Karman Stock: 9 Straight Red Days, Down 24%
Karman stock has been falling for nine straight days, raising questions about whether its high-growth story still matches its price.
Karman (KRMN) stock has fallen 24% over a slide that has now lasted for 9 consecutive trading days. The persistent selling has erased about $1.9 billion from the company’s market value.
For shareholders, that move has brought the company’s market capitalization down to about $6.3 billion.
The Streak Next To The S&P 500
Here is how KRMN stock stacks up against the S&P 500 over the streak and the periods around it:
| Return Period | KRMN | S&P 500 |
|---|---|---|
| 1D | -2.0% | 0.7% |
| 9D (Current Streak) | -23.5% | -0.7% |
| 1M (21D) | 4.0% | 5.7% |
| 3M (63D) | -28.0% | 2.2% |
| YTD 2026 | -35.2% | 12.9% |
| 2025 | 16.4% | |
| 2024 | 23.3% | |
| 2023 | 24.2% |
What does the data say about this valuation?
The evidence is mixed. On one hand, Karman’s revenue over the last twelve months grew 50.2%, far outpacing the S&P 500 median of 8.3%. On the other hand, its operating margin over the last twelve months is 16.8%, which sits just below the S&P 500 median of 18.5%.
The stock’s valuation is also high, trading at a price-to-earnings multiple of 169.0, compared to an S&P 500 median of 23.3. This move appears to be specific to the company; over the same 9 trading days, the S&P 500 returned -0.7%.
So how should I treat a streak like this?
A long streak is information, not an instruction. It tells you that a stock has the market’s attention and that momentum has been strong in one direction. It is not, by itself, a signal to buy or sell.
The disciplined response is to check the story against the price. A streak provides a clear moment to ask whether the business fundamentals, like the growth and margins reported here, still support the stock’s valuation after a significant move.
If the drop has you weighing an entry, resist buying a falling price alone. Our Buy the Dip screen ranks the marked-down names where growth and cash generation still support a recovery.
Prefer the theme to this single name? Our ETF Scorecard shows how the aerospace & defense funds stack up. It is still a concentrated bet on that one theme, though, which is exactly the gap the portfolio below closes.
Falling Prices Test Conviction. Rules Do Not Flinch
A losing streak forces a choice on every holder: sell into weakness, average down, or freeze. All three are emotional answers to what should be an analytical question, and emotions priced at market open are expensive.
The Trefis High Quality (HQ) Portfolio takes the emotion out: about 30 quality businesses screened for the fundamentals that survive bad stretches, held and rebalanced by rules. It has a track record of outpacing a benchmark that combines the three major indices – the S&P 500, S&P Mid-cap, and Russell 2000. Let the rules do the heavy lifting for you.