Potential short squeeze plays gained steam in 2021 and have continued through 2022 with new traders looking for the next huge move.
High short interest and a high cost borrow are among the common traits that could lead to a short squeeze. Here’s a look at the top five short squeeze candidates based on the Fintel short squeeze leaderboard.
1. Hour Loop: E-commerce company Hour Loop (NASDAQ:HOUR) tops the leaderboard for the week, rejoining the leaderboard it was on in August. Data shows 15.65% of the float short and a cost to borrow of 55.5%. The stock moved up 19 places on the leaderboard, the biggest jump of the top five short squeeze candidates.
2. Indonesia Energy Corporation: Oil and gas exploration company Indonesia Energy (AMEX:INDO) ranks second on the leaderboard for the week, moving up one position. Data shows 16.2% of the float short and a cost to borrow of 196.6%. The stock moved up one position from last week, a move that comes after a 12-position jump in the previous week. The company previously topped the leaderboard earlier this year for several weeks in a row.
3. Pennsylvania Real Estate Investment: Mall owner and operator Pennsylvania Real Estate Investment Trust (NYSE:PEI) ranks third on the leaderboard, moving up 15 places from last week. Data shows 20.7% of the float short and a cost to borrow of 9.2%. The stock was on the short squeeze leaderboard back in July.
4. Beam Global: Electric vehicle charging company Beam Global (NASDAQ:BEEM) moves up three positions to re-enter the top five short squeeze candidates. Data shows 20.2% of the float short and a cost to borrow of 26.5%. The stock was previously on the short squeeze leaderboard in April.
5. Virgin Orbit Holdings: Satellite launch and space technology company Virgin Orbit Holdings Inc (NASDAQ:VORB) moves up 11 places to rank fifth on the short squeeze leaderboard. Data shows 15.2% of the float short and a cost to borrow of 82.5%. With a market capitalization of $1 billion, the company is the largest of the top 12 on the short squeeze leaderboard. The company was on the leaderboard last month, also ranking fifth.
Related LInk: Virgin Orbit Nears SPAC Merger: What Investors Should Know
Stocks to Watch: Outside of the top five short squeeze candidates, several names jump out based on making big moves from last week’s leaderboard.
Chicken Soup for Soul Entertainment (NASDAQ:CSSE) moves up 31 places to sixth place with 16.8% of the float short and a cost to borrow of 30.1%. The streaming company, which bought popular short squeeze candidate Redbox, is no stranger to the list and could be one to watch to rejoin the top five.
Forafric Global (NASDAQ:AFRI) has been grabbing headlines this year with its ties to the wheat industry. The stock moved up 706 positions to eighth place for the week with 14.7% of the float short and a cost to borrow of 234.3%.
Opal Fuels (NASDAQ:OPAL) moved up 57 positions to 11th place, with 9.1% of the float short and a cost to borrow of 83.7%.
Getty Images (NASDAQ:GETY) topped the leaderboard last week. The company moves down 12 places to 13th and has 84.5% of the float short and a cost to borrow of 181.7%, both up from last week. The stock could be on watch to re-join the top five candidates.
Heartcore Enterprises (NASDAQ:HTCR) ranks 16th on the leaderboard with a huge move up of 1,972 positions from last week. Data shows 11% of the float short and a cost to borrow of 426.6%.
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