Stock of the day: Wave Systems Corp (NASDAQ:WAVX)

Wave Systems Corp (NASDAQ:WAVX), a provider of client and server software for hardware-based digital security, is due to report first quarter financial results on Tuesday, May 10th. This small-cap stock has seen its share price fall by 40% since reaching an annual high in February. Short interest has been steadily rising over the past 6 months, increasing from 6% to 11% of total shares outstanding on loan. With 95% of the stock available to be borrowed out on loan, it is virtually impossible to short more of this company.