Investors everywhere are looking for the next great short squeeze. The huge success of r/WallStreetBets’ coordination on GameStop (NYSE:GME) is inspiring the squeeze of AMC (NYSE:AMC), and now buyers are looking all over Reddit for the stock that’s up next. But what if the next short squeeze candidate isn’t being talked about on Reddit at all? Xeris Pharmaceuticals (NASDAQ:XERS) stock could very well be the next stock to blow up, according to a popular analyst.
Xeris Pharmaceuticals is a company with headquarters in Illinois. It specializes in the commercialization of liquid injectable drug therapies. Most prominently, it is working to commercialize fast-working treatments for hypoglycemia and epilepsy.
The company recently piqued investor interest with its acquisition of Strongbridge Pharmaceuticals, a commercial-stage pharma outfit which looks to for rare diseases treatments. The merger should close in Q4 2021.
Will Meade Predicts XERS Stock as the Next Squeeze Target
Will Meade, a prominent investment influencer and former hedge fund manager, is targeting XERS stock as the next great short squeeze candidate. He tweeted his reasoning this afternoon:
— Will Meade (@realwillmeade) June 3, 2021
Meade’s formula is not explicitly clear. However, the variables he uses to evaluate the stock are strong indicators of short squeeze potential. If r/WSB is making anything about this type of investing clear, its that high short interest is a huge indicator. And XERS has that — 23.3% of the float is short, greater than AMC’s short percent of float.
Meade is doubling down on his prediction with more tweets this afternoon. He is mentioning RBC Capital’s buy rating and $1o price point for XERS, and citing the 12,000 $5 calls expiring on June 18 as evidence of the coming gamma squeeze.
Shares of XERS are up nearly 19% today, trading at $3.85.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.