KULR Technology Plunges 8.78% as Persistent Losses and Short Interest Surge Weigh on Investor Confidence

KULR Technology (KULR) fell 8.78% on Thursday, marking its fifth consecutive day of declines and a 16.67% drop over the past five trading sessions. The stock hit an intraday low not seen since June 2025, with a 9.68% swing from its opening price, signaling renewed investor caution.

Analyst optimism contrasts with the recent price weakness. Despite a consensus "Buy" rating and a $40.00 price target implying an 887.7% upside, the stock’s fundamentals remain challenging. The company continues to report losses, with earnings narrowing slightly from ($0.09) to ($0.07) per share, but profitability remains elusive. A negative P/E ratio of -6.98 and a modest P/B ratio of 2.41 highlight its speculative nature and limited near-term earnings potential.

Short interest dynamics underscore the stock’s volatility. At 22.22% of the float sold short, bearish positioning has intensified, with short interest rising 4.38% month-over-month. This elevated short interest ratio of 2.9 suggests potential for sharp price swings if short sellers rush to cover positions. However, the stock’s recent underperformance—down 85.74% year-to-date—reflects broader skepticism about its ability to deliver sustained growth.

Retail investor activity offers a mixed signal. While search and watchlist additions surged by 65% and 400% respectively in 30 days, institutional ownership remains low at 21.23%, leaving the stock susceptible to retail-driven swings. Positive news sentiment, with a score of 1.76 above the sector average, has not translated into price support, indicating a disconnect between market narratives and trading behavior. Insiders hold 11.21% of shares, but no recent trading activity suggests a lack of immediate confidence shifts from key stakeholders.

The stock’s trajectory hinges on balancing short-term speculative pressures with long-term analyst optimism. While the $40.00 price target reflects aggressive growth expectations, persistent losses, high short interest, and limited institutional backing create a volatile environment. Investors will need to monitor earnings updates and short-covering dynamics to gauge potential reversals in the near term.