Bears Pile Into Wolfspeed and Cerebras as Squeeze Candidates Thin

Short sellers are pushing harder into semiconductor and auto names this week. Wolfspeed tops the pressure gauge with 88.6% of its free float sold short. That figure rose another 4.8 percentage points in the past seven days alone. Availability has hit zero, meaning there are essentially no shares left to borrow. The cost to borrow sits at just 2%, though, suggesting shorts got in early and are holding.

Hertz is not far behind at 73.5% SI of free float, with a cost to borrow of 150% APR. That is an extreme carry cost for short holders. Any positive catalyst could trigger rapid covering.

Cerebras Systems saw one of the week's sharpest moves among mid-caps. Its SI climbed 5.2 percentage points in seven days to reach 20.1% of free float. The AI chip maker has been a polarising name since its Nasdaq listing, and bears are clearly not backing down.

On the auto credit side, ORTEX Alt Data flags a stark signal on Carvana. Delinquencies in Carvana's ABS trusts hit 4.6 standard deviations above their own history as of 15 October. A second signal came from Banco Santander, whose ABS trusts showed delinquencies 3.3 standard deviations above history. Despite that credit stress, Carvana's SI sits at only 9.4% of free float, with ample shares to borrow. The bears are watching, but haven't piled in yet.

AGCO is a standout from today's earnings news: shorts kept building positions even after the company beat estimates. A stubborn short base after a positive print is worth watching for a potential squeeze.