NuScale Power Shares Drop 0.89% with 250th-Ranked Volume Short Interest Falls 6.4% but High Exposure Lingers

NuScale Power (SMR) closed at a 0.89% decline on August 21, 2025, with a trading volume of $340 million, a 27.38% drop from the prior day, ranking it 250th in market activity. Short interest in the stock totaled 26.8 million shares, representing 22.07% of its float, a decrease of 6.4% from July 1’s 28.64 million shares. This reduction suggests easing bearish sentiment, though the high short percentage remains a cautionary indicator.

The short interest ratio for NuScale stands at 2.0, calculated by dividing shorted shares by average daily volume, signaling moderate positive investor sentiment. Institutional short positions include entities like Sculptor Capital LP, JPMorgan Chase & Co., and Walleye Capital LLC. While a ratio below 4 typically reflects optimism, the 22.07% short float compares unfavorably to peers such as AMETEK (0.98%) and Northern Technologies (0.58%), highlighting NuScale’s elevated short exposure.

A potential short squeeze looms if NuScale’s stock rises, as short sellers may be forced to cover positions, exacerbating upward price pressure. However, the recent decline in short volume indicates a shift in market positioning. Analyst ratings and broader sector dynamics remain neutral in the absence of specific news impacting NuScale’s fundamentals.

The backtested strategy of holding the top 500 high-volume stocks for one day from 2022 to 2025 achieved a compound annual growth rate of 6.98%, with a peak drawdown of 15.59% recorded in mid-2023. This underscores the strategy’s resilience but emphasizes the necessity of risk mitigation in volume-driven approaches.