Below are the top five companies in the Pharmaceuticals industry as measured by the short interest ratio. A higher short interest ratio may indicate the potential for a sizeable short squeeze.
Cadence Pharmaceuticals (NASDAQ:CADX) has a short interest ratio of 29.1 based on average daily volume of 281,000 shares and 8.2 million shares short. That equates to 16.2% of the 50.5 million shares outstanding.
Javelin Pharmaceuticals (AMEX:JAV) has a short interest ratio of 22.2 based on average daily volume of 191,000 shares and 4.2 million shares short. That equates to 6.5% of the 64.8 million shares outstanding.
Dr Reddys Laboratories (NYSE:RDY) has a short interest ratio of 19.8 based on average daily volume of 472,000 shares and 9.4 million shares short. That equates to 5.5% of the 168.9 million shares outstanding.
Optimer Pharmaceuticals (NASDAQ:OPTR) has a short interest ratio of 17 based on average daily volume of 192,000 shares and 3.3 million shares short. That equates to 8.5% of the 38.2 million shares outstanding.
Durect (NASDAQ:DRRX) has a short interest ratio of 16.7 based on average daily volume of 213,000 shares and 3.6 million shares short. That equates to 4.1% of the 86.8 million shares outstanding.
SmarTrend is bearish on shares of OPTR and our subscribers were alerted to Sell on April 01, 2010 at $12.01. The stock has fallen 22.5% since the alert was issued.