Shorts, Chips, and a Heavy Earnings Week Ahead

Short Sellers Pick Their Battles

Bears are moving decisively into the rental car sector. HTZ (Hertz) now has 84.6% of its free float sold short — up nearly 10 points in a week. Rival CAR (Avis Budget) rose 7 points to 36.2%. Short sellers see structural stress across the industry. CHWY (Chewy) also drew heavy fire, jumping 10 points to 82.4% SI % FF. Despite that, availability remains high at 460%, meaning new shorts can still get in easily.

Chips Split the Options Market

MU (Micron Technology) dominated options flow on both sides simultaneously. Bears placed the most negative bets in the sector despite analysts projecting 85% upside. SNDK (Sandisk) — up 412% year-to-date — also attracted heavy put positioning. TSLA (Tesla) drew sustained bearish options pressure. The stock is down 31% YTD with RSI at 31.7. Options traders remain unconvinced a bottom is in.

Analysts Cut JCI and BMY

JCI (Johnson Controls) and BMY (Bristol-Myers Squibb) both absorbed downgrades today. Bristol-Myers' average target slipped to $64.91. On the positive side, RCL (Royal Caribbean) attracted a fresh buy recommendation, with 16 analysts now rating it a Buy.

Big Earnings Week Begins

Over 1,800 companies report this week. Tuesday's marquee event is AMGN (Amgen), with investors focused on its obesity drug pipeline. Thursday brings ALL (Allstate) and AKAM (Akamai). Insider activity adds a layer of caution — a 10% holder in SAFT (Safety Insurance Group) filed sales of over $132M in July alone.