Short-Sellers Continue to Get Squeezed in ZAGG

Shares of Zagg, Inc. ZAGG have been on a tear since Apple AAPL released a blockbuster earnings report last week. The company designs, manufactures, and distributes protective coverings for consumer electronic and hand-held devices - such as Apple's iPhone. Hence, more iPhone sales, theoretically, could mean a boost in ZAGG's sales. This is one of the reasons that the stock has reacted so bullishly to AAPL's most recent earnings results. Over the last 5 trading sessions, ZAGG shares have soared more than 19%. The other factor that is driving up the stock is a huge short interest. In recent days, as much as 46% of the stock's float had been sold short. Undoubtedly, some of these short-sellers have been covering their positions in the wake of the recent rally in ZAGG, and this is exacerbating the move up. On Monday, the stock has jumped another 6% to $13.01 and is moving on heavy volume. Around 2 million ZAGG shares have already traded hands on the day compared to a 3-month daily average of under 1.2 million.