UWM Holdings jumps 36% as its inclusion on FTSE Russell list sparks social-media chatter

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  • Shares of UWM Holdings Corporation jumped 36% as its inclusion on the FTSE Russell list sparked social-media chatter. 
  • The mortgage company will be added to the Russell 1000 and Russell 3000 indices. 
  • The addition fueled social media chatter that had already been focused on mortgages following Rocket Companies’ 71% surge in the previous session.
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UWM Holdings Corporation jumped as much as 36% to $12.45 on Wednesday after the mortgage lender’s inclusion on the FTSE Russell IPO list propelled social media excitement that was already brewing around mortgage stocks following Rocket Companies’ massive rally a day earlier.

UWM will be added to both the Russell 1000 and Russell 3000, according to a FTSE Russell announcement on Tuesday. The mortgage company is one of 47 newly public companies that will be joining the indices. 

The Russell announcement coincided with mortgage stock excitement on Reddit’s WallStreetBets forum following Rocket Companies’ recent rally. Rocket spiked 71% on Tuesday with some investors viewing its high short interest as a potential target for the next GameStop-like short squeeze. 

“Yes $RKT is absolutely mooning right now. Did you miss the RKT Rocket? Don’t FOMO on the way back down to earth. Great news, there’s another one on the tarmac ready for liftoff. It’s name is $UWMC,” one WSB user posted Tuesday night. 

The user also detailed UWM’s strong fourth quarter earnings, dividend announcements, and addition to the Russell 1000 and 3000 indices as “catalysts” for the stock. 

Shares of Rocket Companies were down 9.3% Wednesday.

Read the original article on Business Insider