6 Highly Shorted Tech Stocks With a Recent History of Rebounds

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 |  Includes: AFFX, GTATQ, IDCC, N, NVLS-OLD, SGI
by: Kapitall

If a stock consistently rebounds after it retreats, and those rebounds are much stronger than the pullbacks, the stock has a pattern of resilience. This behavior may bode well for future performance, as it indicates reoccurring momentum to the upside.

We ran a screen on stocks in the tech sector that are seeing high short interest, with short floats above 10%. We screened this universe for stocks with a history of repeated rebounds over the last quarter after hitting 3% or greater dips close-to-close.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.




We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.



List sorted by average rebound.

1. Silicon Graphics International Corp. (NASDAQ:SGI): Diversified Computer Systems Industry. Market cap of $442.23M. Short float at 15.10%. Over the last quarter, the stock fell at least 3% close-to-close on 11 occasions, with an average rebound of 5.57% over the following five days. It's been a rough couple of days for the stock, losing 7.1% over the last week.

2. InterDigital, Inc. (NASDAQ:IDCC): Wireless Communications Industry. Market cap of $3.10B. Short float at 10.55%. Over the last quarter, the stock fell at least 3% close-to-close on 8 occasions, with an average rebound of 4.35% over the following five days. Exhibiting strong upside momentum--currently trading 19.68% above its SMA20, 46.13% above its SMA50, and 52.85% above its SMA200. It's been a rough couple of days for the stock, losing 6.46% over the last week. The stock has had a good month, gaining 69.78%.

3. Novellus Systems, Inc. (NASDAQ:NVLS-OLD): Semiconductor Equipment & Materials Industry. Market cap of $2.77B. Short float at 12.07%. Over the last quarter, the stock fell at least 3% close-to-close on 5 occasions, with an average rebound of 4.05% over the following five days. Might be undervalued at current levels, with a PEG ratio at 0.76, and P/FCF ratio at 8.5. The stock is currently stuck in a downtrend, trading 6.42% below its SMA20, 8.87% below its SMA50, and 8.56% below its SMA200. It's been a rough couple of days for the stock, losing 6.08% over the last week.

4. Affymetrix Inc. (NASDAQ:AFFX): Scientific & Technical Instruments Industry. Market cap of $398.33M. Short float at 12.03%. Over the last quarter, the stock fell at least 3% close-to-close on 5 occasions, with an average rebound of 3.83% over the following five days. This is a risky stock that is significantly more volatile than the overall market (beta = 2.17). It's been a rough couple of days for the stock, losing 16.79% over the last week.

5. NetSuite Inc. (NYSE:N): Business Software & Services Industry. Market cap of $2.59B. Short float at 18.30%. Over the last quarter, the stock fell at least 3% close-to-close on 4 occasions, with an average rebound of 3.54% over the following five days. The stock has gained 164.22% over the last year.

6. GT Solar International, Inc. (SOLR): Semiconductor Industry. Market cap of $1.73B. Short float at 14.84%. Over the last quarter, the stock fell at least 3% close-to-close on 11 occasions, with an average rebound of 3.19% over the following five days. It's been a rough couple of days for the stock, losing 10.14% over the last week.

Price data sourced from Yahoo Finance, all other 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.