Shocks from Russia’s invasion of Ukraine reverberated across global markets in the first quarter, underpinning big gains for commodity-sensitive stocks and crushing companies vulnerable to higher interest rates and supply chain disruptions, according to a Morningstar blog post published Thursday.
The overall stock market finished the quarter down just 5.3%, but there was lots of churn under the surface.
Morningstar ranks stocks based mainly on valuations. It assigns Morningstar ratings to stocks, ranking them from 1 star, which denotes most expensive, to 5 stars, the most undervalued.
Analysts found that of the 863 stocks they cover, about half experienced at least a one-star change in its rating. Fifty-five stocks became overvalued in the January-to-March period, and 114 became undervalued.
See the gallery for the 15 best-performing stocks in the first quarter.