COOP is gapping to all-time highs today
Consumer lending stock Mr. Cooper Group Inc (NASDAQ:COOP) is surging today, up 18% at $123.30 at last glance, after news that fintech firm Rocket Companies (RKT) is acquiring the company for $9.4 billion in an all-stock deal as it looks to expand its mortgage-related offerings. RKT is moving lower after the news, down 7.8% at last glance.
On the charts, today's bull gap has COOP trading at record highs and on track for its biggest daily pop since February 2022. The stock has been in a steady uptrend for roughly a year now, sporting a 53.7% year-over-year lead. The equity is also on track for its third-straight monthly gain at today's close -- a perfect first quarter.
Short interest has been building, up 23.2% in the last month. With these shorts now underwater, a round of short covering could be providing additional tailwinds.
Analysts have yet to chime in on today's event. Of the nine in coverage, six carry a "strong buy," rating, with three a tepid "hold." Price-target hikes could be on the way, however, as the 12-month consensus price target of $126.63 now sits at a slim premium to current levels.