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) continues as the most shorted share after its short interest rose strongly week on week to 16.3%. Investors may have concerns over its large losses and the state of the travel market amid war in Ukraine and rising fuel prices.
• Nanosonics Ltd (ASX: NAN) has short interest of 12.2%, which is up again week on week. Short sellers appear concerned by a major and sudden change in its sales model in the United States.
• Betmakers Technology Group Ltd (ASX: BET) has seen its short interest rise again to 12%. The betting technology company’s shares have lost almost a third of their value this year amid the de-rating of tech valuations.
• Zip Co Ltd (ASX: Z1P) has seen its short interest remain flat at 11.3%. Much to the delight of short sellers, this buy now pay later provider’s shares crashed 22% last week following a capital raising.
• Kogan.com Ltd (ASX: KGN) has seen its short interest ease slightly to 10.4%. Short sellers have been targeting this ecommerce company due to its continued poor performance and concerns over rising marketing costs for online retailers.
• Mesoblast limited (ASX: MSB) has short interest of 9.8%, which is up slightly week on week. Poor trial results, significant cash burn, and the loss of a lucrative deal with Novartis have been weighing on sentiment.
• Webjet Limited (ASX: WEB) has short interest of 9.7%, which is flat week on week. Short sellers appear to believe the market is too optimistic on the travel market recovery.
• Polynovo Ltd (ASX: PNV) has seen its short interest remain flat at 9.3%. This medical device company hit a new 52-week low today, much to the delight of short sellers. Its underperformance and high multiples appear to be attracting shorts.
• Redbubble Ltd (ASX: RBL) has returned to the top ten with short interest of 9.2%. Changes to Apple’s privacy settings have been making life hard for ecommerce companies like Redbubble.
• AMA Group Ltd (ASX: AMA) is back in the top ten with 8.7% of its shares held short. Last month this crash repair company reported a loss of $46.3 million for the first half of FY 2022. Its shares also hit a 52-week low today.

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

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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, REDBUBBLE FPO, 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, 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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