IonQ will buy Oxford Ionics in a cash-and-stock deal
Quantum computing stock IonQ Inc (NYSE:IONQ) is up 4.1% to trade at $40.61 this morning, after the company announced it will buy London-based Oxford Ionics in a $1.075 billion cash-and-stock deal.
Last month, IONQ looked like it was heading back to $50 for the first time since a Jan. 7 record high of $54.68. The shares have cooled off in June, though their 20-day moving average has stepped up to contain any major pullbacks. Longer term, the equity boasts an astounding 409% year-over-year lead. For 2025, however, the stock is still down 4.4%.
Despite short interest falling 8.6% in the last two reporting periods, the 40.33 million shares sold short make up a healthy 16.9% of the security's available float. This makes IONQ ripe for a short squeeze.
An unwinding of pessimism among short-term options traders could generate tailwinds as well. This is per IONQ's Schaeffer's put/call open interest ratio (SOIR) of 1.15, which ranks in the 89th percentile of annual readings.
Options traders are already chiming in, with 27,000 calls across the tape so far today -- double the volume typically seen at this point -- compared to only 4,543 puts. The most active contract is the weekly 6/13 42-strike call, with positions being sold to open there.