How to find severely undervalued stocks that are heavily shorted by screening the fundamental metrics

To find severely undervalued stocks that are heavily shorted, you should focus on stocks with a Price-to-Book (P/B) Ratio below 1 and a significant Short Interest Ratio or Short Interest Percentage. Here are the steps to screen for such stocks:

1. **P/B Ratio Below 1**
- This indicates that the stock is trading below its book value, suggesting it may be undervalued.
2. **High Short Interest Ratio or Percentage**
- A high Short Interest Ratio or Percentage suggests that the stock is heavily shorted by investors, which could be a sign of potential market skepticism or a bearish outlook.

However, no results were found with a Short Interest Ratio greater than 20%. This could be because such ratios often indicate that a stock is heavily shorted, which might not be desirable for investment. Therefore, it's better to use the Short Interest Percentage for a more flexible approach.

P/B Ratio < 1; Short Interest Percentage > 20%
|code|stock code|stock name|Last Price|Last Change|Price to Book Ratio[20250605]|Trading Date[20250331]|Interest Expenses on Short-term Debt[20250331]|EBIT[20250331]|Interest Expenses on Short-term Debt[20250331] / EBIT[20250331]|market_code|
|---|---|---|---|---|---|---|---|---|---|---|
|MBIN|MBIN.O|Merchants|31.56|0.637755|0.9482|20250605|3.3364E7|7.6498E7|0.43614212136265|186|
|TFC|TFC.N|Truist Financial|39.63|0.30372099999999996|0.9182|20250605|3.36E8|1.535E9|0.21889250814332248|169|
|GLBZ|GLBZ.O|Glen Burnie Bancorp|4.951|1.6632439999999997|0.837|20250605|225000|124000|1.814516129032258|186|
|ESSA|ESSA.O|ESSA Bancorp|18.14|0.165654|0.8266|20250605|1755000|4875000|0.36|185|
|CFSB|CFSB.O|CFSB Bancorp|13.65|0|0.6746|20250605|119000|13000|9.153846153846153|186|
|EGBN|EGBN.O|Eagle Bancorp|16.8|-2.040816|0.4666|20250605|8733000|2447000|3.5688598283612585|186|

Upon adjusting to Short Interest Percentage, I found **6** stocks that meet the criteria. You can explore these further for potential investment opportunities.