Rumble (NASDAQ:RUM) Stock Sees Unusually High Call Option Buying

Rumble Inc. (NASDAQ:RUM) was the target of unusually large options trading on Friday. Stock traders acquired 35,900 call options on the stock. This is an increase of 304% compared to the average daily volume of 8,897 call options.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on the company. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Rumble in a report on Friday, July 24th. Wall Street Zen downgraded Rumble from a “hold” rating to a “sell” rating in a report on Saturday, August 15th. Finally, Lake Street Capital started coverage on shares of Rumble in a research report on Tuesday. They issued a “hold” rating and a $25.00 target price for the company. One analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Rumble currently has an average rating of “Reduce” and a consensus price target of $25.00.

Rumble Price Performance

RUM stock traded up $0.03 during midday trading on Friday, reaching $7.03. The company had a trading volume of 2,212,411 shares, compared to its average volume of 3,270,640. The company has a market capitalization of $3.48 billion, a price-to-earnings ratio of -11.91 and a beta of 1.25. The stock has a 50 day moving average price of $7.98 and a 200-day moving average price of $7.14. Rumble has a 1-year low of $4.62 and a 1-year high of $10.60. The company has a debt-to-equity ratio of 0.25, a current ratio of 2.12 and a quick ratio of 2.12.

Rumble (NASDAQ:RUM) last announced its quarterly earnings data on Monday, August 10th. The company reported ($0.28) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.10) by ($0.18). Rumble had a negative return on equity of 22.77% and a negative net margin of 134.60%.The firm had revenue of $40.37 million for the quarter, compared to analyst estimates of $31.23 million. During the same quarter in the previous year, the company earned ($0.12) earnings per share. The company’s quarterly revenue was up 61.0% on a year-over-year basis. Equities research analysts expect that Rumble will post -0.55 earnings per share for the current year.

Institutional Trading of Rumble

A number of hedge funds have recently added to or reduced their stakes in RUM. Cooper Creek Partners Management LLC increased its holdings in Rumble by 54.1% in the 1st quarter. Cooper Creek Partners Management LLC now owns 5,242,497 shares of the company’s stock worth $26,737,000 after purchasing an additional 1,840,893 shares in the last quarter. Sigma Planning Corp boosted its stake in shares of Rumble by 2.1% during the first quarter. Sigma Planning Corp now owns 162,699 shares of the company’s stock valued at $830,000 after purchasing an additional 3,349 shares in the last quarter. Integrated Wealth Concepts LLC acquired a new stake in shares of Rumble during the second quarter valued at about $69,000. Corient Private Wealth LP bought a new stake in shares of Rumble during the second quarter worth about $164,000. Finally, Handelsbanken Fonder AB grew its holdings in shares of Rumble by 38.1% during the second quarter. Handelsbanken Fonder AB now owns 39,500 shares of the company’s stock worth $250,000 after purchasing an additional 10,900 shares during the last quarter. Institutional investors and hedge funds own 26.15% of the company’s stock.

Rumble Company Profile

Rumble Inc is a video-sharing and social media company that operates the Rumble platform, where users can upload, watch, livestream and share video content. The company also provides related tools for creators, including audience engagement and monetization services, and generates revenue through advertising, subscriptions and other digital offerings.

In addition to its consumer video platform, Rumble offers cloud infrastructure services through Rumble Cloud. These services are designed to support video hosting, storage, distribution and other online applications.