Three Top Short Squeeze Candidates For This Week

We post our DD here are some of our posts have been censored on Wallstreetbets due to the $1 billion market cap requirement. We would like to remind people that we were the first to announce SPRT as a top short squeeze candidate when it was trading at just $2.68 in May. It had just a $68 million market cap at the time and is now a WSB darling at three times the price. We are announcing here the three stocks that we think make top short squeeze candidates for the rest of the week. 

#1 Travere Therapeutics, Inc. (TVTX):

Shorts are in big trouble here. On Monday the company announced positive interim Phase 3 PROTECT study results with plans to submit a new drug application in the first half of 2022. The stock initially broke over $20 at market open but sunk to close at $17.82, up 15% on the day. Usually that would be a bearish sign but trading has been strong on Tuesday, as the stock is up 7% to about $19.00 in mid-afternoon trading. Volume has dissipated substantially from Monday's move, making short covering more difficult. 

Yahoo Finance data shows that there are 6.8 million shorts on a float of 41.2 million, approximately 16.5% short interest. Institutions hold 108.6% of the shares so shorts may find it increasing difficult to cover. If daily volume drops to 1-2 million shares a day, that makes it nearly impossible for them to exit their short position without creating a squeeze. 



























#2 BeyondSpring Inc. (BYSI):

BYSI had some great news, tripling on August 4th after its lung cancer treatment meets endpoints in Phase 3 trial. The stock price has been on a wild ride as shorts expected dilution, but no immediate dilution is in the plans. The stock price has pulled back to the low $20's, making it an ideal time for shorts to cover and minimize their losses, as well as an entry point for longs looking to buy in. 

Yahoo Finance data shows a short interest of 1.6 million on only 20.5 million shares outstanding for a short interest of 7.8%. 




























#3 Lightning eMotors, Inc. (ZEV):

ZEV spiked on a massive deal of up to $850 million with Forest River, a Berkshire Hathaway company and the largest shuttle bus manufacturer in North America. ZEV will be delivering 7,500 zero-emission Class 4 and Class 5 buses across the U.S. and Canada between 2021 and 2025. The initial reaction was very positive as the stock price soared to over $12. It has since pulled back to $8 post-earnings which represents a great buy in point as shorts will likely cover to minimize their losses from last week's major news. The company set a record for revenue, but growth was below very high expectations as it worked through supply chain issues. Those issues are now in the past. 

Yahoo Finance data shows that ZEV has 2.6 million shares short on 17.7 million float for a short interest of 14.7%. 





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