QMCO Bulls and Bears Dig In as Tension Builds

Quantum Corporation is up 18% in a week and 37% in a month. Yet short sellers are adding positions at the fastest pace in months. Both camps are doubling down simultaneously.

Bears Rebuild at Speed

SI hit 15.4% of free float on September 24. That is up 12.6% in one week and 32% over the past month. Two days ago, when the previous ORTEX note was published, SI stood at 13.9%. The move higher has accelerated. Bears are not deterred by the rally — they are chasing it from the other side.

The borrow market is not their problem. Availability stands at 730% of outstanding short interest. Shares to borrow are abundant. Cost to borrow is 0.54%, elevated from a week ago but well below the 3.3% peak seen in mid-August. The infrastructure for a sustained short position is cheap and easy to access.

Bulls Show No Sign of Flinching

The options market tells the opposite story. The put/call ratio sits at 0.17, versus a 20-day average of 0.23. That is roughly 1.5 standard deviations below the mean. Call buyers have dominated since mid-September. Before that, the PCR ran above 0.50 through the first half of August — a period when the stock was far lower. The flip in sentiment has been sharp and sustained.

Lake Street raised its price target to $29 on September 14, from $24, maintaining its Buy rating. The stock has since moved through that target. The analyst has raised the target three times in 2026 alone.

The Activist Angle

John Fichthorn's Schedule 13D/A, last filed June 8, shows a 40% stake as last disclosed. That concentration matters when shorts are rebuilding. Any move by a majority 13D holder can change the supply-demand picture quickly. Stakes are as-last-disclosed — Fichthorn's actual current position may differ.

Two Seas Capital and Alyeska Investment Group each hold above 6% as of June 30 filings. Both entered their positions as new stakes in Q2.

Data Summary

• SI % of free float: 15.4% (up 12.6% week-on-week, up 32% month-on-month)
• Put/call ratio: 0.17 vs. 20-day mean of 0.23
• Borrow availability: 730% of short interest — ample supply
• Cost to borrow: 0.54%
• 1-week price change: +18.2%; 1-month: +36.8%
• Next earnings: November 11, 2026
• Largest 13D holder: John Fichthorn, ~40% as last disclosed (June 2026)