Once again, short squeeze stocks remain top of mind for investors. Indeed, given the heightened volatility we’re seeing today in the market, these stocks are becoming central to the focus for many retail investors.
And why not?
The market for small cap, high-growth stocks has never been more volatile. For traders and speculators, this volatility can be a great thing. Investors looking to utilize options or simply buy large positions in such short squeeze stocks have been rewarded in the past. Finding companies with high short interest levels, high borrow-fee rates, and low floats/price per share is becoming increasingly important.
In this light, investors have sought out various sources for such information. One top place investors continue to flock to is Fintel, a site that tracks these key metrics.
Let’s dive into the top short squeeze stock ideas for this week.
Top Short Squeeze Stocks for the First Week of October
According to Fintel’s short squeeze leaderboard, these five stocks top the list right now:
- Topping this week’s list is Biomerica (NASDAQ:BMRA). This biomedical company has seen a surge in interest of late due to a pandemic reopening thesis. However, short-sellers appear to have jumped on this stock as one that’s gotten ahead of its valuation. Currently, short interest on this company is around 9%, while the company’s cost to borrow is 46%, suggesting a limited float.
- Another company that has shot up the rankings of top short squeeze stocks is Progenity (NASDAQ:PROG). This company’s high borrow-fee rate and short interest ratio of 39% and 38%, respectively, make it so.
- Third on the list is Cellect Biotechnology (NASDAQ:APOP). This company’s triple-digit borrow-fee rate of 103% is the highest on this list. Accordingly, investors looking for highly shorted stocks (short interest of 31%) with the potential to squeeze are gravitating toward this company.
- Aterian (NASDAQ:ATER) has moved down the list three spots to fourth place this week. The company’s borrow-fee rate dropped to 80% from 88% last week, remaining elevated. Similarly, short interest in this stock remains sky-high at 32%.
- Marin Software (NASDAQ:MRIN) has maintained the fifth spot on this list for a second consecutive week. The company’s higher-than-average borrow-fee rate of 43% and short interest just below 10% provides for this company’s continued inclusion on this list.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.