The short squeeze has been all the rage in the markets since back in 2021 when some largely unheralded stocks managed to go on remarkable rallies on the back of such moves. When there is a building short position in stock from short sellers, there might be another group of investors who may decide to target the stock and buy it up. As the price keeps rising, short sellers tend to close their positions in order to minimize losses and that results in a further rise in the stock price. However, it is difficult to figure out which stocks may go through such a move. This article is going to give you a glimpse into three stocks that may be targets of a short squeeze.
FaZe Holdings (NASDAQ:FAZE) – The first one to make it to the list is the digital content and eSports firm FaZe Holdings. The stock is currently regarded as one of the prime candidates for a short squeeze and the data confirms that.
The stock has a low float and at the same time, the short interest remains high. It has been revealed that as much as 99.4% of the float is short and at the same time the cost of borrowing the stocks stands at 1058.1%. Last week the cost of borrowing was 678.1%.
TDH Holdings (NASDAQ:PETZ) – The next one that you may consider looking into if you are looking for some short squeeze action is the TDH Holdings stock. The short position in the stock has been building and like last week, it remains one of the prime candidates. As much as 27.2% of the float remains short and the cost of borrowing is now 57.4%, which is lower than the 61.7% of last week.
Blue Apron Holdings (NYSE:APRN) – Last but not least, is the meal kit firm Blue Apron Holdings which is expected to be one to watch over the coming days. The cost of borrowing the stock has actually gone up from 25.8% last week to 28% at this point in time and that makes it a major candidate for a short squeeze. Additionally, as much as 36% of the float is currently short.