum as governments and businesses prepare for potential cyber warfare tied to geopolitical conflicts.
APA Corporation
Industry: Oil and gas exploration
Gain since Feb. 27: 12.6 percent
Exploration companies have gained alongside rising crude prices.
Palantir Technologies
Industry: Data analytics and AI software
Gain since Feb. 27: 11.1 percent
Palantir’s rally reflects growing investor interest in defense and intelligence related software platforms.
Kroger
Industry: Food retail and distribution
Gain since Feb. 27: 10 percent
Defensive consumer staples companies like Kroger often hold up well during market turbulence.
Akamai Technologies
Industry: Internet infrastructure and security
Gain since Feb. 27: 9.5 percent
Akamai benefits from demand for secure digital infrastructure and content delivery networks.
Why Materials and Energy Are Leading the Market
One of the most notable trends during the conflict has been the outperformance of materials companies, particularly chemical producers.
These businesses are heavily tied to global supply chains and commodity prices.
When geopolitical shocks disrupt global trade routes or energy markets, materials companies often see price increases that flow directly into their revenue.
Energy companies have also surged as oil markets reacted to the possibility of supply disruptions across the Middle East.
Even the mere risk of a disruption in the Strait of Hormuz can cause oil traders to push prices sharply higher.
Cybersecurity Stocks Also Rally
Another major theme emerging from the crisis is the strong performance of cybersecurity companies.
Modern conflicts increasingly extend beyond military operations into the digital realm.
Cyber attacks targeting infrastructure, corporations, and government agencies have become a common tactic during geopolitical confrontations.
As a result, companies such as CrowdStrike and Palo Alto Networks have seen strong investor demand.
Cybersecurity spending globally is projected to surpass $300 billion annually by the end of the decade, according to industry estimates.
What Investors Should Watch Next
Markets remain highly sensitive to developments in the Middle East conflict.
Several key factors could influence markets in the coming weeks:
• Potential disruption to oil shipping through the Strait of Hormuz
• Escalation between Iran and Israel
• Cyber attacks targeting Western companies
• Energy price spikes that feed inflation
If the conflict escalates further, sectors tied to energy, defense, cybersecurity, and commodities could continue outperforming.
However, if tensions ease, investors may rotate back into broader growth sectors that have been under pressure.
The Bottom Line for Investors
Geopolitical crises rarely affect every company equally.
While the broader S&P 500 has declined since the Iran conflict began, several sectors have quietly surged.
Energy refiners, chemical producers, cybersecurity firms, and data analytics companies have emerged as clear winners.
For investors, the lesson is simple.
Periods of global uncertainty often create sector specific opportunities, even when the overall market struggles.
Understanding which industries benefit from geopolitical shifts can help investors position their portfolios for resilience when markets turn volatile.
Sources
https://www.barrons.com/articles/dow-mosiac-cf-industries-stock-price-iran-war-776fb88b
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