Short Squeeze Round 2: GME, AMC, EXPR, OTRK, KOSS, LIVE

Meme stocks are back in play with round 2 of the short squeeze. GME breached $200 for the first time since February 1. All the other major meme stocks rose, and we are on the watch for more short squeeze potential. Here's a chart of the hottest meme stocks and short squeezes:


Data was grabbed from Yahoo Finance. We see that short interest as a percentage of the float remains high for GME at 60.35%, highlighting its continued potential to squeeze. Next highest on the list is OTRK with 30.21%. It's actually much higher than other meme stocks that moved today like AMC and EXPR. WSB is currently restricting posts on OTRK due to the $1 billion market cap rule, but other stocks with smaller market caps like EXPR get mentioned all the time. We think that the mods behind the group are trying to downplay OTRK so it doesn't run so much and they can load up cheaply before they let OTRK turn into a meme stock like the others. 

LIVE remains a dark horse play. The short interest is low, but it doesn't really need short interest because of its extremely small float of only 1.27 million shares. KOSS has always had a low short interest but that didn't stop the stock from running to over $100 from $10. LIVE's float is less than half of KOSS. Also LIVE is the only one in the group that has earnings and a P/E ratio. Most P/E ratios are around 20 so LIVE being at only 5 makes the stock four times undervalued. We think it can reach $100 to come more in line with average P/E ratio numbers. 


Comments

  1. UnknownMarch 8, 2021 at 9:09 PM

    $thmo and $ntn to the moon!!!!!

    ReplyDelete
  2. skipmannMarch 9, 2021 at 4:21 PM

    You need to add $PPBT to this list...NT219 curing cancer in humans, Morgan Stanley purchased %5 of the company earlier this month, low float, Sabby's vulture fund shorting it to hell - would love to see this go into a gamma squeeze and obliterate the shorts. Who would short a potential cancer cure?

    ReplyDelete
  3. UnknownMarch 10, 2021 at 8:56 AM

    NVIV to the moon? really? ok

    ReplyDelete
    Replies
    1. knightflyerJune 22, 2021 at 1:59 PM

      NVIV is at .72. Not exactly the moon but digest this: NVIV has a phase 3 fda trial now in the home stretch and it has cash on hand adequate to run to mid 2023. So what?
      The trial is for a synthetic spinal cord implant that more than doubles chances of completely paralyzed patients to "convert". There is no competition. An earlier pre-pivotal fda trial showed positive results on humans not rats, rabbits, mice or dogs. Current trial is for 20 patients and so far there are 14 recruits. Sounds like a decent gamble at .72.

      Delete
  4. RonsterMonsterAugust 31, 2021 at 12:16 PM

    LIVE has never been anywhere near $100. Highest historic is $75, but very respectable.

    ReplyDelete

Post a Comment

Popular posts from this blog

Carvana: The Gamma Squeeze is Real, Time to Bankrupt Kerrisdale

Image
Heavily shorted Carvana Co. (CVNA) is in the middle of a squeeze. One that looks eerily similar to the beginnings of the one we saw on GME that eventually made it run to $400 and took down Melvin Capital. Once again certain market players or commentators who focus on fundamentals and who misunderstand or downplay the short squeeze thesis will only add fuel to the fire as they short the stock. Will Carvana be able to refinance its debts next year? Will it become profitable by then? Who knows, and who cares. 2024 isn't the timeline here. The timeline starts as early as June 16, 2023. Triple witching day on options. This time Kerrisdale Capital is the target. The firm is in a desperate spot because the last short call it made was C3.ai, Inc. (AI). AI is in the middle of its own short squeeze and has nearly doubled into $40's since Kerrisdale tried taking it down: The AI report is still featured alongside on the CVNA one on Kerrisdale's website , so we can assume this position
Read more

The Next NVDA-Backed Runner and New Asian IPO Squeeze Play

Image
We have seen stocks like Super Micro Computer, Inc. (SMCI) and SoundHound AI, Inc. (SOUN) have incredible squeeze runs thanks to their connection to NVIDIA Corporation (NVDA). We think the next one will be Spire Global, Inc. (SPIR), which popped a week ago after it announced a collaboration with NVDA to enhance AI-driven weather prediction. A few day later it dropped on the announcement of a financing at $14, with the potential to raise $61 million if warrants at $14.50 are exercised. We think there is a good chance that NVDA got in on this financing, as it tends to invest in the companies it does these deals with when spreading AI across different sectors. One such recent example was with Recursion Pharmaceuticals, Inc. (RXRX) for AI in drug development.  It looks like SPIR didn't really need this financing as it has enough cash and looks like it will be cash flow and net income positive in 2024. This financing was of a strategic nature, not something led by brokers to fund a com
Read more

CVNA Squeezing, ROOT and RXRX are Next

Image
Earlier today we stated that Root, Inc. (ROOT) and Recursion Pharmaceuticals, Inc. (RXRX) were next to squeeze after Carvana (CVNA). One month ago  we mentioned  the gamma squeeze potential on CVNA. Now that this is at hand and the stock has more than doubled, it's time to go long on two other heavily shorted stocks that stand to benefit from the CVNA squeeze as desperate shorts have to cover.  The strategy worked perfectly as ROOT increased 19% and RXRX increased 16% on the day while CVNA rose another 40%. This will be just the beginning as shorts are hemorrhaging on multiple related positions. If you look at the chart for the day, it becomes very clear how highly correlated these three stocks are right now. This is undeniably a sign that shorts, particularly algo HFT shorts are covering simultaneously held positions.  CVNA  made a $126 million investment  into ROOT and has embedded its insurance program into its systems. So any improvement in financial performance on CVNA implie
Read more