More the merrier. I recall when NXT had more than 10% (may have been as high as 20%) short interest at ~$1 per share. NXT currently trade at ~$12 a share.
And unlike NXT at the time, ZNO generates a crap load of FCF and doesn't need capex to grow. Which means, at some point, the balance sheet will have surplus cash built up that won't be required to fund future growth initiatives. This won't be too good for shorters I think.
Concurrently, the register is getting tighter with baggies exiting and patient investors entering. So, liquidity is reducing.
In summary, lower liquidity and a re-rating at some point in the next 12 months will not be good for the short side. Personally I'm very hopeful that short interest gets north of 10% in the next couple of months.
Chart, page-6630
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