Rocket Lab and Compass Therapeutics Show Active Options Trading
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3 days ago
0mins
Should l Buy CAR?
Source: NASDAQ.COM
- Rocket Lab Options Volume: Rocket Lab Corp's options trading volume reached 312,719 contracts today, representing approximately 31.3 million shares, which is 124.2% of its average daily trading volume over the past month, indicating strong market interest in its future performance.
- High Volume Call Options: Within Rocket Lab, the $80 strike call option has seen 23,187 contracts traded today, representing about 2.3 million shares, reflecting investor expectations for future price increases, particularly for contracts expiring in April 2026.
- Compass Therapeutics Options Activity: Compass Therapeutics Inc recorded an options trading volume of 27,391 contracts, equating to approximately 2.7 million shares, which is 109.2% of its average daily trading volume over the past month, showing sustained investor interest in the company.
- Surge in Call Options Trading: For Compass Therapeutics, the $10 strike call option has traded 10,982 contracts today, representing around 1.1 million shares, indicating market confidence in its growth potential, especially for contracts expiring in May 2026.
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Analyst Views on CAR
Wall Street analysts forecast CAR stock price to fall
1 Analyst Rating
0 Buy
1 Hold
0 Sell
Hold
Current: 448.980
Low
142.00
Averages
142.00
High
142.00
Current: 448.980
Low
142.00
Averages
142.00
High
142.00
About CAR
Avis Budget Group, Inc. is a provider of mobility solutions through its three brands, Avis, Budget and Zipcar, as well as several other brands. Its brands offer a range of options, from car and truck rental to car sharing. Its segments include Americas and International. The Americas segment consists primarily of vehicle rental operations in North America, South America, Central America and the Caribbean and operates car-sharing operations in certain of these markets. The International segment consists of vehicle rental operations in Europe, the Middle East, Africa, Asia and Australasia, and operates car-sharing operations in certain of these markets. The Avis brand provides vehicle rental and other mobility solutions at price points generally above non-branded and value-branded vehicle rental companies and serves the premium commercial and leisure segments of the travel industry. Its other brands include Payless, Apex, AmicoBlu, Maggiore, Morini Rent, FranceCars, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Avis and Hertz Stocks Rally After Recent Downturn
- Stock Price Recovery: After a downturn on Wednesday, Avis Budget (CAR) and Hertz Global (HTZ) rallied on Thursday, with CAR rising 10.6% and hitting a new 52-week high of $450.00 in afternoon trading, indicating strong market optimism about its future performance.
- Strong Short-Term Performance: Over the past six weeks, CAR's stock has surged more than 325%, while HTZ has increased by 74%, demonstrating a robust rebound that has attracted investor interest and capital inflow into both companies.
- Market Sentiment and Volatility: Despite short interest exceeding 20% for both CAR and HTZ, the anticipation of upcoming first-quarter earnings reports has led to options volatility pricing in double-digit price movements, reflecting investors' heightened focus on future performance.
- Analyst Rating Changes: Deutsche Bank downgraded CAR to a Hold rating due to valuation concerns, while HTZ has already lost its last bullish analyst earlier this year, indicating a cautious sentiment prevailing in the market regarding both stocks.
See More
Rocket Lab and Compass Therapeutics Show Active Options Trading
- Rocket Lab Options Volume: Rocket Lab Corp's options trading volume reached 312,719 contracts today, representing approximately 31.3 million shares, which is 124.2% of its average daily trading volume over the past month, indicating strong market interest in its future performance.
- High Volume Call Options: Within Rocket Lab, the $80 strike call option has seen 23,187 contracts traded today, representing about 2.3 million shares, reflecting investor expectations for future price increases, particularly for contracts expiring in April 2026.
- Compass Therapeutics Options Activity: Compass Therapeutics Inc recorded an options trading volume of 27,391 contracts, equating to approximately 2.7 million shares, which is 109.2% of its average daily trading volume over the past month, showing sustained investor interest in the company.
- Surge in Call Options Trading: For Compass Therapeutics, the $10 strike call option has traded 10,982 contracts today, representing around 1.1 million shares, indicating market confidence in its growth potential, especially for contracts expiring in May 2026.
See More
Car Rental Stocks Retreat as Avis and Hertz Experience Sharp Declines
- Significant Price Decline: On Wednesday, Avis Budget (CAR) fell 7.6% and Hertz Global (HTZ) dropped 9.2%, indicating market pressure and concerns regarding the fundamentals of the car rental industry.
- End of Short Squeeze: Over the past six weeks, Avis (CAR) surged over 250% and Hertz (HTZ) increased more than 50%, but as the short squeeze concluded, investors began to take profits, leading to the recent price pullback.
- High Short Interest Remains: Although short interest has decreased, both stocks still have over 20% of their float shorted, reflecting ongoing market concerns about the weak fundamentals of the rental car sector, particularly regarding EV transitions and thin margins.
- Shifting Market Sentiment: Following the volatility in stock prices, market sentiment has shifted, with Deutsche Bank adopting a cautious stance on Avis Budget, indicating investor reservations about the company's future outlook.
See More
Analysis of CAR Options Contracts and Investment Opportunities
- Put Option Appeal: The current bid for the $370.00 put option is $163.20, and if an investor sells this contract, they commit to buying the stock at $370.00, effectively lowering their cost basis to $206.80, which is approximately a 3% discount from the current price of $381.54, making it attractive for those interested in CAR.
- Return Potential Analysis: Should the put option expire worthless, it would yield a 44.11% return on the cash commitment, or an annualized return of 16.51%, positioning this contract as an appealing investment choice, particularly in the current market context.
- Call Option Returns: The $510.00 call option has a current bid of $174.00, and if an investor buys CAR shares at $381.54 and sells this call, they could achieve a total return of 79.27% if the stock is called away at the December 2028 expiration, highlighting the potential profitability of this strategy.
- Risk Assessment: The $510.00 call option has a 29% chance of expiring worthless, allowing investors to retain both their shares and the premium collected, which enhances the investment's safety margin, while the current implied volatility (82%) and actual volatility (70%) provide a comprehensive risk-reward analysis for investors.
See More
CAR Stock Soars Amid High Short Interest, Analysts Remain Cautious
- Stock Performance Surge: Avis Budget Group (CAR) shares have experienced a remarkable rally, climbing from $135.56 on March 30 to $411.50 by Tuesday's close, more than tripling in value and reaching new highs, indicating strong market optimism about its future performance.
- Increased Short Pressure: Short interest in CAR stock rose from 21.41% to 23% in April according to Koyfin data, suggesting that bearish sentiment remains high, which could lead to further price volatility, especially in the short term.
- Analyst Rating Changes: Deutsche Bank downgraded CAR from 'buy' to 'hold', primarily based on the company's fundamentals, yet acknowledged that technical factors could drive the stock higher, reflecting a divergence in analysts' views on the current share price.
- Retail Sentiment Shift: On Stocktwits, retail sentiment has shifted from neutral to bullish, although there is a significant influx of bearish users predicting a 30% decline, illustrating the complex market sentiment surrounding CAR stock that may influence future trading dynamics.
See More
Avis Budget Group Stock Downgraded Amid Valuation Concerns
- Downgrade Impact: Deutsche Bank downgraded Avis Budget Group's stock from 'Buy' to 'Hold', maintaining a $128 price target, indicating approximately 50% downside from current levels, reflecting market concerns over the company's valuation.
- Disappointing Earnings Forecast: Street estimates suggest Avis is expected to report a loss of $7 per share and revenue of $2.4 billion for the quarter ending March 2026, highlighting significant challenges in profitability, with CEO Brian Choi calling the results 'unacceptable'.
- Significant Stock Volatility: Despite gaining over 100% year-to-date, CAR shares fell 11% on Friday, marking the largest single-day loss since February 19, 2026, indicating extreme fluctuations in market sentiment.
- Retail Investor Sentiment: Despite the drop, retail sentiment on Stocktwits remains 'bullish' with extremely high message volumes, as some users still expect the stock to rise to $500, reflecting optimism for a potential rebound.
See More
Avis and Hertz Stocks Rally After Recent Downturn
- Stock Price Recovery: After a downturn on Wednesday, Avis Budget (CAR) and Hertz Global (HTZ) rallied on Thursday, with CAR rising 10.6% and hitting a new 52-week high of $450.00 in afternoon trading, indicating strong market optimism about its future performance.
- Strong Short-Term Performance: Over the past six weeks, CAR's stock has surged more than 325%, while HTZ has increased by 74%, demonstrating a robust rebound that has attracted investor interest and capital inflow into both companies.
- Market Sentiment and Volatility: Despite short interest exceeding 20% for both CAR and HTZ, the anticipation of upcoming first-quarter earnings reports has led to options volatility pricing in double-digit price movements, reflecting investors' heightened focus on future performance.
- Analyst Rating Changes: Deutsche Bank downgraded CAR to a Hold rating due to valuation concerns, while HTZ has already lost its last bullish analyst earlier this year, indicating a cautious sentiment prevailing in the market regarding both stocks.
See More
Rocket Lab and Compass Therapeutics Show Active Options Trading
- Rocket Lab Options Volume: Rocket Lab Corp's options trading volume reached 312,719 contracts today, representing approximately 31.3 million shares, which is 124.2% of its average daily trading volume over the past month, indicating strong market interest in its future performance.
- High Volume Call Options: Within Rocket Lab, the $80 strike call option has seen 23,187 contracts traded today, representing about 2.3 million shares, reflecting investor expectations for future price increases, particularly for contracts expiring in April 2026.
- Compass Therapeutics Options Activity: Compass Therapeutics Inc recorded an options trading volume of 27,391 contracts, equating to approximately 2.7 million shares, which is 109.2% of its average daily trading volume over the past month, showing sustained investor interest in the company.
- Surge in Call Options Trading: For Compass Therapeutics, the $10 strike call option has traded 10,982 contracts today, representing around 1.1 million shares, indicating market confidence in its growth potential, especially for contracts expiring in May 2026.
See More
Car Rental Stocks Retreat as Avis and Hertz Experience Sharp Declines
- Significant Price Decline: On Wednesday, Avis Budget (CAR) fell 7.6% and Hertz Global (HTZ) dropped 9.2%, indicating market pressure and concerns regarding the fundamentals of the car rental industry.
- End of Short Squeeze: Over the past six weeks, Avis (CAR) surged over 250% and Hertz (HTZ) increased more than 50%, but as the short squeeze concluded, investors began to take profits, leading to the recent price pullback.
- High Short Interest Remains: Although short interest has decreased, both stocks still have over 20% of their float shorted, reflecting ongoing market concerns about the weak fundamentals of the rental car sector, particularly regarding EV transitions and thin margins.
- Shifting Market Sentiment: Following the volatility in stock prices, market sentiment has shifted, with Deutsche Bank adopting a cautious stance on Avis Budget, indicating investor reservations about the company's future outlook.
See More
Analysis of CAR Options Contracts and Investment Opportunities
- Put Option Appeal: The current bid for the $370.00 put option is $163.20, and if an investor sells this contract, they commit to buying the stock at $370.00, effectively lowering their cost basis to $206.80, which is approximately a 3% discount from the current price of $381.54, making it attractive for those interested in CAR.
- Return Potential Analysis: Should the put option expire worthless, it would yield a 44.11% return on the cash commitment, or an annualized return of 16.51%, positioning this contract as an appealing investment choice, particularly in the current market context.
- Call Option Returns: The $510.00 call option has a current bid of $174.00, and if an investor buys CAR shares at $381.54 and sells this call, they could achieve a total return of 79.27% if the stock is called away at the December 2028 expiration, highlighting the potential profitability of this strategy.
- Risk Assessment: The $510.00 call option has a 29% chance of expiring worthless, allowing investors to retain both their shares and the premium collected, which enhances the investment's safety margin, while the current implied volatility (82%) and actual volatility (70%) provide a comprehensive risk-reward analysis for investors.
See More
CAR Stock Soars Amid High Short Interest, Analysts Remain Cautious
- Stock Performance Surge: Avis Budget Group (CAR) shares have experienced a remarkable rally, climbing from $135.56 on March 30 to $411.50 by Tuesday's close, more than tripling in value and reaching new highs, indicating strong market optimism about its future performance.
- Increased Short Pressure: Short interest in CAR stock rose from 21.41% to 23% in April according to Koyfin data, suggesting that bearish sentiment remains high, which could lead to further price volatility, especially in the short term.
- Analyst Rating Changes: Deutsche Bank downgraded CAR from 'buy' to 'hold', primarily based on the company's fundamentals, yet acknowledged that technical factors could drive the stock higher, reflecting a divergence in analysts' views on the current share price.
- Retail Sentiment Shift: On Stocktwits, retail sentiment has shifted from neutral to bullish, although there is a significant influx of bearish users predicting a 30% decline, illustrating the complex market sentiment surrounding CAR stock that may influence future trading dynamics.
See More
Avis Budget Group Stock Downgraded Amid Valuation Concerns
- Downgrade Impact: Deutsche Bank downgraded Avis Budget Group's stock from 'Buy' to 'Hold', maintaining a $128 price target, indicating approximately 50% downside from current levels, reflecting market concerns over the company's valuation.
- Disappointing Earnings Forecast: Street estimates suggest Avis is expected to report a loss of $7 per share and revenue of $2.4 billion for the quarter ending March 2026, highlighting significant challenges in profitability, with CEO Brian Choi calling the results 'unacceptable'.
- Significant Stock Volatility: Despite gaining over 100% year-to-date, CAR shares fell 11% on Friday, marking the largest single-day loss since February 19, 2026, indicating extreme fluctuations in market sentiment.
- Retail Investor Sentiment: Despite the drop, retail sentiment on Stocktwits remains 'bullish' with extremely high message volumes, as some users still expect the stock to rise to $500, reflecting optimism for a potential rebound.
See More
