They don't overlap, but you can hit the same target with them if you're close enough.
While I do love being bait, that shouldn't be the only role for the squid to fill. While it is still maneuverable, it's extremely easy to keep in the sights of even the slowest of ships. You get disabled by a galleon, and it's over. You try to run from a pyra, and it will wreck your day. This is even with using pilot tools. Against good pilots, the squishy squid just can't slip away.
Personally I alternate between ambushing and baiting as a squid, depending on the situation, and it's usually a mixed bag of results depending on the enemy. Against not as experienced players, it's pretty devastating, but against an experienced enemy you've just saved them the trouble of going to look for you.
I've played as a squid and against squids quite a lot. I even wrote a guide trying to get players to fly squids differently. You just can't use it like all the other ships, you have to try so much harder for it to be effective, and even then it's a gamble.