Rumble Stock Brushes Off Dismal Q3 on Buyout Buzz

Core Insights - Rumble Inc's stock surged by 13.7% to $6.69 following the announcement of its acquisition of German AI firm Northern Data for approximately $767 million, despite disappointing Q3 results showing a loss of 8 cents per share on revenue of $24.76 million, both missing estimates [1] Group 1: Stock Performance - The recent stock price increase has allowed Rumble to rebound from nearly 12-month lows, although daily moving averages from 20 to 320 days remain above as potential resistance [2] - Since the beginning of 2025, Rumble's equity has declined by 48.5% [2] Group 2: Options Activity - There has been significant options activity, with 7,033 calls exchanged, which is five times the typical call volume, compared to only 835 puts [2] - The most popular option is the weekly 11/14 7-strike call, with new positions being opened [2] Group 3: Short Selling Dynamics - A portion of the stock's price movement may be due to short covering, as 17.8% of the available float is sold short, requiring over six days for shorts to cover at the average trading pace [3] - The stock's 14-day Relative Strength Index (RSI) is at 20, indicating it is in "oversold" territory, which often precedes a short-term bounce [3]