After Robinhood popularized commission-free trading and social media amplified its reach, short squeezes jumped from a hedge fund tactic to mainstream investing. The success of GameStop’s (GME) short squeeze sparked this trend and has now found potential in stocks like Beyond Meat and Krispy Kreme.
This article analyzes these two companies, exploring their performance, stock price movements, and the current market conditions that could fuel a short squeeze.
Beyond Meat, facing an uphill battle against industry-wide pricing issues and declining sales figures, could see renewed volatility. The company’s efforts to adapt with new products and workforce adjustments may not be enough to prevent another potential short squeeze. On the other hand, Krispy Kreme is undergoing a strategic turnaround following the end of its partnership with McDonald’s. However, rising costs, negative financial performance, and reduced sales have left their stock vulnerable.
The article dives into these companies’ financials, market sentiment, and expert opinions to shed light on the likelihood of short squeezes in the near future.