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- There are stocks with high potential for a short-squeeze as some stocks get crowded with bearish investors.
- An ongoing stock market rally has elevated mark-to-market losses on the short side that may force some short sellers to exit their positions.
- These are the 10 stocks that are most primed for a potential short squeeze, according to S3 Partners.
The stock market's near 20% rally year-to-date has boosted some beaten down stocks that have a high level of short interest.
That could set the stocks up for a potential short squeeze as some bearish investors throw in the towel and exit their losing short positions by buying back the stock, helping increase the price, according to a Wednesday note from S3 Partners.