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The following is a list of highly shorted stocks, with enough cash to cover more than two quarters of their avg. quarterly expenses.

To compile this list we started with over 100 stocks with short float above 15%. We then calculated the average quarterly operating expense over the last four quarters, and compared it with current cash holdings for each firm. All companies listed below have more than 2x the cash necessary to fulfill for their avg. quarterly operating expenses.

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Considering the short interest on these stocks and their cash holdings, which of these names do you think is more prone to suffer a short squeeze?

1. InterDigital, Inc. (NASDAQ:IDCC): Wireless Communications Industry. Market cap of $2.23B. Float short 18.17%. Current cash holdings at $541.67M vs. average quarterly operating expenses over the last four quarters at $50.04M. Cash/Avg. Quarterly Operating Expenses at 10.82, i.e. the company can go 10.82 quarters without generating revenue and still cover the average quarterly operating costs. The stock has had a couple of great days, gaining 10.96% over the last week.

2. Concur Technologies, Inc. (NASDAQ:CNQR): Technical & System Software Industry. Market cap of $3.0B. Float short 15.49%. Current cash holdings at $606.39M vs. average quarterly operating expenses over the last four quarters at $66.46M. Cash/Avg. Quarterly Operating Expenses at 9.12, i.e. the company can go 9.12 quarters without generating revenue and still cover the average quarterly operating costs.

3. LogMeIn, Inc. (NASDAQ:LOGM): Information Technology Services Industry. Market cap of $1.13B. Float short 21.97%. Current cash holdings at $167.42M vs. average quarterly operating expenses over the last four quarters at $20.72M. Cash/Avg. Quarterly Operating Expenses at 8.08, i.e. the company can go 8.08 quarters without generating revenue and still cover the average quarterly operating costs. Exhibiting strong upside momentum--currently trading 20.55% above its SMA20, 20.69% above its SMA50, and 27.44% above its SMA200. The stock has had a couple of great days, gaining 16.13% over the last week.

4. Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR): Biotechnology Industry. Market cap of $931.60M. Float short 19.42%. Current cash holdings at $114.83M vs. average quarterly operating expenses over the last four quarters at $15.32M. Cash/Avg. Quarterly Operating Expenses at 7.49, i.e. the company can go 7.49 quarters without generating revenue and still cover the average quarterly operating costs. The stock has had a couple of great days, gaining 9.46% over the last week.

5. MIPS Technologies Inc. (NASDAQ:MIPS): Semiconductor Industry. Market cap of $519.89M. Float short 22.24%. Current cash holdings at $100.99M vs. average quarterly operating expenses over the last four quarters at $14.84M. Cash/Avg. Quarterly Operating Expenses at 6.81, i.e. the company can go 6.81 quarters without generating revenue and still cover the average quarterly operating costs.

6. Cree Inc. (NASDAQ:CREE): Semiconductor Equipment & Materials Industry. Market cap of $5.0B. Float short 21.95%. Current cash holdings at $1,110.83M vs. average quarterly operating expenses over the last four quarters at $192.55M. Cash/Avg. Quarterly Operating Expenses at 5.77, i.e. the company can go 5.77 quarters without generating revenue and still cover the average quarterly operating costs.

7. DuPont Fabros Technology, Inc. (NYSE:DFT): Property Management Industry. Market cap of $1.47B. Float short 20.34%. Current cash holdings at $226.95M vs. average quarterly operating expenses over the last four quarters at $48.95M. Cash/Avg. Quarterly Operating Expenses at 4.64, i.e. the company can go 4.64 quarters without generating revenue and still cover the average quarterly operating costs.

8. Entropic Communications, Inc. (NASDAQ:ENTR): Semiconductor Industry. Market cap of $678.29M. Float short 35.08%. Current cash holdings at $146.38M vs. average quarterly operating expenses over the last four quarters at $44.28M. Cash/Avg. Quarterly Operating Expenses at 3.31, i.e. the company can go 3.31 quarters without generating revenue and still cover the average quarterly operating costs. Note that this is a risky stock that is significantly more volatile than the overall market (beta = 2.47).

9. Veeco Instruments Inc. (NASDAQ:VECO): Semiconductor Equipment & Materials Industry. Market cap of $2.02B. Float short 27.71%. Current cash holdings at $639.31M vs. average quarterly operating expenses over the last four quarters at $197.44M. Cash/Avg. Quarterly Operating Expenses at 3.24, i.e. the company can go 3.24 quarters without generating revenue and still cover the average quarterly operating costs. Might be undervalued at current levels, with a PEG ratio at 0.64, and P/FCF ratio at 11.0.

10. STEC, Inc. (NASDAQ:STEC): Data Storage Devices Industry. Market cap of $1.02B. Float short 26.46%. Current cash holdings at $170.46M vs. average quarterly operating expenses over the last four quarters at $62.9M. Cash/Avg. Quarterly Operating Expenses at 2.71, i.e. the company can go 2.71 quarters without generating revenue and still cover the average quarterly operating costs.

11. Capella Education Co. (NASDAQ:CPLA): Education & Training Services Industry. Market cap of $816.64M. Float short 21.19%. Current cash holdings at $193.23M vs. average quarterly operating expenses over the last four quarters at $82.78M. Cash/Avg. Quarterly Operating Expenses at 2.33, i.e. the company can go 2.33 quarters without generating revenue and still cover the average quarterly operating costs.

12. NetLogic Microsystems Inc. (NASDAQ:NETL): Semiconductor Industry. Market cap of $2.80B. Float short 15.61%. Current cash holdings at $256.17M vs. average quarterly operating expenses over the last four quarters at $113.12M. Cash/Avg. Quarterly Operating Expenses at 2.26, i.e. the company can go 2.26 quarters without generating revenue and still cover the average quarterly operating costs.

13. Bridgepoint Education, Inc. (NYSE:BPI): Education & Training Services Industry. Market cap of $903.57M. Float short 20.23%. Current cash holdings at $279.13M vs. average quarterly operating expenses over the last four quarters at $124.21M. Cash/Avg. Quarterly Operating Expenses at 2.25, i.e. the company can go 2.25 quarters without generating revenue and still cover the average quarterly operating costs.

14. Bristol-Myers Squibb Company (NYSE:BMY): Drug Manufacturer. Market cap of $45.55B. Float short 19.56%. Current cash holdings at $7,301.0M vs. average quarterly operating expenses over the last four quarters at $3,353.25M. Cash/Avg. Quarterly Operating Expenses at 2.18, i.e. the company can go 2.18 quarters without generating revenue and still cover the average quarterly operating costs.

15. OpenTable, Inc. (NASDAQ:OPEN): Business Services Industry. Market cap of $2.55B. Float short 21.94%. Current cash holdings at $42.52M vs. average quarterly operating expenses over the last four quarters at $20.27M. Cash/Avg. Quarterly Operating Expenses at 2.1, i.e. the company can go 2.1 quarters without generating revenue and still cover the average quarterly operating costs.

16. True Religion Apparel Inc. (NASDAQ:TRLG): Apparel Clothing Industry. Market cap of $593.04M. Float short 23.11%. Current cash holdings at $153.79M vs. average quarterly operating expenses over the last four quarters at $73.45M. Cash/Avg. Quarterly Operating Expenses at 2.09, i.e. the company can go 2.09 quarters without generating revenue and still cover the average quarterly operating costs. Might be undervalued at current levels, with a PEG ratio at 0.67, and P/FCF ratio at 11.79.

17. Athenahealth, Inc. (NASDAQ:ATHN): Business Services Industry. Market cap of $1.56B. Float short 18.4%. Current cash holdings at $116.17M vs. average quarterly operating expenses over the last four quarters at $55.49M. Cash/Avg. Quarterly Operating Expenses at 2.09, i.e. the company can go 2.09 quarters without generating revenue and still cover the average quarterly operating costs.

18. First Solar, Inc. (NASDAQ:FSLR): Semiconductor Industry. Market cap of $13.42B. Float short 27.5%. Current cash holdings at $933.58M vs. average quarterly operating expenses over the last four quarters at $453.65M. Cash/Avg. Quarterly Operating Expenses at 2.06, i.e. the company can go 2.06 quarters without generating revenue and still cover the average quarterly operating costs.

*Operating expenses and cash data from Google finance, all other data from Finviz

Source: Squeeze Ideas: 18 Highly Shorted Stocks With Sufficient Cash to Cover Current Expenses