This week’s market activity has revealed significant dynamics on the securities lending desk, where both retail enthusiasm and institutional skepticism have created compelling tension across a handful of high-profile names. Let’s take a deeper look into the recent movements and short interest trends surrounding D-Wave Quantum (QBTS), CoreWeave (CRWV), Wolfspeed (WOLF), and Pony.ai (PONY).

D-Wave Quantum (QBTS): Retail Frenzy Meets Hedge Fund Resistance

D-Wave Quantum has become a focal point of interest after unveiling a new advanced quantum computer tailored for commercial deployment. The announcement triggered a 26% surge in the stock price on Tuesday, driven largely by momentum buying from retail investors. Trading volume was notably heavy, with approximately $8 million flowing into the stock, reflecting strong conviction from individual buyers.

Despite this surge in bullish sentiment, hedge funds have taken the other side of the trade. Short interest has ticked up, with significant improvements in borrow availability from day to day. Although the base level of short positions was relatively low, there’s clear evidence of growing bearish positioning. Shares on loan have increased by 3% over the past week, although still down sharply—38%—compared to the previous month. Current estimates put short interest at 35 million shares, with utilization hovering around 60%. While borrowing costs remain low at around 1%, there is still about 20 million shares available in the broader market, indicating room for more short activity.

CoreWeave (CRWV): Sustained Retail Accumulation Faces Tightening Supply

CoreWeave has also become a retail favorite, especially in the wake of its latest earnings release. The stock has experienced seven consecutive days of net retail buying, earning a spot among the most actively purchased names in the market this week. Yesterday, it was the second most acquired stock by retail traders.

On the institutional side, short interest is intensifying. The lending book has more than doubled week over week—up over 110%—as hedge funds look to capitalize on the recent upward momentum. This is consistent with broader market activity, as total shares on loan have climbed 8% in the past week and 51% over the past month. Estimated short interest now stands at 16 million shares, with utilization rates at a high 88%.

Borrow costs have started to moderate slightly, now ranging from 25–30%, down from as high as 50% the day prior. Still, the ability to locate new shares for borrowing remains extremely limited across the Street, suggesting that further short selling could be constrained unless there is a change in supply.

Wolfspeed (WOLF): Short Sellers Hold Their Ground as Bankruptcy Fears Loom

Wolfspeed has found itself in the crosshairs of speculation, with reports swirling about a potential bankruptcy filing. The market has reacted sharply, pushing the stock down by an astonishing 70%. In this case, short sellers had already built considerable positions ahead of the news, and there has been little movement in the past week.

Shares on loan have decreased slightly, down 3% week over week and flat month over month, signaling that existing short positions remain largely intact rather than expanding further. Estimated short interest is substantial at 83 million shares with near-full utilization at 99%, suggesting that almost all available inventory has already been borrowed. Borrow costs remain elevated between 60–70%, with few shares left to source, creating a tight