Squeeze Ideas: Nine Breakout Stocks With High Short Interest

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 |  Includes: BRLI, CALM, CBZ, CMPR, CREE, KBH, MNI, TREX, VVUS
by: Kapitall

The following is a list of highly shorted stocks, with short floats higher than 15%. All of the stocks mentioned below are approaching an inflection point, based on moving average trends. For this article, we define an inflection point as the convergence between the 50-day and 200-day moving averages.

When these two moving averages cross, it often represents a shift in investor sentiment. If the 50-day MA moves above the 200-day MA (bullish), it's called a "Golden Cross" signal. If, on the other hand, the 50-day MA crosses below the 200-day MA (bearish), it's called the "Death Cross."

All of the stocks mentioned below have recently seen the SMA50 move above the SMA200 (bullish). Now that these names are gaining upward momentum, will the inevitable short covering push these stocks even higher? What do you think?

Short float and moving average data sourced from Finviz.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Note: The numbers on top of items represent the forward P/E ratio, if available.



The list has been sorted alphabetically.

1. Bio-Reference Laboratories Inc. (NASDAQ:BRLI): Medical Laboratories & Research Industry. Market cap of $642.87M. SMA50 at $21.90 vs. SMA200 at $21.72 (current price at $23.30). Short float at 21.08%, which implies a short ratio of 23.01 days. The stock has gained 17.38% over the last year.

2. Cal-Maine Foods, Inc. (NASDAQ:CALM): Farm Products Industry. Market cap of $672.09M. SMA50 at $31.17 vs. SMA200 at $31.14 (current price at $28.58). Short float at 26.15%, which implies a short ratio of 24.04 days. The stock has lost -15.78% over the last year.

3. CBIZ, Inc. (NYSE:CBZ): Business Services Industry. Market cap of $328.91M. SMA50 at $6.34 vs. SMA200 at $6.32 (current price at $6.71). Short float at 19.59%, which implies a short ratio of 19.03 days. The stock has lost -11.21% over the last year.

4. Cree Inc. (NASDAQ:CREE): Semiconductor Equipment & Materials Industry. Market cap of $5.68B. SMA50 at $64.02 vs. SMA200 at $63.4 (current price at $52.19). Short float at 19.61%, which implies a short ratio of 5.52 days. The stock has lost -16.37% over the last year.

5. KB Home (NYSE:KBH): Residential Construction Industry. Market cap of $1.32B. SMA50 at $13.04 vs. SMA200 at $12.75 (current price at $14.60). Short float at 21.35%, which implies a short ratio of 5.07 days. The stock has lost -0.33% over the last year.

6. The McClatchy Company (NYSE:MNI): Newspapers Industry. Market cap of $440.09M. SMA50 at $4.2 vs. SMA200 at $4.02 (current price at $5.15). Short float at 30.5%, which implies a short ratio of 19.7 days. The stock has lost -1.71% over the last year.

7. Trex Co. Inc. (NYSE:TREX): Lumber, Wood Production Industry. Market cap of $365.01M. SMA50 at $21.49 vs. SMA200 at $21.1 (current price at $23.81). Short float at 17.35%, which implies a short ratio of 13.9 days. The stock has gained 36.32% over the last year.

8. Vistaprint N.V. (VPRT):
Business Services Industry. Market cap of $1.96B. SMA50 at $43.83 vs. SMA200 at $43.34 (current price at $45.03). Short float at 16.68%, which implies a short ratio of 14.58 days. The stock has lost -15.27% over the last year.

9. VIVUS Inc. (NASDAQ:VVUS): Biotechnology Industry. Market cap of $847.02M. SMA50 at $8.61 vs. SMA200 at $8.34 (current price at $8.89). Short float at 15.39%, which implies a short ratio of 4.13 days. The stock has gained 13.99% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.