5 Stocks with High Short Interest and Potential for a Short-Squeeze

Retail traders are looking for the next meme stock to go parabolic, and data from short analysis platform Fintel shows high short interest in several companies across various sectors. Cel-Sci Corporation, Stem Inc, System1 Group, INmune Bio, and Wheels Up Experience are ranked in order of their short squeeze score, with Cel-Sci boasting a score of 97.47. Wheels Up has the highest percentage of shares sold short, at 37%, while retail investors are increasingly focused on the luxury travel provider. All five companies have underperformed in 2025, with substantial year-to-date declines.

Bloom Energy Corp (NYSE: BE) has experienced a significant rally in its stock price, rising up to 60% over the past month. This surge is driven by several key factors, including the company's focus on renewable energy solutions and a high short interest of $1.14 billion, which could lead to a short squeeze. Analysts, such as UBS Group's Manav Gupta, have expressed optimism with a Buy rating and a new $41 per share valuation. Long-only fund managers, such as DekaBank Deutsche, have also increased their holdings in Bloom Energy stock by as much as 27.5%.

The company's focus on renewable energy solutions positions it well to benefit from growing demand for clean energy alternatives, especially with oil prices expected to rise in the second half of 2025. This trend is driven by ongoing geopolitical and economic uncertainty [1].

A key factor contributing to Bloom Energy's recent performance is its high short interest. As of the latest data, up to $1.14 billion worth of shorts are open in the market. This high short interest could lead to a short squeeze, where short sellers are forced to buy back the stock they borrowed to sell, creating additional buying pressure [1].

Analysts have also expressed optimism about Bloom Energy's prospects. UBS Group analyst Manav Gupta reiterated a Buy rating on the stock, coupled with a new $41 per share valuation, as of late July [1]. Long-only fund managers like DekaBank Deutsche have also increased their holdings in Bloom Energy stock by as much as 27.5% [1].

Despite the positive sentiment, there are some cautionary notes. Bloom Energy is set to report its next quarterly earnings results on July 31, which could impact the stock price. However, current market gauges suggest there is still plenty of upside left before earnings growth is fully priced in, with the stock trading at a PEG multiple of 0.7x [1].

Bloom Energy's financial health presents a mixed picture. While the company has demonstrated strong revenue growth, profitability remains a challenge, with a trailing twelve-month (TTM) EPS of -$0.05 and a net margin of just 0.29%. However, the company's gross margin stands at 29.1%, and its EBITDA margin is 7.84%, indicating some operational efficiency in its core business [2].

Bloom Energy's valuation metrics appear stretched relative to historical norms, with the stock trading at 5.41 times sales and 15.02 times book value. The forward P/E of 83.27 suggests high growth expectations are priced in [2].

Technical indicators show the stock may be overbought, with a 14-day RSI of 80.54 and 5-day RSI of 91.56. The stock trades well above its key moving averages, having gained 176.14% over the past year [2].

In conclusion, Bloom Energy's stock has shown significant momentum, driven by its focus on renewable energy solutions, high short interest, and analyst optimism. However, investors should be cautious and monitor the company's earnings report and other market indicators to assess the stock's potential future performance.

References:
[1] https://www.investing.com/analysis/bloom-energy-hits-52week-high-as-bulls-eye-a-massive-short-squeeze-200664670
[2] https://www.gurufocus.com/news/3027039/bloom-energy-be-downgraded-to-hold-amid-valuation-concerns