CATL Short Sellers at Risk of Squeeze on Earnings Surprise

An earnings beat by Contemporary Amperex Technology Co. Ltd. next week may set the stage for a short squeeze, after a surge in the battery maker’s shares on bets tied to soaring energy prices.

Some 29.3 million of CATL’s Hong Kong-listed stock have been sold short, near the highest since its listing last May, according to data from S3 Partners. That’s even as it’s surged about 35% since the start of the Iran war, helped by better-than-expected results for the December quarter.