A massive short squeeze is coming for these 3 undervalued stocks.

As the market heats up, it's time to hunt for discounted candidates for short squeezes. Citigroup believes that the S&P 500 index will hit 5,000 in 2024, owing to the US's avoidance of recession and tightening of monetary policy. Now is a fantastic moment to invest in growth stocks. When market sentiment turns bullish, undervalued short squeeze candidates might see enormous rallies. The 2021 enthusiasm in growth and meme stocks is one example. Markets experienced enormous interest in equities with strong short interest in 2021, resulting in multi-bagger returns.

• Riot Platforms ($RIOT): A robust balance sheet and the best part of mining capacity development is yet to come. Riot Platforms ($RIOT) stock, which reached new highs in July, is undervalued, with a 16.8% short interest, making it an excellent candidate for a short squeeze. Despite Bitcoin's recent decline, the author remains optimistic about the digital asset because of the approaching Bitcoin halving event. Riot Platforms' Bitcoin mining capacity is 10.7EH/s as of Q2 2023, with plans to grow it to 20.1EH/s by Q2 2024. Capacity is expected to expand to 35.4EH/s by 2025 if the option to purchase additional miners is exercised. RIOT is one of the best undervalued short squeeze prospects.
• Marathon Digital ($MARA): A significant increase in Bitcoin mining capacity in the last year prepares the company for rapid expansion. Marathon Digital ($MARA) stock is undervalued and set to surge in a short squeeze. According to Standard Chartered, Bitcoin will reach $120,000 by the end of 2024, implying that some of the finest crypto equities would generate multi bagger returns. MARA stock has increased about 300% year to date, but with a rally from oversold levels, it remains appealing. Short interest in the company is at 26.7%, and a Bitcoin rebound is likely to result in a substantial short squeeze upside. MARA claimed an operational hash rate of 12.1EH/s in Q2 2023, but its installed hash rate has climbed to 21.8EH/s, showing rapid capacity expansion.
• EVgo ($EVGO): Stellar revenue growth with aggressive expansion ambitions, and I don't see future shareholder dilution as an issue. Since last year, EVgo stock has remained sideways, indicating a bottoming point. However, the short-term interest rate remains high. The company's excellent financials point to a growth in the future quarters. Due to competitiveness and capital burn worries, electric vehicle charging infrastructure stocks have been declining. EVgo, on the other hand, reported a 457% year-on-year revenue increase to $50.6 million, with 3,200 stalls in operation or construction. Losses at the EBITDA level of $74 million were projected for the year, although losses are likely to diminish in 2024 and beyond due to operating leverage. EVgo's revenue growth is likely to continue, thanks to a wide addressable market in the United States and Europe.