To The Moon

Lots of people are looking for the most shorted stocks to buy.  Seems $Blue Apron Holdings Inc.(APRN)$ tend to surprise the market.

$Blue Apron Holdings Inc.(APRN)$ rose 26% on Monday, moving higher on an ongoing short squeeze in the meal kit stock.  rank the NO.8 by performance among whole U.S. stock market. 

Blue Apron continued to gain even as other meme stocks like $Bed Bath & Beyond(BBBY)$ and $AMC Entertainment(AMC)$ Entertainment faded. 

1. Why APRN Continue to Gain While BBBY and AMC Faded

Like other meme stocks that have shot up in recent weeks, Blue Apron stock has been riding higher on what seems to be a mix of a wave buying among traders from platforms like Reddit and a short squeeze, which has accelerated the run-up.

As of the end of July, 23% of Blue Apron shares were sold short, setting up the squeeze play. On monday, about 17 million shares had changed hands with one hour left in the session, well above its daily average of 3.4 million shares, indicating heavy interest in the stock.

The main driver of the surge today appears to be an extended post on Reddit's short squeeze board, outlining the bull case for the stock. The poster argues Blue Apron is much cheaper than its meal kit peers based on its price-to-sales ratio of 4, and calculates that the company's liquidation value is between $19 and $30 a share, though a number of their assumptions seem dubious. The post also explains why Blue Apron is a good target for a short squeeze since most of the stock is held by insiders, limiting the amount of stock available to short.

2. Will MeMe stock continue to dancing around?

Judging by Goldman's basket of "mostshorted"stocks, one of the main drivers of the Rebound in the SP500 was the closing of shorts by hedge funds.

According to the dynamics, it seems that at the moment this driver has exhausted itself!