Wayfair's (NYSE:W) short percent of float has fallen 21.41% since its last report. The company recently reported that it has 18.93 million shares sold short, which is 33.88% of all regular shares that are available for trading.
Famed investor Warren Buffett once said, “It’s only when the tide goes out that you learn who has been swimming naked.”
In other words: An investment may appear promising up to a point. If the company you invested in is too leveraged and the tide turns, everything becomes exposed. And the investment gets spoiled.