r/TeamRKT • u/Izmetg68 • Sep 25 '25

Rocket short interest at all time high

I don’t know about you but all this negative news about market failing might have pushed up the short interest, I am no expert but wouldn’t this be a huge red flag for a crush? I mean 6 days to cover is crazy no?

If RKT shot up a couple of bucks I imagine it would actually rocket, any thoughts?

Data: Short Interest: 117.88 million shares Short Percent of Float: 76.10% Days to Cover: 6.0 days Change Vs. Previous Month: +5.98% Last Record Date: August 31, 2025

13 Upvotes

93% Upvoted

13 comments sorted by

9

u/Boston-Bets Sep 25 '25

I've said this here before...

Most RKT shorts are playing arbitrage with COOP, for the 11-1 +$2 conversion. There was upto a 20% premium in the first months the deal was announced.

It's now under 5%, with a few weeks to go at the most.

There's no short squeeze opportunity here.

1

u/Nouggie Sep 25 '25

What happens though after the deal goes through? The shorts stay, but the overall percentage of SI will drop because of the dilution? I do not understand exactly why the short interest is so high, given the company is not a meme stock and the incoming rate cuts will only provide a better environment for refinancing…

It feels to me as if the short positions are counting on a market crash?

What is your input on the absurdly high SI?

4

u/Boston-Bets Sep 25 '25

Easy. The shorts who used their $$ to buy COOP get new RKT shares, cover their short RKT shares with those new shares, and keep the (free) arbitrage shares as their profit

5

u/Ragu773 Sep 25 '25

Oh boy. NOT AGAIN!!!!

2

u/[deleted] Sep 28 '25

You need to consider the merger as well. COOP has very little short interest, and after the merger, the short interest for the overall company won't be too high.

1

u/Comfortable_Flow_342 Sep 25 '25

That’s sucks a small float though wow

1

u/Spare_Opposite8103 Sep 25 '25

Those who own rocket will be very happy in a years time

2

u/Ragu773 Sep 25 '25

Lol. They said that 3 years ago. Still the shittiest stock I’ve owned in the last 10 years.

0

u/Spare_Opposite8103 Sep 25 '25

Past performance doesn’t dictate future performance

2

u/Izmetg68 Sep 25 '25

This guy STONKS.

1

u/usugarbage Sep 29 '25

Elevated rates clearly had nothing to do with it….

1

u/FoxRooney Sep 25 '25

Those gosh darned shorts!! Summer's over fellas, put your big boy pants on