15 Stocks With Significant Short Covering Over the Last Month

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Includes: ADS, BPI, CAR, CTCT, ID, IRDM, MAKO, MDP, MR, PFCB, PWER, SKS, STRA, TWI, VVUS
by: Kapitall

Looking to follow the trends set by short sellers? The following list of 15 short squeeze stocks have seen a significant decrease in short sales over the last month, implying that short sellers believe their market values will soon rise.

To create this list we took a universe of stocks with market cap above $300M, and narrowed down the list to those with the greatest decrease in shares shorted relative to their float.

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.


Given this information, do you think the list of stocks below will rally? Full details below.

1. Bridgepoint Education, Inc. (NYSE:BPI): Education & Training Services Industry. Market cap of $1.24B. Shares shorted dropped from 10.04M last month to 8.86M this month. This change is equivalent to 6.6% of the 17.88M floating shares. Short float at 16.89% (equivalent to 15.75 days of average volume).

2. Power-One Inc. (NASDAQ:PWER):
Diversified Electronics Industry. Market cap of $869.46M. Shares shorted dropped from 33.48M last month to 29.88M this month. This change is equivalent to 3.69% of the 97.69M floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.16). Short float at 30.41% (equivalent to 7.2 days of average volume).

3. Constant Contact, Inc. (NASDAQ:CTCT):
Marketing Services Industry. Market cap of $708.75M. Shares shorted dropped from 8.68M last month to 7.73M this month. This change is equivalent to 3.3% of the 28.76M floating shares. Short float at 27.1% (equivalent to 15.25 days of average volume). The stock has performed poorly over the last month, losing 13.21%.

4. L-1 Identity Solutions Inc. (NYSE:ID): Security & Protection Services Industry. Market cap of $1.01B. Shares shorted dropped from 22.45M last month to 20.83M this month. This change is equivalent to 2.67% of the 60.67M floating shares. Short float at 27.97% (equivalent to 10.25 days of average volume). The stock has gained 55.52% over the last year.

5. VIVUS Inc. (NASDAQ:VVUS): Biotechnology Industry. Market cap of $718.18M. Shares shorted dropped from 20.11M last month to 18.67M this month. This change is equivalent to 2.61% of the 55.23M floating shares. Short float at 23.03% (equivalent to 7.75 days of average volume). Exhibiting strong upside momentum--currently trading 7.3% above its SMA20, 20.13% above its SMA50, and 20.61% above its SMA200.

6. Avis Budget Group, Inc. (NASDAQ:CAR):
Rental & Leasing Services Industry. Market cap of $1.85B. Shares shorted dropped from 16.24M last month to 14.83M this month. This change is equivalent to 1.76% of the 80.13M floating shares. Short float at 15.24% (equivalent to 9.11 days of average volume).

7. Strayer Education Inc. (NASDAQ:STRA):
Education & Training Services Industry. Market cap of $1.47B. Shares shorted dropped from 3.22M last month to 3.04M this month. This change is equivalent to 1.54% of the 11.68M floating shares. Short float at 25.% (equivalent to 12.96 days of average volume). The stock has lost 48.99% over the last year.

8. P.F. Chang's China Bistro, Inc. (NASDAQ:PFCB):
Restaurants Industry. Market cap of $918.06M. Shares shorted dropped from 5.06M last month to 4.73M this month. This change is equivalent to 1.48% of the 22.32M floating shares. Short float at 21.22% (equivalent to 9.1 days of average volume). The stock has lost 5.03% over the last year.

9. Alliance Data Systems Corporation (NYSE:ADS): Credit Services Industry. Market cap of $4.79B. Shares shorted dropped from 12.67M last month to 11.95M this month. This change is equivalent to 1.45% of the 49.56M floating shares. Short float at 24.14% (equivalent to 11.88 days of average volume). The stock has had a couple of great days, gaining 5.81% over the last week.

10. MAKO Surgical Corp. (NASDAQ:MAKO):
Medical Appliances & Equipment Industry. Market cap of $1.35B. Shares shorted dropped from 6.95M last month to 6.53M this month. This change is equivalent to 1.39% of the 30.24M floating shares. Short float at 17.08% (equivalent to 8.27 days of average volume). The stock has had a good month, gaining 19.84%.

11. Meredith Corp. (NYSE:MDP): Publishing Industry. Market cap of $1.44B. Shares shorted dropped from 8.40M last month to 7.91M this month. This change is equivalent to 1.25% of the 39.07M floating shares. Short float at 21.56% (equivalent to 17.36 days of average volume). The stock has lost 0.82% over the last year.

12. Titan International Inc. (NYSE:TWI):
Auto Parts Industry. Market cap of $1.16B. Shares shorted dropped from 9.77M last month to 9.27M this month. This change is equivalent to 1.25% of the 40.11M floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.03). Short float at 23.08% (equivalent to 9.8 days of average volume). The stock has had a couple of great days, gaining 7.89% over the last week.

13. Iridium Communications Inc. (NASDAQ:IRDM): Communication Equipment Industry. Market cap of $641.35M. Shares shorted dropped from 9.34M last month to 8.86M this month. This change is equivalent to 1.13% of the 42.58M floating shares. Short float at 18.45% (equivalent to 12.73 days of average volume). The stock has had a good month, gaining 13.92%.

14. Mindray Medical International Limited (NYSE:MR): Medical Instruments & Supplies Industry. Market cap of $3.40B. Shares shorted dropped from 14.43M last month to 13.55M this month. This change is equivalent to 1.1% of the 80.12M floating shares. Short float at 16.31% (equivalent to 16.93 days of average volume). The stock has gained 2.65% over the last year.

15. Saks Incorporated (NYSE:SKS): Department Stores Industry. Market cap of $1.85B. Shares shorted dropped from 30.71M last month to 29.57M this month. This change is equivalent to 1.07% of the 106.66M floating shares. This is a risky stock that is significantly more volatile than the overall market (beta = 2.63). Short float at 25.82% (equivalent to 9.2 days of average volume). The stock has gained 28.67% over the last year.

*Shorts data sourced from Yahoo Finance, rest of data sourced from Finviz.

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