What made Kidpik stock rally 70% on Thursday?

Kidpik Corp (NASDAQ: PIK) is up a whopping 70% this morning even though there hasn’t been any particular news or filing that would deliver such a sharp price increase.

Is Kidpik stock up because of a short squeeze?

Shares of the personal styling service for kids may be trading up today because of a short squeeze considering the short interest in $PIK has been increasing meaningfully in March.  

Note that Vanguard Group recently revealed a stake in the Nasdaq-listed firm. The institutional investor spent roughly $94,000 on Kidpik stock to notch up 19,500 shares in total.

4.21% of the $6.0 million company is currently under institutional ownership.

Kidpik is scheduled to report its fourth-quarter financial results next week. It lost $1.15 on a per-share basis in the same quarter last year.

$PIK recently went through a reverse split

Kidpik Corp executed a 1-for-5 reverse stock split earlier in March to regain compliance with requirements to remain listed on Nasdaq.

$PIK made a new year-to-date high following a material increase in its stock price today. The Nasdaq-listed firm is currently trading well above its 200-day moving average as well.  

Wall Street currently has a consensus “buy” rating on Kidpik shares that do not pay a dividend yield at writing. It is not very widely covered by the analysts as well.

It is also worth mentioning here that Kidpik Corp came in shy of Street estimates in its third financial quarter in November of 2023.