- Short squeeze stocks are trending as the market’s losses only widen
- Recession fears remain a growing concern amid global economic shortcomings
- Vertex Energy (NASDAQ:VTNR) tops this week’s list as the no. 1 short squeeze candidate based on Fintel’s data
Short squeeze stocks are top of mind for many investors this week following the S&P 500’s sixth consecutive week of declines. As recession rumors continue to swirl, let’s see what stocks some investors think could be a strong hedge against a pessimistic market.
The bears have been particularly active lately as global supply chain hiccups, rampant inflation and impending interest rate hikes continue to offer traders a less-than-ideal investing environment. The tech-heavy Nasdaq Composite has been hit particularly hard by the recent cold streak. The index is in the midst of its longest weekly losing streak in more than a decade.
Meanwhile, China remains largely shut down as its latest wave Covid-19 works its way through the country. Clearly, investors have reasons for their recent sheepishness, which doesn’t bode well for the greater economy.
Given the current market context, shorting stocks is in style, so to speak. Traders continue to prepare for a potentially even harder investing environment. With that in mind, let’s take a look at the latest from Fintel’s weekly Short Squeeze Leaderboard.
Top Short Squeeze Stocks This Week
Vertex Energy (NASDAQ:VTNR) is the top short squeeze candidate this week. The company has a short interest comprising 33% of its total float and a cost to borrow shares of 134%.
Second on the list is Veru (NASDAQ:VERU), with a raw short interest of 14.4 million shares, making up 27.7% of its total float. The company’s cost to borrow shares isn’t too extravagant, however, currently sitting at 10.55%.
Next up is Eliem Therapeutics (NASDAQ:ELYM), despite a slightly reduced short interest compared to last month. The company has a borrow fee rate of 13.83%.
Last week’s no. 1 short squeeze candidate, Medavail Holdings (NASDAQ:MDVL), claims the no. 4 spot on the list this time around. The company’s raw short interest has increased by more than 500% from last month, comprising 18.53% of its total float. The company’s borrow fee is currently 100.7%.
Finally, Camping World Holdings (NASDAQ:CWH) dropped one slot from last week with a slightly reduced short interest from last month. The company has a cost to borrow shares of 19.66%.
On the date of publication, Shrey Dua did not hold (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.
