Bears Pile In: EV and Chip Names Lead the Surge

Short sellers added aggressively to positions this week. Three names stand out as the biggest movers in the data as of September 10.

LCID saw the sharpest jump. Lucid Group's SI % of free float shot from 35.3% to 49.7% — a 14.4 percentage point rise in just seven days. The EV maker has struggled with production costs. Bears are clearly not done. Cost to borrow sits at 7.2%, signalling active demand for short exposure.

CHWY was close behind. Chewy's SI % FF climbed 11.3 points to 63.6%. The pet retailer trades at a rich valuation. Short sellers appear to be pricing in a revenue growth slowdown.

WOLF remains one of the most heavily shorted names on US exchanges. The semiconductor firm's SI % FF hit 83%, up 7.7 points on the week. The stock has shed nearly 40% over three months. Bears see more downside.

On the broader market backdrop, chip stocks saw volatile swings. NVDA options drew heavy traffic. GME also generated unusual options flow. Homebuilder LEN carries elevated short interest ahead of its Q3 print. Bears there appear well-entrenched too.

XNDU, the quantum computing firm, sports the second-highest SI % FF overall at 86%. Its cost to borrow has climbed to 11.9%, a red flag for potential squeeze risk if sentiment shifts.