These are the 10 most shorted ASX shares

Once a week I like to look at ASIC’s short position report to find out which shares are being targeted by short sellers.

This is because I believe it is well worth keeping a close eye on short interest levels as high levels can sometimes be a sign that something isn’t quite right with a company.

With that in mind, here are the 10 most shorted shares on the ASX this week according to ASIC:

• Flight Centre Travel Group Ltd (ASX: FLT) remains the most shorted share despite its short interest easing to 14.9%. Last week the travel agent’s shares came under pressure after it posted another large half year loss.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest rise again to 11.8%. The betting sector has come under significant pressure in recent months and short sellers don’t appear to expect that to change any time soon.
• Zip Co Ltd (ASX: Z1P) has seen its short interest rise week on week to 11.3%. This buy now pay later provider recently released its half year update and revealed a greater than expected loss. This has led to speculation that a capital raising is coming soon.
• Kogan.com Ltd (ASX: KGN) has seen its short interest rise to 10.5%. This ecommerce company’s shares came under pressure last week after it swung to a loss during the first half. The company also revealed a sharp pullback in its core Kogan revenues despite a rise in customers.
• Nanosonics Ltd (ASX: NAN) has short interest of 9.8%, which is up again week on week. This infection prevention company’s shares have been falling heavily this year following the announcement of a change in its sales model in the United States.
• Mesoblast limited (ASX: MSB) has short interest of 9.7%, which is up slightly week on week. Short sellers have been going after this biotech amid poor trial results, significant cash burn, and the loss of a major deal with Novartis.
• Webjet Limited (ASX: WEB) has short interest of 9.7%, which is down slightly week on week for a second week in a row. Some short sellers may have been closing positions now international borders are reopening.
• Polynovo Ltd (ASX: PNV) has seen its short interest rise again to 9.3%. This medical device company’s mixed performance appears to be attracting short sellers.
• Tyro Payments Ltd (ASX: TYR) is back in the top ten with short interest of 8.4%. Last week this payments company’s shares were sold off after its EBITDA tumbled 67% to just $2.8 million.
• Temple & Webster Group Ltd (ASX: TPW) has seen its short interest rise to 8.3%. Like many online retailers, Temple & Webster’s shares have come under pressure in recent months amid concerns over valuations, increasing marketing costs, and slowing growth.

The post These are the 10 most shorted ASX shares appeared first on The Motley Fool Australia.

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• Why has the BetMakers (ASX:BET) share price dumped 30% so far this year?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Betmakers Technology Group Ltd, Kogan.com ltd, Nanosonics Limited, POLYNOVO FPO, Temple & Webster Group Ltd, Tyro Payments, and ZIPCOLTD FPO. The Motley Fool Australia owns and has recommended Kogan.com ltd and Nanosonics Limited. The Motley Fool Australia has recommended Betmakers Technology Group Ltd, Flight Centre Travel Group Limited, Temple & Webster Group Ltd, Tyro Payments, and Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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