In this article, we will list the 5 Best High Short Interest Stocks With Highest Upside Potential. Please visit 12 Best High Short Interest Stocks With Highest Upside Potential to see the extended list and the methodology behind it.

5. Icahn Enterprises L.P. (NASDAQ:IEP)

Average Upside Potential: 60.75%

Icahn Enterprises L.P. (NASDAQ:IEP) is one of the best high short interest stocks with highest upside potential. On May 6, Icahn Enterprises reported its Q1 2026 financial results, with an Indicative Net Asset Value of ~$3.4 billion, reflecting a $201 million increase since the end of 2025. This growth was largely driven by a $605 million gain in the company’s CVI position, which helped offset losses from refining hedges and corporate interest expenses.

Icahn Enterprises L.P. (NASDAQ:IEP) posted revenues of $2.2 billion for the quarter, though it recorded a GAAP net loss of $459 million, or $0.71 per depositary unit. Management noted that this GAAP figure excludes significant unrealized gains in CVI and does not account for $447 million in anticipated future value from energy-related crack spread swaps.

Additionally, the Board declared a quarterly distribution of $0.50 per depositary unit, payable on June 25. Unitholders have the option to receive this distribution in cash or additional units, with an automatic default to units if no timely election is made.

Icahn Enterprises L.P. (NASDAQ:IEP) is a diversified holding company with businesses in several industries. It operates in investment, energy, automotive, food packaging, real estate, home fashion, and pharmaceuticals.

4. Klaviyo Inc. (NYSE:KVYO)

Average Upside Potential: 63.76%

Klaviyo Inc. (NYSE:KVYO) is one of the best high short interest stocks with highest upside potential. On May 5, Klaviyo reported strong Q1 2026 results, highlighted by 28% year-over-year revenue growth to $358.0 million and its strongest operating margin as a public company. The firm increased its total customer base to over 196,000, with notable growth in enterprise-tier accounts and international markets.

Driven by these results, the company raised its full-year 2026 revenue guidance to a range of $1.514 billion to $1.522 billion. Operational highlights included a 25% year-over-year increase in revenue per employee and the launch of new AI-driven features like Composer and Custom Skills. To return value to shareholders, Klaviyo authorized a $500 million share repurchase program and completed an initial $100 million accelerated buyback in April.

In a leadership transition, CFO Amanda Whalen announced her decision to step down. She will remain in her role until August 21, and will serve in an advisory capacity through November to ensure a smooth transition while Klaviyo Inc. (NYSE:KVYO) searches for her successor.

Klaviyo Inc. (NYSE:KVYO) delivers an AI-first SaaS platform for B2C clients that supports customer relationship management. The platform enables data storage, campaigns, marketing automation, and analytics. It also enables customer service integration and omnichannel marketing tools, such as email, SMS, and WhatsApp campaigns.

3. Archer Aviation Inc. (NYSE:ACHR)

Average Upside Potential: 71.00%

Archer Aviation Inc. (NYSE:ACHR) is one of the best high short interest stocks with highest upside potential. On May 11, Archer Aviation reported Q1 2026 earnings, ending the period with a strong liquidity position of ~$1.8 billion. The company recorded a net loss of $217.7 million and an Adjusted EBITDA loss of $172.5 million, both of which align with its financial guidance. Revenue reached $1.6 million, driven primarily by expanded operations at Hawthorne Airport in Los Angeles.

Operationally, Archer achieved a major regulatory milestone by becoming the first eVTOL company to close Phase 3 of the FAA’s 4-phase Type Certification process. The company is now actively progressing through Phase 4, which involves formal testing and compliance analysis. Archer anticipates beginning US operations later this year under the White House’s eIPP program in preparation for its role as the Official Air Taxi Provider for the LA28 Olympic Games.

Additionally, Archer Aviation Inc. (NYSE:ACHR) is advancing its dual-use, hybrid autonomous aircraft program and strengthening its AI stack through strategic partnerships with NVIDIA, Palantir, and Starlink. Looking ahead to Q2 2026, the company expects an Adjusted EBITDA loss between $170 million and $200 million as it continues to invest in certification, flight testing, and production.

Archer Aviation Inc. (NYSE:ACHR) is an American company that is designing and developing electric vertical takeoff and landing (eVTOL) aircraft for use in urban air mobility networks.

2. QXO Inc. (NYSE:QXO)

Average Upside Potential: 78.47%

QXO Inc. (NYSE:QXO) is one of the best high short interest stocks with highest upside potential. On May 29, QXO initiated cash tender offers and consent solicitations to purchase all outstanding 4.125% Senior Notes due 2032 and 5.625% Senior Notes due 2034 issued by TopBuild Corp., in connection with QXO’s pending acquisition of the company.

The tender offer consideration is $961.25 per $1,000 principal amount, with an additional $50.00 early tender payment for notes tendered by the early deadline, totaling $1,011.25 per note. Concurrent with the tender offers, QXO Inc. (NYSE:QXO) is soliciting consents to amend the indentures governing both series of notes.

The proposed amendments aim to eliminate the requirement for a “Change of Control Offer” triggered by the acquisition, remove substantially all restrictive covenants, and eliminate most events of default, excluding those related to failure to pay principal or interest. The terms and conditions for these transactions are detailed in an Offer to Purchase and Consent Solicitation Statement dated May 29.

QXO Inc. (NYSE:QXO) operates as a distributor of waterproofing, roofing, and complementary building products across Canada and the US. It offers modified roofing, PVC roofing, commercial roofing & siding products, built-up roofing, low-slope metal roofing, TPO roofing, and others.

1. Summit Therapeutics Inc. (NASDAQ:SMMT)

Average Upside Potential: 91.12%

Summit Therapeutics Inc. (NASDAQ:SMMT) is one of the best high short interest stocks with highest upside potential. On May 31, Summit Therapeutics announced positive Phase III overall survival/OS results from the HARMONi-6 trial, which evaluated ivonescimab plus chemotherapy versus tislelizumab plus chemotherapy in patients with advanced squamous non-small cell lung cancer/NSCLC.

The study showed that the ivonescimab regimen reduced the risk of death by 34% (HR 0.66), marking the first time a Phase III trial has shown a statistically significant OS benefit over standard PD-(L)1 inhibitor and chemotherapy combinations in the first-line setting. At a median follow-up of 21.4 months, patients receiving ivonescimab achieved a median OS of 27.89 months compared to 23.69 months for those on the tislelizumab regimen. The benefit was consistent across PD-L1 expression subgroups, and the 24-month OS rate reached 64.7% for the ivonescimab arm.

These findings, simultaneously published in The Lancet, confirm the potential of ivonescimab to transform front-line treatment paradigms for NSCLC. Ivonescimab maintained an acceptable and manageable safety profile consistent with prior trials, with no new safety signals reported.

Summit Therapeutics Inc. (NASDAQ:SMMT) is a biopharmaceutical firm.

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