Despite a 10% tail-off in its share price, Clover Health Investments Corp. (NASDAQ: CLOV) remains a heavily-shorted company that is frequently discussed by Reddit investors. With short sellers holding positions totalling a whopping 36.71% of its total share float, could a short squeeze still be on the cards?
This article details everything you need to know about CLOV shares. We take you through what the company is, what its future investment prospects are and also provide a CLOV price prediction to help you get a read of where we currently stand in this cycle.
If you want to invest in Clover Health stock immediately, simply scroll down to the paragraph below to find our list of the two best places to buy Clover Health shares in the UK and elsewhere.
Where to buy Clover Health stock online
If you are looking for the best platforms to buy, sell and trade CLOV shares, our team of analysts can help. They have tested all of the top options and determined that the stockbrokers below offer the best all-around experience when investing in Clover Health:
eToro is one of the world's leading multi-asset trading platforms offering some of the lowest commission and fee rates in the industry. It's social copy trading features make it a great choice for those getting started.
Financial company driven by technology and offering all-in-one self-directed investment platform that provides excellent user experience.
What is Clover Health Investments?
Founded in 2014 and based in Tennessee, it markets itself as one of the leading Medicare Advantage insurers in North America. Using its software platform, it aims to tap into the large demographic of Medicare-eligible citizens across the country.
Because of doubts regarding the company’s profitability, hedge funds and other major financial institutions have made CLOV shares some of the most actively shorted on the public market.
Retail investors, especially those residing on Reddit forums, have spotted this trend, and this is why Clover Health is one of the most keenly discussed stocks within the retail investor community.
Many feel buying pressure could lead to a short squeeze, which is a situation when a company’s share price shoots up exponentially as short sellers cover their positions in the face of overwhelming buying pressure.
It is a health insurance provider based in Tennessee, United States. Founded in 2014, it aims to use its software platform to become one of the leading Medicare Advantage insurers in all of North America.
Should I buy CLOV shares today?
If you want to seek exposure to a high-risk company with the potential for dramatic unpredictable growth, Clover Health shares could be an asset to seriously consider.
However, we wouldn’t recommend anything other than a speculative investment in the company, and we also don’t think it should take up a large portion of your investment portfolio.
CLOV price target
Our Clover Health price target remains unchanged from the last time we covered the company: a 12-month high of $10, median of $9.50 and low of $9. While it is worth noting that CLOV has been trading above price range for a while now, this merely demonstrates the stock’s disconnect from its fundamental value.
Mind you, a stock is worth what an investor is willing to pay, so this doesn’t necessarily tell us that much about the future of CLOV stock.