Show me stocks with high short squeeze possibility
7/27/2025 09:21pm
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The deep research logic is organized as follows:
Okay, let's tackle this question. The user wants to see stocks with high short squeeze possibilities. First, I need to check the references provided.
Looking at the references, there are several mentions of Kohl's (KSS), Plug Power (PLUG), and Rocket Companies (RKT). These stocks have high short interest percentages and recent price movements that suggest potential short squeezes.
Kohl's has a short interest of around 49.31% of its float, which is quite high. There's also recent news about a short squeeze triggered by retail activity, which aligns with the user's interest in market sentiment and tech-related stocks, even though KSS is a retail company. The user's profile mentions tech stocks, but the short squeeze potential here is significant.
Plug Power (PLUG) has a short interest of 25.91% and is mentioned in the context of high speculative trading. The user is into tech, so PLUG fits as it's related to hydrogen fuel cells and has been a target for retail traders. The high short interest and recent price volatility make it a candidate for a short squeeze.
Rocket Companies (RKT) has a short interest of 49.88% and is part of the "DORK" stocks, which are being hyped on social media. The user's interest in tech and market sentiment makes RKT relevant, especially with upcoming earnings that could trigger a squeeze.
I should also consider the user's preference for blue-chip stocks and tech sectors. While KSS isn't a tech stock, the short squeeze potential is strong. PLUG and RKT are more tech-related, fitting the user's interests better.
The user's investment style includes technical analysis and a focus on market sentiment, so highlighting the recent price movements and short interest metrics would be important. Also, the user's risk tolerance for cutting losses means mentioning the risks associated with short squeezes is necessary.
I need to structure the answer with clear sections for each stock, including key metrics like short interest percentage, days to cover, and recent price changes. Including the latest data from the references will make the analysis more credible. Also, since the user prefers short to medium-term investments, the analysis should focus on near-term catalysts like earnings releases or retail activity.
Finally, I should ensure the answer is concise, uses markdown tables for clarity, and includes the necessary citations from the references. The conclusion should summarize the findings and align with the user's investment preferences.
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### 🚨 **Conclusion** 🚨
Based on the latest data and market dynamics, **Kohl's (KSS)**, **Plug Power (PLUG)**, and **Rocket Companies (RKT)** exhibit the highest short squeeze potential due to their elevated short interest levels, retail-driven momentum, and upcoming catalysts. These stocks align with your interest in market sentiment and tech-related themes, though KSS is a retail play with speculative appeal.
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### 📊 **Analysis of High Short Squeeze Candidates** 📊
#### 1. **Kohl's (KSS)**
- **Short Interest**: 49.31% of float
- **Days to Cover**: 5.0 days
- **Recent Price Action**: Surged 90% in a single day (July 2025) due to Reddit-fueled buying .
- **Why It Matters**: Retail traders view KSS as a "GME 2.0" play, with institutional short positions at risk of forced covering .
- **Risks**: High volatility and potential reversal if fundamentals fail to justify the rally .
| Metric | Value | Implication |
|-----------------------|----------------|---------------------------------------|
| Short Interest Ratio | 6.61 | High, indicating bearish sentiment |
| Institutional Shorts | 49.31% | Large institutional overhang |
| Price Momentum | +90% (1-day) | Retail-driven surge |
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#### 2. **Plug Power (PLUG)**
- **Short Interest**: 25.91% of float
- **Days to Cover**: 2.0 days
- **Recent Catalysts**: Tripled in price over 6 months .
- **Why It Matters**: High borrowing costs (47.2%) signal intense shorting activity .
- **Risks**: Weak fundamentals (ROE = -82.52%) and high debt .
| Metric | Value | Implication |
|-----------------------|----------------|---------------------------------------|
| Short Interest Ratio | 2.0 | Moderate, but rising |
| Float Utilization | 29.41% | Low float makes squeeze more likely |
| Price Momentum | +24.28% (52w) | Volatility-driven gains |
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#### 3. **Rocket Companies (RKT)**
- **Short Interest**: 49.88% of float
- **Days to Cover**: 5.07 days
- **Recent Catalysts**: 47.7% YTD rally ahead of Q2 earnings (July 31, 2025) .
- **Why It Matters**: Part of the "DORK" meme stock group, with retail traders hyping its AI and real estate tech angle .
- **Risks**: High institutional ownership (37.98%) .
| Metric | Value | Implication |
|-----------------------|----------------|---------------------------------------|
| Short Interest Ratio | 6.0 | High, but manageable |
| Float Utilization | 36.17% | Moderate float risk |
| Price Momentum | +47.7% (YTD) | Speculative rally |
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### 📉 **Key Risks & Takeaways** 📉
1. **Short Squeeze Volatility**: Prices can swing sharply, requiring disciplined risk management (e.g., options hedging).
2. **Fundamental Weakness**: Most of these stocks lack profitability (e.g., PLUG’s ROE = -82.52%) .
3. **Institutional Overhang**: High institutional short positions (e.g., 49.31% for KSS) could amplify price swings.
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### 🎯 **Final Take** 🎯
For a tech-savvy investor like you, **Plug Power (PLUG)** and **Rocket Companies (RKT)** offer the best balance of short squeeze potential and tech-related themes. However, proceed with caution and consider pairing long positions with protective puts to hedge downside risk.