When short sellers are betting heavily against a company, shareholders should exercise caution.
At the top of the list is Intellia Therapeutics (NTLA). The stock has a 35.03% short interest. Bears are rightfully betting against the biotechnology sector. NTLA stock is especially risky.
Last November 2025, the stock fell by nearly 30% after the firm disclosed a patient death liver-related adverse event. This happened in its Phase 3 trial for the nex-z gene editing therapy.
Covid-vaccine maker Novavax (NVAX) has a 32.36% short interest. Expect vaccine sales to weaken, which would hurt Moderna (MRNA), too.
Iovance Biotherapeutics (IOVA) has a 30.32% short interest. Recursion Pharmaceuticals (RXRX) has a 29.9% short interest.
CleanSpark (CLSK) has a 31.78% short interest. In November, the crypto firm produced 587 bitcoins (BTC-USD). That is down from 612 produced in October.
In the AI segment, beware of SoundHound AI (SOUN). Bears hold a 30.14% short interest. Similarly, C3.ai (AI) has a 27.68% short interest. Expect mega firms to dominate the AI space. Microsoft (MSFT), Amazon (AMZN), and Alphabet (GOOG) are examples of firms that will capture the most subscribers for AI services.
Nvidia (NVDA) will continue to grow as it supplies GPUs for the AI market. Markets will avoid companies that have trouble posting profits. Expect shares of SoundHound and C3 to perform poorly.
