Bears Load Up Into Earnings Week

An earnings-heavy week is drawing unusual options and short interest attention to several names where sentiment looks sharply divided.

Hertz is the most striking case. Short interest just hit 35% of the float as bears add into Q2 earnings. Days-to-cover sits at 13.5. The stock is down 69% year-to-date. RSI at 26.7 suggests oversold conditions. Traders appear split — that setup can trigger violent moves in either direction once results land.

SoundHound AI enters its own earnings with a short score of 81.3, one of the highest on the market. DTC stands at 8.3 days. Shorts are still trapped after past volatility but haven't bailed. The stock is already off 38.5% year-to-date. The implied tension between squeezed longs and aggressive bears points to elevated options premiums into the print.

Summit Therapeutics carries a short score of 74.8 and DTC at 9.3 days. The stock has shed 25.6% in 2026. Analysts see 117% upside from current levels. That gap between bear positioning and analyst targets makes it a prime candidate for outsized options moves.

Chewy tells a different story. Short sellers are rebuilding positions as the stock rallies. Short score is 59.8. The options market will likely price rising implied volatility into its next earnings date.

Broader market options flow shows elevated bullish sentiment. Multiple large-cap names register 100% positive options flow this week — including financials like PNC and BNY Mellon — suggesting macro put hedges remain muted for now.

Not financial advice. ORTEX data as of August 1, 2026.