Not all short-squeeze stocks are created equal. That’s why last week — amid the biggest and broadest short squeeze of the century — I told readers to forget the likes of GameStop (NYSE:GME), AMC Entertainment (NYSE:AMC), Bed Bath & Beyond (NASDAQ:BBBY) and Koss (NYSE:KOSS). Instead, I pointed readers to heavily shorted live TV streaming service provider fuboTV (NYSE:FUBO).

Since then, GME, AMC, BBBY and KOSS stock have all bounced around violently. FUBO stock, however, has surged higher by more than 20%.

Why?

Because fuboTV isn’t just a heavily shorted stock with huge short-squeeze potential. It’s also a fundamentally strong stock, with a ton of growth potential over the next few years.

We’ll see this bull scenario unfold as fuboTV evolves its first-of-its-kind live TV streaming service ecosystem with dynamic sports-betting capability. In other words, fuboTV’s stock has a ton of short-squeeze firepower and strong fundamentals.

That’s an explosive combination, which implies that (long after this market-wide short squeeze ends) fuboTV’s shares will continue surging higher as near-sighted bears are proven wrong by fundamentals.

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The best way for you to play the incoming short squeeze is simple: Buy FUBO stock on dips and hold on for dear life. This stock is going $200 … at least.

FUBO Stock: Heavy Short Interest

Over the past few weeks, fuboTV has been caught up in the huge short-squeeze rattling through the markets because, well, the stock is one of the most heavily shorted stocks in the market.

In the first half of December, fuboTV’s stock more than doubled over two weeks on the back of super-strong subscriber numbers. The strength in fuboTV’s subscriber base broadly foreshadows its huge role in the live TV streaming world.

On the heels of that huge rally, multiple short-sellers targeted FUBO. The favored argument amongst bears is that demand for live TV is dying, the streaming platform itself is commoditized and the business model is built on broken economics. Fubo’s short interest currently sits at about 65% of the float.

Then, the Reddit-inspired short-squeeze broke out. It wasn’t just GME stock that went flying. All heavily shorted stocks flew alongside GME stock. FUBO stock, with 65% of its float sold short, was a beneficiary of the rising tide in heavily shorted names.

But, this week, many of these short squeeze stocks have plunged.

Not FUBO stock — and that’s because fuboTV is no GameStop or AMC.

Unlike GameStop, fuboTV Is Fundamentally Strong

FuboTV — unlike many of the other heavily shorted companies that soared last week — is supported by very strong fundamentals and has a long runway for profitable growth ahead.

Here’s the story.

Media consumption is pivoting from linear TV to streaming TV because the latter is cheaper, more flexible, and more convenient. Yet, even though Netflix (NASDAQ:NFLX) has reached ubiquity among U.S. households, most households still pay for cable TV, because Netflix doesn’t have live sports, live programming or news — three things which Americans still love to watch.

That’s why a new generation of live TV streaming services has emerged over the past decade. These services take live TV content, and package it into a streaming service — somewhat like a “Netflix for TV”. Because demand for live TV is robust and because streaming TV offers significant advantages over linear TV, these live TV streaming services represent the future of TV and will one day be as commonplace in households as cable TV is today.

fuboTV is one of these live TV streaming services. It’s differentiation is that it is a sports-focused live TV streaming platform. That is, the company is hyper-focused on acquiring exclusive sports content and launching a digital sportsbook to enable dynamic sports betting through its live TV streaming platform.

In other words, fuboTV projects as a live TV streaming service purpose-built for sports super-fans and gamblers.

That’s a large audience. About 70% of Americans classify themselves as sports fans. Around 60% have gambled in the past year. That number is only growing with online sports betting becoming legal in more and more states.

Thus, fuboTV projects as a streaming platform that will one day have tens of millions of paid subscribers. It has just 500,000 paid subs today.

The runway for growth here is very long — and consequently, the potential upside in FUBO stock is very big.

FuboTV Stock to $200?

My numbers indicate that FUBO stock will soar to $200 over the next several years.

Here are those numbers.

I broadly assume that fuboTV can scale to ~10 million paid subscribers by 2030. I think that average revenue per subscriber per month can grow to about $70, assisted by ad revenue growth and sports betting revenue growth. That implies around $8.4 billion in 2030 revenues for fuboTV.

I see EBITDA margins running towards 20%, as ad revenue and sports betting revenue add higher-margin revenue firepower into the business model and boost margins.

Assuming so, my modeling suggests fuboTV is on track to do about $10 in earnings per share by 2030.

Based on a 20X multiple, that implies a long-term price target for FUBO stock of $200.

Bottom Line on FUBO Stock

Not all short squeeze stocks are created equal. On one hand, you have GME stock and AMC stock, who have tons of short squeeze firepower but very weak fundamentals. On the other hand, you have FUBO stock, who has almost as much short-squeeze firepower and strong fundamentals, too.

That’s a powerful combination which should sustain the current uptrend in FUBO stock not just for the next few days — but for the next few years, as well.