Bears Circle Wolfspeed as Cerebras Short Bets Jump

Short sellers turned notably more aggressive on a handful of mid-cap names in the week to 29 October, with WOLF and CBRS leading the charge.

Wolfspeed remains the standout target among names with real market heft. Its short interest hit 88.6% of free float, up 4.8 percentage points in a week. Days to cover stand at 9.6. Availability of new borrow is essentially zero, a combination that leaves short sellers with little room to add further.

Cerebras Systems drew fresh attention from bears too. Short interest jumped 5.2 percentage points to 20.1% of free float in the same period. The AI chip company only listed recently and social platforms have been active with debate over its valuation relative to NVDA, where short interest is minimal at 1.3%.

On the other side, short covering was sharpest at Ibotta, where SI dropped 8.3 percentage points to 37%, and at Savara, down almost 11 points to 25.7%.

Hertz carries an eye-catching 40% cost to borrow with 73.5% of its float shorted. Critical Metals Corp tops the borrow cost table at 165%, reflecting near-zero availability at just 0.5%.

One index story worth watching: ORTEX Rebalance Radar puts Corteva's MSCI World deletion probability at 77%, up from 31% in a single session. Confirmed deletion would force $555M of selling. That kind of forced flow can invite short sellers ahead of the effective date.

This note is for informational purposes and does not constitute financial advice.