These are the 10 most shorted ASX shares

most shorted ASX shares

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) takes the crown on the most shorted list for another week after its short interest rose to 17.1%. The market remains incredibly divided on the travel sector recovery with some companies predicting growth on 2019’s numbers and others predicting declines in 2022.
  • Betmakers Technology Group Ltd (ASX: BET) has seen its short interest rise to 13.6%. Short sellers will have been pleased to see this betting technology company’s shares crash to a two-year low last week. Loss-making tech shares are out of favour with the market right now.
  • Nanosonics Ltd (ASX: NAN) has short interest of 12.4%, which is up week on week. This medical device company’s shares have been sold off this year due to uncertainty caused by a major change to its sales model in the United States.
  • Ltd (ASX: KGN) has seen its short interest climb again to 10.3%. This ecommerce company continues to be a target of short sellers due to its poor sales performance, strong competition, margin pressures, and its dire inventory management.
  • Polynovo Ltd (ASX: PNV) has seen its short interest remain flat at 10%. Valuation concerns have been weighing on this medical device company’s shares. Though, clearly a couple of insiders don’t agree that PolyNovo’s shares are overvalued. Last week the company reported some major insider buying.
  • EML Payments Ltd (ASX: EML) has seen its short interest jump to 10%. Short sellers have increased their positions in this payments company after it downgraded its profit guidance following a tough third quarter.
  • Webjet Limited (ASX: WEB) has short interest of 9.3%, which is down week on week once again. As with Flight Centre, mixed messages out of the travel sector appear to have short sellers believing that the market is too bullish on the sector recovery.
  • AMA Group Ltd (ASX: AMA) has 8.9% of its shares held short, which is up week on week. Short sellers aren’t giving up on this smash repair company despite its shares hitting a two-year low last week. Its high debt load and dwindling cash balance are weighing heavily on sentiment.
  • Appen Ltd (ASX: APX) has returned to the top ten after its short interest rose to 8.9%. Concerns over softening demand for its services and a lack of guidance for FY 2022 appear to have attracted short sellers.
  • Zip Co Ltd (ASX: Z1P) has seen its short interest fall to 8.25%. This buy now pay later provider’s shares have fallen out of favour with investors amid slowing growth and rising costs.

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

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

More reading

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. has positions in and has recommended Appen Ltd, Betmakers Technology Group Ltd, EML Payments, ltd, Nanosonics Limited, and POLYNOVO FPO. The Motley Fool Australia has positions in and has recommended EML Payments, 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 Scott Phillips.

from The Motley Fool Australia

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s