What Happened?

A number of stocks jumped in the morning session after the major indices rebounded (Nasdaq +2.0%, S&P 500 +1.5%) as President Trump postponed the planned 50% tariff on European Union imports, shifting the start date to July 9, 2025.

Companies with substantial business ties to Europe likely had some relief as the delay reduced near-term cost pressures and preserved cross-border demand.

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:

Zooming In On fuboTV (FUBO)

fuboTV’s shares are extremely volatile and have had 66 moves greater than 5% over the last year. But moves this big are rare even for fuboTV and indicate this news significantly impacted the market’s perception of the business.

The previous big move we wrote about was 25 days ago when the stock dropped 14.9% on the news that the company reported underwhelming first quarter 2025 results with revenue missing analysts' estimates significantly.

What stood out was the weak revenue growth of just 3.5%, a sharp slowdown from the double-digit gains Fubo posted in previous quarters. This drop-off was driven by subscriber losses in both North America and international markets. Sales were lifted modestly by a slight increase in average revenue per user, but advertising revenue in North America dropped over 17%, weighed down by the loss of certain ad-insertable content.

Looking ahead, the company expected revenue in Q2 to decline by 10% in North America and 15% in international markets, largely due to a subscriber dip. Overall, this was a weaker quarter.

fuboTV is up 156% since the beginning of the year, but at $3.61 per share, it is still trading 33.8% below its 52-week high of $5.46 from January 2025. Investors who bought $1,000 worth of fuboTV’s shares 5 years ago would now be looking at an investment worth $278.84.

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