One of the most powerful tradable market events is a short squeeze, so traders are always on the lookout for the next short squeeze candidate. S3 Partners analyst Ihor Dusaniwsky has just released a list of potential short squeeze stocks based on S3's proprietary Squeeze Score rating
The Squeeze Score incorporates S3's Crowded Score, a measure of a stock's total short interest, short percent of float, stock loan liquidity and trading liquidity.
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Dusaniwsky says a stock can be "crowded" with short selling and still not be a good short squeeze candidate unless short sellers have endured substantial losses and are being forced to exit the position. S3's Squeeze Score also incorporates a stock's days-to-cover and short seller losses over the past 30 days and seven days.
“Having a high Squeeze Score does not guarantee that a stock will be squeezed — but it does highlight stocks that have a much higher squeeze potential than most other stocks in the market,” Dusaniwsky said.
When a stock’s borrow fees spike, it applies pressure to short sellers to choose between closing out their positions or letting fees eat into any potential gains.
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Short Squeeze Candidates: Here’s a look at the 12 stocks that have the highest Squeeze Score and post potential for a short squeeze, according to S3 Partners. Total short interest is included for each stock:
- Faraday Future Intelligent Electric Inc (NASDAQ: FFIE), $118.6 million.
- Canoo Inc (NASDAQ: GOEV), $132.5 million.
- Gossamer Bio Inc (NASDAQ: GOSS), $133.3 million.
- Verve Therapeutics Inc (NASDAQ: VERV), $224 million.
- Lightwave Logic, Inc. (NASDAQ: LWLG), $176.6 million.
- Beam Therapeutics Inc (NASDAQ: BEAM), $799.3 million.
- Cowen Inc (NASDAQ: COWN), $185.2 million.
- Veru Inc (NASDAQ: VERU), $185.2 million.
- Beyond Meat Inc (NASDAQ: NASDAQ:BYND), $843.9 million.
- Fate Therapeutics Inc (NASDAQ: FATE), $696.1 million.
- Allogene Therapeutics Inc (NASDAQ: ALLO), $265.6 million.
- SpringWorks Therapeutics Inc (NASDAQ: SWTX), $353.5 million.
Latest Ratings for FFIE
| Nov 2021 | Wedbush | Downgrades | Outperform | Neutral |
| Aug 2021 | Wedbush | Initiates Coverage On | Outperform |
View the Latest Analyst Ratings
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