A "short squeeze" occurs when a stock with a significant number of shorted shares experiences a rapid price increase. This forces short sellers, who have borrowed and sold shares hoping the price will fall, to buy back those shares to limit their losses. This sudden demand to cover positions further drives the stock's price up, creating a self-reinforcing cycle.
To identify potential short squeeze candidates, Fintel's platform analyzes several key metrics:
- Short Interest: The total number of shares currently sold short.
- Short Interest as a Percentage of Float: This indicates how much of a company's publicly traded shares are held by short sellers. A higher percentage suggests greater short interest relative to available shares.
- Days to Cover: This metric calculates how many days it would take for short sellers to buy back all shorted shares, given the stock's average daily trading volume. A higher number suggests it would take longer to cover, potentially leading to a more intense squeeze.
- Short Borrow Fee Rate: The cost associated with borrowing shares to sell them short. A high borrow fee can indicate high demand for shorting the stock, but also increased pressure on short sellers.
Fintel provides a proprietary Short Squeeze Score, a multi-factor quantitative model ranging from 0 to 100, where higher numbers indicate a greater risk of a short squeeze. This score integrates short interest, float, short borrow fee rates, and other relevant metrics.
While specific "most short squeeze" stocks can change frequently, Fintel's platform offers dynamic leaderboards to track these opportunities. For example, some stocks that have recently shown high "Days to Cover" include:
- Keppel Ltd. (KPELF): Reported 999.99 Days to Cover as of July 15, 2025.
- Somnigroup International Inc. (SGI): Had 4.75 Days to Cover as of July 15, 2025.
- First Trust Exchange-Traded Fund VIII - FT Vest Emerging Markets Buffer ETF - September (TSEP): Showed 7.06 Days to Cover as of July 31, 2025.
For the most up-to-date list of potential short squeeze candidates, you can utilize Fintel's "Short Squeeze Leaderboards" for various markets, including the US, Canada, Australia, and Hong Kong, directly on the Fintel website.
