Here's Why iRobot Stock Came Crashing Down Today
Shares of iRobot (NASDAQ: IRBT) came crashing down on Tuesday, as short-squeeze mania died down on Wall Street. The stock saw incredible gains in January as traders bought shares of companies with a high amount of short interest, hoping to induce a short squeeze. But it appears they're now moving on. As a result, iRobot stock was down 15% as of 10:40 a.m. EST.
According to data from Nasdaq, a whopping 10.5 million shares of iRobot were sold short as of Jan. 15. This number has been rising for the last three months. For perspective, the company had more than 28.1 million shares outstanding as of its latest quarterly update. So roughly 37% of all shares are sold short. And given the stock's low trading volume, it would take 20.3 days to cover -- which is quite a long time as far as these things go.
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Source Fool.com
