Short Sellers Are Circling the Next Big Squeeze

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•  10 May 2025
 

$TEAM (Atlassian) saw short interest surge 35.89% in its latest report—an aggressive move by the bears. The stock trades just under $210, well off its 52-week high of $326. While its fundamentals have taken a hit (EPS is still negative), this level of bearish positioning suggests a make-or-break moment is on the horizon. The downtrend is intact, but with the RSI approaching oversold territory, traders should be on alert for a bounce—or a breakdown.

$CROX (Crocs) tells a different story. Short interest has fallen 11.88%, even as the stock has been trading sideways. With a P/E of just 6.73 and strong fundamentals, this could be a case of shorts getting out of the way ahead of a move higher. The RSI at 63 suggests momentum is gradually building, and any bullish breakout above its 50-day moving average could turn heads fast.

$YUMC (Yum China), where short interest rose 7.08%. The stock is in a clear downtrend, with shares stuck below all key moving averages. While bears are doubling down, contrarians may see value here, especially with the RSI dipping and volume well below average. The potential for a sharp reversal exists if sentiment shifts.

$PLNT (Planet Fitness) is down over 4% on the week, and short interest has also fallen nearly 8%. Yet the stock sits in no-man’s land—caught in a sideways trend with limited conviction in either direction. It's worth watching, but lacks the near-term catalysts that could spark outsized moves.

$OSIS (OSI Systems) is quietly pushing higher in an uptrend, with short interest dropping 3.39%. This one has strong fundamentals, positive EPS, and low beta—all signs of underlying strength. If it breaks above its 52-week high of $227, it could attract fresh momentum players and leave short sellers scrambling.

Bottom line: Among the high short float names, $CROX stands out as the most attractive near-term opportunity. Shorts are backing off, valuation remains compelling, and technicals suggest a base is forming. If the stock can reclaim its 200-day moving average, the next leg up may catch many off guard.