This edition will look into the top 5 stocks on our Short Squeeze Leaderboard.
The Short Squeeze Screener and Leaderboard uses an advanced quantitative model to track companies with the highest likelihood of experiencing a short squeeze. This is a short squeeze stocks list or short interest tracker that can be an integral part of your investing or trading research.
This model is a proprietary, multi-factor model that uses several factors, including Short Interest % Float, Short Borrow Fee Rates, and others. Here are the stocks, in reverse order.
5. Ion Geophysical - Score 97.74
Ion Geophysical (NYSE:IO) has fallen two spots this week to 5th rank. Ion Geophysical provides acquisition equipment, software, planning and seismic processing services, and seismic data libraries to the global oil & gas industry.
The stock has fallen -49% since the beginning of 2022 and is down -79.2% over the past year. The stock has 15.94% of the float currently shorted and a market cap of $14.7 million. On Apr. 12, the company filed for voluntary Chapter 11 bankruptcy protection, and the firm was awarded a 5-year contract with Brunei Shell (LON:RDSa) Petroleum last week.
IO was downgraded to ‘sell’ from ‘buy’ at Alliance Global Partners (NYSE:GLP) this week, following the bankruptcy filing.
4. Veru - Score 97.84
Veru Inc (NASDAQ:VERU) has jumped +229 positions this week to 4th rank on the leaderboard. Veru is an oncology biopharmaceutical company focusing on developing novel medicines for the management of breast cancer and prostate cancer.
VERU has more than doubled since the beginning of 2022, gaining +191.6% after announcing efficacy and safety results from a Phase 3 COVID-19 clinical trial. The stock now has 21% of its float shorted as investors bet against the significant recent gains.
Interestingly, VERU has a Gamma Squeeze Score of 89.91, indicating a higher chance of a gamma squeeze.
Institutions remain bullish on the stock and have a consensus ‘buy’ rating with an average target of $29.20, implying +120.5% further upside to the current price.
3. 51job - Score 98.29
51job (NASDAQ:JOBS) has gained two spots this week and is currently in 3rd rank. 51job is a leading human resource solutions provider in China, offering a broad array of services in recruitment solutions, training and assessment, and HR tools and outsourcing services.
JOBS has gained +25.6% year to date but is down -2.7% over the past year. The stock reached an annual low point around the ~$45 mark at the beginning of January before recovering in the three months following. The stock has 33.2% of its float currently shorted, giving it a higher likelihood of a short squeeze.
JOBS reported Q4 results at the start of the month, with EPS falling slightly over the year while revenue grew +16% over the corresponding prior period. The stock has a ‘hold’ rating at Morgan Stanley (NYSE:MS) Morgan Stanley) with a target price of $57.25.
2. Harbor Custom Development - Score 98.88
Harbor Custom Development (NASDAQ:HCDI) jumped 60 positions this week to the 2nd spot on the leaderboard. HCDI is a developer of residential properties in Seattle.
HCDI has fallen -9.1% since the start of 2022 and is down -28.7% over the past year. The stock has seen a +26.4% after the company restated its recent results and after listing six multi-family projects worth $278 million. HDCI currently has 23.88% of its capital shorted.
The stock is covered by ThinkEquity and has a ‘buy’ rating with a target price of $8, implying a +221% upside to the current price.
1. Aterian - Score 99.59
Aterian (NASDAQ:ATER) has held 1st spot this week on top of the leaderboard. Alterian is a technology-enabled consumer products platform that builds, acquires, and partners with electronic commerce (e-commerce) brands using data science.
TER has gained +26.7% since the beginning of 2022 and is down -78.5% over the last year. The stock currently has 36.86% of its capital shorted. We also noticed that ATER has a Gamma Squeeze Score of 97.81, indicating a higher chance of a gamma squeeze.
Aterian appointed Anton von Rueden as COO in April, who will oversee the firm's global supply chain operations and will be based out of the US.
ATER is covered by various institutions and has a consensus ‘buy’ rating with an average target price of $6.80, implying a +28.5% upside. Several brokers revised targets lower after the firm's Q4 result in early March.