Webull stock jumps 10% as options bulls pile in

Webull (ticker BULL) rose more than 10% Wednesday, trading up to $6.12 after earlier weakness. Options activity skewed strongly to calls, with call volume around 40,000 and put volume near 10,240. Open interest stood at roughly 31,235 for calls and 6,455 for puts, producing a put/call open-interest ratio of about 0.21.

The gain tracked broader strength among retail brokers. Robinhood’s shares rose more than 10% and Interactive Brokers climbed about 5% on the same day.

The stock has shown volatile price swings. It fell to $4.52 in April, rallied to $7.53 on April 21, then dropped to about $5.40 before Wednesday’s rebound to $6.12. Chart patterns include a descending channel resembling a falling wedge, and the shares are attempting to trade above the 50-day moving average. A return to $7.53 would mark the most recent high; a drop below $5.36 would put earlier support at risk.

On the financial side, Webull reported revenue of $159.9 million in its most recent quarter, a 36% increase from a year earlier. Operating expenses rose 65%, widening the net loss to more than $21 million. The company reported a user base of about 27.6 million in the first quarter, up from 24.1 million a year earlier, and funded accounts increased to 5.11 million. Equity notional trading volume rose to $261 billion from $128 billion over the same period.

Analysts’ average revenue forecast calls for about $714 million this year, roughly a 25% increase, and about $894 million next year. Much of the projected growth is tied to the U.S. business after the Securities and Exchange Commission ended the pattern day trader rule, a change expected to increase activity among smaller traders. Webull has also obtained licenses in markets including Hong Kong, Canada and the European Union.

The stock remains more than 92% below its peak in April of last year.