"Meanwhile, the equity is attractive from a contrarian perspective, considering the hefty amount of skepticism that has been levied against AMKR despite its impressive uptrend. Short sellers continue to add to their accumulation of bearish bets in the face of the stock's ascent. Since December, the number of AMKR shares sold short has jumped nearly 30% to 15 million, an 11-month high.

"This buildup of pessimistic positions accounts for 11.8% of the company's total float and is more than four times the stock's average daily trading volume. An unwinding of these short positions could help to add some lift to the equity as these bears begin to finally buy back their shorted shares.

"Among options traders, the stock has been the focus of heavy put trading in its January 2008 series. This accumulation of out-of-the-money put contracts indicates that investors don't expect the shares to continue rallying through the rest of 2007. In fact, it appears that options speculators are looking for a sharp pullback in the security by the end of the year.

"Finally, Wall Street has refused to capitulate despite the company's fundamental and technical strength. Zacks reports that the security has earned four 'hold' ratings, one 'sell' rating, and not one 'buy' designation. This bearish configuration leaves ample room for potential upgrades.

"What's more, coverage is light enough that the stock could also enjoy some positive initiations from Wall Street, which could add more fuel to the equity's uptrend."