AAL

Can First Republic Bank Be Saved?

The stock is hovering just above its all-time lows

Deputy Editor
Mar 16, 2023 at 12:44 PM
facebook X logo linkedin


First Republic Bank (NYSE:FRC) is 13.3% lower this afternoon, last seen trading at $27.03 following reports that the bank could be saved and options traders are taking notes.

According to a Bloomberg report, First Republic bank is looking for strategic options, including a potential sale. Separately, The Wall Street Journal reported that JPMorgan Chase (JPM) and Morgan Stanley (MS) are among the firms having deal talks with the embattled bank.

Just past the session's halfway mark, 178,000 puts and 111,000 calls have been traded -- 15 times the average intraday volume. Positions are being opened at the top 10 contracts, led by the March 10 put.

S&P Global Ratings and Fitch Ratings yesterday cut their ratings on FRC to junk. Coming into today, 10 of 19 firms still rated First Republic Banks tock a "strong buy," while the 12-month consensus target price of $138.79 is a 430.5% premium to current levels. This leaves the equity open to more downgrades and/or price-target cuts.

First Republic Bank stock kicked the week off by slipping to an all-time low of $17.53. Though it's holding just above that level today, FRC is still down more than 84% over the last 12 months, and sports a 78% year-to-date deficit.

 

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.