Why Axalta Coating Systems Crashed in March
Shares in Axalta Coating Systems (NYSE: AXTA) fell a whopping 30.7% in March, according to data provided by S&P Global Market Intelligence. Frankly, the stock's performance has been both surprising and somewhat inevitable at the same time.
Image source: Getty Images.
A decline was inevitable. It became clear as the month progressed that the COVID-19 outbreak was internationalizing from its origin in China and turning into a global pandemic that was going to hit the industrial sector in a major way. In such an environment, it's not surprising to see paintings and coatings getting hit. After all, if factories are cutting back on production, they won't need to buy coatings, and if economic activity is being cut back, there will be less demand for refinishing.
Source Fool.com
