There have been some rather incredible moves among highly shorted stocks in recent days. Among the short squeeze stocks in focus for many investors is trucking company Yellow (NASDAQ:YELL), which saw an incredible move higher (and lower) over the past two weeks as it made various announcements tied to its bankruptcy.
As it happens, Yellow is one of the top five companies to make Fintel’s recent list of short squeeze stocks to watch. The companies that adorn this list do so as a result of a combination of factors which experts believe make them much more susceptible to violent moves higher. Indeed, Yellow’s previous moves attest to the validity of this list, at least over the near term.
Interestingly, this list gets updated on a weekly basis, providing investors with new focal points ever five trading days. So, let’s dive into which stocks Fintel believes have the best chances of squeezing higher from here.
5 Top Short Squeeze Stocks to Watch Right Now
First on Fintel’s list of short squeeze stocks isn’t actually Yellow. This week, Blue Apron (NYSE:APRN) stock is the top dog, sporting a very high short interest of 33.3% and a borrow fee rate of 99%. The company’s price momentum over the past month appears to be the deciding factor in it moving up to the top position, with a slightly higher short squeeze score than the second entry on this list.
Which stock places second? That entry belongs to Intuitive Machines (NASDAQ:LUNR), which actually comes in with a higher short percent of float — a whopping 164.4% — and a borrow fee rate of 190%. The company does appear to have a slightly higher number of shares available as well as a larger market capitalization, which may have kept it at second place.
Next, Aurora Acquisition (NASDAQ:AURC) comes in third, showing a relatively modest short percentage (11.4%) but a sky-high borrow fee rate of 327.5%. Generally, when companies have stocks that are this expensive to borrow, it only makes sense for short sellers to hold positions for very short periods of time. Any sort of uptick in price and speculators are likely out of this name.
Meanwhile, Yellow takes the fourth spot on this list, with 71.3% of its float sold short and a borrow fee rate of 145.7%. These numbers are certainly astronomical relative to the average stock, meaning that even though the company is in fourth place on this list, it’s likely atop most investors’ short squeeze watch lists given its prominence.
Finally, Getty Images (NYSE:GETY) rounds out Fintel’s list. The company’s short percentage of float actually tops the list at 183.5%, although its relatively low borrow fee rate (“only” 67.5%) somewhat cancels out this factor. Notably, Getty’s market capitalization of $1.9 billion is by far the largest of the top five companies listed by Fintel.
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On the date of publication, Chris MacDonald did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
