TM editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.

Last week I published an article, "10 Current And Former Penny Stocks With High Short Interest As BB & GME Stock Attract More Reddit Interest." In it, I covered a number of current and former penny stocks (obviously) that had higher levels of short interest. With the way that the Reddit penny stocks have been trending it seemed fitting to take a closer look at the exact thing that these retail traders are interested in: heavily shorted stocks. If you take a look at the list of penny stocks on that list, both current and former, the Reddit tidal wave has helped give a boost in the market:

Overall, not too shabby, and clearly, RMED was the best performer of the bunch while BEST, ironically was the worst performer. Given the excitement surrounding heavily shorted stocks. I wanted to take a closer look at a few more names. Again the focus is on current and former penny stocks with higher levels of short interest. While the likes of AMC (AMC), BlackBerry (BB), and even Clover Health (CLOV) have gotten their time in the sun, there are still plenty of other stocks to watch right now:

Short & OS data retrieved from FinViz Scanner

Heading into the week of more economic data, this has been one of the few oases for retail traders. According to the Wall Street Journal, "Traders last week spent $11.6 billion on options contracts tied to AMC Entertainment Holdings, more than on the SPDR S&P 500 ETF Trust, Invesco QQQ Trust and Tesla Inc. combined, according to Cboe Global Markets data. Options on those stocks are typically among the market’s most popular."

While this may have been the case, it will be interesting to see if more names join the trending list of meme stocks to watch right now. Besides hype, there may be other factors to look into as well.

Does Float Matter When Looking At Stocks With High Short Interest (Short Squeeze Stocks)?

While many of these are no longer penny stocks, you can see that several have very small share structures. Why does this matter? When you look at share structure, pay attention to things like Float, Outstanding Shares (OS), and Authorized Shares (AS). Essentially, the AS is the max number of shares a company can issue. the OS is everything that is outstanding, and Float is what is publicly traded in public hands. Basically, your Float will never be larger than the OS and the OS will never be larger than the AS. Therefore, a company with a low OS likely has a low float anyway. Does this mean that companies with larger OS have larger floats? Not necessarily but this Float number isn't always accurate or readily available so going off of the OS is a strategy some use to find clear low float stocks.

Furthermore, the idea behind low float stocks is that the lower the float, the quick the price can move. Simple supply and demand theory states that if you've got penny stocks or higher-priced stocks with fewer shares available, higher demand and lower supply equates to higher prices quickly. The same is true for higher supply and lower demand, which gets magnified when you're talking lower float stocks. This is where we saw things like RMED soar recently. Lower supply of floating shares and higher demand paired with a high short interest made for a perfect storm for a mega short squeeze. Will that be the same for the companies mentioned on this list? Only time will tell. But if you're looking for stocks with high short interest, these are a few more for the watch list in June. Drop a comment with some of your thoughts.