Zinger Key Points
- Several stocks that have announced recent reverse stock splits are among the top short squeeze candidates.
- Two stocks make big moves into the top five short squeeze candidates.
- Get New Picks of the Market's Top Stocks
Potential short squeeze plays gained steam in 2021 and continued through 2022, with new traders looking for the next huge move.
High short interest and a high cost to borrow are among the common traits that could lead to a short squeeze.
Here’s a look at the top five short squeeze candidates this week based on the Fintel short squeeze leaderboard and some other stocks to watch moving up the list.
- Edible Garden EDBL: Toppin the short squeeze leaderboard for the week is Edible Garden, a leader of sustainable produce grown in greenhouses. Data shows 151.3% of the float short and a cost to borrow of 105.1%. A reverse stock split happened on Edible Garden shares last week.
- Getty Images GETY: No stranger to the short squeeze leaderboard since going public via SPAC merger, Getty Images ranks second on the leaderboard. Getty Images moves up one position from last week’s leaderboard. Data shows 99.1% of the float short and a cost to borrow of 154.0%.
- Kala Pharmaceuticals KALA: The clinical-stage biopharmaceutical company falls two places to third place after topping the leaderboard for two straight week. Data shows 17.6% of the float short, down from last week’s 36.9% figure. The cost to borrow on shares is 277.5%, down from last week’s 288%. Shares of Kala previously soared after the FDA accepted its investigational new drug application.
- Swvl Holdings Corp SWVL: Mobility company Swvl Holdings saw shares fall after announcing a reverse split recently. The stock moves up 1,785 positions to rank fourth on the short squeeze leaderboard, the biggest jump of the top ten candidates. Data shows 111.8% of the float short and a cost to borrow of 82.0%. The company recently saw shares fall after announcing a 1-for-25 reverse split.
- Sientra Inc SIEN: Plastic surgery company Sientra moved up 1,030 positions to rank fifth for the week. Data shows 122.4% of the float short and a cost to borrow of 7.0%. The company recently announced a reverse split.
Related Link: GameStop Short Squeeze Anniversary: A Look Back At David Vs. Goliath Battle And What's Next
Stocks to Watch: Outside of the top five short squeeze candidates, several other names are making big moves and could be ones to watch for investors.
- MicroStrategy MSTR: Software company and Bitcoin BTC/USD holder MicroStrategy falls two places to rank fourth. Data shows 37.3% of the float short and a cost to borrow of 36.1%. The company reports quarterly earnings this week and has been a frequent short-seller target.
- PaxMedica Inc PXMD: After ranking in the top five candidates for several weeks, PaxMedica falls six places to eighth place. Data shows 17.5% of the float short, down from last week’s 30.5%. The cost to borrow on shares is listed at 685.1%, down from last week’s 810.9%, but remaining as one of the highest figures seen in recent weeks.
- Aptorum Group APM: Making one of the biggest jumps of the week is biopharmaceutical company Aptorum. The stock moves up 1,293 places to eleventh. Data shows 9.4% of the float short and a cost to borrow of 28.6%.
- Golden Sun Education GSUN: Chinese tutoring company Golden Sun ranks 14th for the week moving up 592 positions. Data shows 11.7% of the float short and a cost to borrow of 226.6%.
- Tailwind Acquisition TWND: SPAC Tailwind ranks 15th on the leaderboard, moving up 73 positions. The company is merging with industrial company NUBURU in a deal that was approved in December. Data shows 8.5% of the float short and a cost to borrow of 26.5%.
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