Buzz Stocks: Opko Health Inc., Imperva Inc, and United Continental Holdings Inc

Today's stocks to watch in the news include Opko Health Inc. (OPK), Imperva Inc (IMPV), and United Continental Holdings Inc (UAL)

Jun 21, 2016 at 10:07 AM

U.S. stocks are up, as promising "Brexit" polling continues to quell investor concerns. Among equities on focus today are biotech Opko Health Inc. (NYSE:OPK), cybersecurity stock Imperva Inc (NYSE:IMPV), and airline stock United Continental Holdings Inc (NYSE:UAL).

OPK is up 5.7% at $9.71, after the Food and Drug Administration (FDA) approved its drug Rayaldee to treat hyperparathyroidism. Opko Health Inc. tumbled in late March after Rayaldee was initially rejected by the FDA, and the stock is currently down 40% year-over-year -- though its valuation "still seems too high" at current levels, according to a weekend Barron's column. There's likely a good amount of short sellers growing antsy after the FDA's decision, with 19% of OPK's float sold short, an amount that would take nearly 27 days of trading, at OPK's average daily rate, to cover.

IMPV is up 9.3% at $44.21, after activist investing firm Elliott Associates disclosed a 9.8% stake in the company, saying it believes the stock is "materially undervalued." The shares are still down over 35% year-to-date -- courtesy of two sharp post-earnings plunges -- but are on pace to end the week atop their 20-week trendline for the first time since December. Despite these bear gaps, option players have kept the faith in Imperva Inc, with IMPV's 50-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE) and NASDAQ OMX PHLX (PHLX) of 4.94 sitting higher than 94% of all other readings from the past year.

UAL is up 3.7% at $45.01, after estimating an extra $3.1 billion in operating income by 2018, due to its efforts to stem flight delays and offer "no-frills" fares. United Continental Holdings Inc also said it anticipates a 6.5% to 7.5% decline in current-quarter passenger unit revenue, compared to previous estimates for an 8.5% fall. Still, the shares have given up over 20% year-to-date after a steep plunge in mid-April, and are staring up at their declining 10-week moving average. Option players seem to be hopeful for a comeback, however, with UAL's 50-day ISE/CBOE/PHLX call/put volume ratio of 3.10 sitting in the 81st percentile of its annual range.

Sign up now for Schaeffer's Opening View newsletter to get a head start on all the major pre-market news!

Follow @Schaeffers

The SEC Moves to End the $25,000 Day Trading Barrier

For years, this rule kept most traders on the sidelines. Now, the door is opening to a whole new wave of active traders.

Dynamite Day Trading Signals helps you hit the ground running with up 2 options trade alerts per week, built to capture fast-moving opportunities.

+149% in the last 3 months*

👉 Sign up now to receive the next trade