Short squeeze alert for Lithium Americas (LAC) stock

Core Viewpoint - Lithium Americas' stock experienced a significant increase of over 90% following news of the Trump administration seeking a 10% equity stake in the company, along with renegotiated terms for a $2.3 billion Department of Energy loan [1][5]. Group 1: Stock Performance - The stock price of Lithium Americas rose from $3.07 to $5.85, reflecting a dramatic turnaround in market sentiment [4]. - As of September 23, 2025, there were 27.58 million shares shorted, with a short interest of 13.29% of the float, indicating potential for a short squeeze [2][4]. Group 2: Government Involvement - The Trump administration's involvement is seen as a strategic move to gain control over critical raw material supply chains, similar to previous actions with companies like Intel and MP Materials [5]. - A White House official emphasized that while the administration supports the project, it is not providing "free money," indicating a focus on fair taxpayer treatment [5]. Group 3: Strategic Partnerships - The project is crucial for General Motors, which holds a 38% stake in Lithium Americas, and GM's shares rose nearly 2.5% following the news [6]. - The administration's involvement could accelerate Lithium Americas' strategic positioning and provide necessary capital for operations at the Thacker Pass Lithium Mine, the largest known lithium deposit in North America [5].