Options Bulls Target RKT After Fresh Coverage

Calls are running at double what's typically seen

Deputy Editor
Jun 8, 2021 at 2:28 PM
facebook twitter linkedin

The shares of Rocket Companies Inc (NYSE:RKT) are up 4.6% to trade at $20.80 at last check. Today's positive price action comes after Piper Sandler initiated coverage with a "neutral" rating and $18 price target, while Argus Research started coverage with a "buy" rating and $23 price target. 

Options bulls are targeting RKT in response, with call volume running at double its intraday average. So far, 203,000 calls have crossed the tape, in comparison to 18,000 puts. The weekly 6/11 21-strike call is the most popular, followed by the June 21 call, with new positions being opened at both. 

These two new analysts are joining a mostly bearish brokerage bunch. Coming into today, 10 of the 12 analysts in coverage carried a "hold" or worse rating on RKT. Plus, the 12-month consensus price target of $20.38 was a 2% discount to current levels. 

Though Rocket Companies stock has been inching higher since its May 13 all-time low of $16.22, a ceiling at the 80-day moving average appears to have kept a lid on today's pop. Year-to-date, the stock is up 7.7%. 

RKT 0608


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 


300x250 - Banner 3 - v1