After a 1700% surge, Swedish small semiconductor company Sivers becomes the target of short sellers.

As part of the market frenzy for the construction of artificial intelligence (AI) infrastructure, the Swedish small semiconductor company Sivers Semiconductors (SIVEF.US) has received enthusiastic support from investors, driving the stock price up by approximately 1700% so far this year. Sivers Semiconductors stock price has skyrocketed since March Sivers Semiconductors is a leading technology company in the global communication and sensor technology fields, with business operations covering wireless and photonics. Its wireless business focuses on 5G millimeter-wave technology through Network-1 Technologies, Inc., developing millimeter-wave RFICs, beamforming ICs, and related chips, components, modules, and subsystems. These play a crucial role in fixed wireless access, satellite communication, 5G/6G systems, and collaborate with companies like Intel Corporation to promote the development of 5G millimeter-wave technology. Its photonics business specializes in the development and manufacturing of customized III-V semiconductor photonics and silicon photonic devices, used in optical networks, optical sensing, fiber optic communication, and serving industries like data centers, consumer healthcare, and automotive LiDAR. However, there is growing skepticism in the market about the rapid rise of the stock. Calle Soderberg, an investment economist at Nordnet AB, stated that according to data from S&P Global, Inc.'s Market Intelligence as of May 26th, approximately 17% of Sivers Semiconductors' outstanding shares have been borrowed for short selling, compared to only around 1.6% in early March. Calle Soderberg stated, "There is a significant amount of speculation here, and the market perceives the stock as being very high-risk." "It is likely that many investors are 'dancing near the exit,' ready to quickly profit from this highly volatile stock once market sentiment reverses." It is worth noting that a part of the rise in Sivers Semiconductors' stock price was fueled by the influence of "retail investors." On the social platform X, a blogger named "Serenity" with the account @aleabitoreddit had previously recommended Sivers Semiconductors. The account currently has over 400,000 followers, claiming to be an "AI/semiconductor supply chain analyst" and "AI research scientist." With the continuing trend of AI data center construction, global retail funds are eagerly chasing companies related to the AI semiconductor supply chain. The influence of Serenity is rapidly amplifying in this market sentiment. The blogger wrote on Wednesday that they had already taken a position in the European small chip manufacturer X-Fab Silicon Foundries, which led to a temporary surge of over 77% in X-Fab's stock price. The recent uptrend in Sivers Semiconductors also raises the possibility of the stock being included in stock benchmark indices. Nasdaq has announced that the company will be included in the OMX Stockholm Benchmark Index on June 1st; meanwhile, MSCI will include it in a small-cap index. However, data shows that the stock currently lacks coverage from mainstream analysts. Investors will be watching for the latest financial report released by the company on Friday to see if it provides evidence to support further increases in the stock price.